Interoute Bucks Telecoms Recession with Record Financial Results

Continued Growth of Europe`s Largest Next Generation Network Transforms Business
to Self-Funding Enterprise
LONDON--(Business Wire)--
Interoute Communications Ltd, owner operator of Europe`s largest next-generation
network, today announced EBITDA of €22.7m for the first six months of 2009, a
155% increase over 2008. Despite the deep recession that has seen a decline in
growth for many operators in the telecommunications industry, Interoute has
increased its revenues by eleven per cent during January to June 2009 to report
€129m. By accelerating at this rate, Interoute has become operationally
cash-flow positive and is now a self-funding enterprise.

Since completing the largest pan-European fibre optic network in 2003 to provide
enterprises and the wholesale carrier market with a portfolio of innovative
services and next generation connectivity, Interoute`s revenues have increased
at a compounded annual growth rate (CAGR) of 57%, making today`s revenues 15
times greater than six years ago. Despite a 400% growth in the number of lit
fibre kilometres across the network to meet customer demand, Interoute`s
operating costs have only doubled and network costs have remained flat since
2003.

Commenting on the results Gareth Williams, Interoute CEO, said, "We are
particularly proud to have taken Interoute to operational profitability during
this global recession at a time when other operators are seeing their growth
rate stagnate or decline. More broadly, to have built a successful
communications company following the collapse of the telecoms boom at the
beginning of this decade, proves that our unique approach to building a
pan-European fibre backbone has paid off."

Interoute is the only next generation network covering the European Union, from
London to Warsaw, Stockholm to Sicily and beyond into the emerging economies of
Southeastern Europe as well as linking to North America's major telecoms hub
through its transatlantic capacity. The network serves as a global bridge
between the North and South and East and West. With seven subsea landing
stations ringing the edge of Europe, Interoute acts as the European link for
operators from the Middle East, Africa and North America.

Interoute`s network also reaches deep into the heart of Europe`s metropolitan
networks, with a presence in 21 urban hubs, as well as being connected to the
Arab world's most dynamic international hub, Dubai, via a fully operational
Point of Presence. And with the Company`s 59 data centres located across the
European footprint, Interoute is a leader in the deployment and hosting of Cloud
computing applications for industry.

- Ends -

About Interoute

Interoute is the owner operator of Europe's most advanced and densely connected
voice and data network, encompassing over 57,000 km of lit fibre and 59 data
centres. Its full-service next generation network serves international
enterprises from a broad range of sectors including aerospace, automotive,
finance, pharmaceutical and retail, plus every major European incumbent, as well
as the major operators of North America, East and South Asia, governments,
universities and research agencies. These organisations find Interoute the ideal
partner for hosting content, providing wholesale bandwidth and transit services,
corporate connectivity or creating new services. With established operations
throughout mainland Europe, North America and Dubai Interoute also owns and
operates dense city networks throughout Europe's major business centres. More
than €1 billion in e-commerce transactions flows through its data centres each
day, making Interoute a key part of Europe`s Digital Supply Chain.
www.interoute.com

PR contacts:
Ruth Jones
Speed Communications
+44 (0) 20 7842 3200
interoute@speedcommunications.com

Copyright Business Wire 2009