Press Release

Janice Goveas Tata Communications +91 92233 94575 janice.goveas@tatacommunications.com

BT and Tata Communications Sign Global Strategic Voice Services Agreement

Mumbai – June 25, 2009 – BT Group and Tata Communications Ltd., have signed a major voice services agreement that will allow two of the world’s largest providers of voice and IP services to mutually benefit from shared resources as part of a global supply arrangement.

Through the five-year agreement, Tata Communications will become BT’s primary supplier of International Direct Dial (IDD) and other voice termination services outside BT’s own footprint countries and BT will become Tata Communication’s main distribution channel for its IDD traffic into the UK, expanding into other markets across Europe as the relationship matures.

By providing each party with access to additional capacity and flexibility, the relationship will allow BT and Tata Communications to benefit from each others’ strengths as they develop and grow their businesses in their respective markets.

Brian Fitzpatrick, Managing Director of BT Wholesale Markets, said: "Tata Communications is a leader in the international wholesale voice business, making them a perfect partner to help us achieve additional economies of scale to those of our own. We look forward to maximising the opportunities this relationship presents to both organisations as we expand our portfolio of wholesale products and services and ultimately strive to become even more competitive with our pricing."

Michel Guyot, President of Global Voice Solutions, Tata Communications, said: "We are proud to become BT’s primary supplier of international voice termination services. The agreement will increase both partners’ competitiveness and will enhance our respective service offerings. We are also very excited to have BT as our main distribution channel in the UK as we are confident that BT’s resources and strong knowledge of the European market will be of great benefit to Tata Communications."

The relationship will allow BT and Tata Communications to benefit from their respective extensive global networks and advantageous cost structures. BT will also have access to Tata Communications’ world-class routing capabilities and on-line management systems providing greater economies of scale that will improve BT’s competitiveness in the international calls market.

For further information
Please contact the BT Group Newsroom on its 24-hour number: 020 7356 5369. From outside the UK, dial +44 20 7356 5369.
All BT Group news releases can be accessed at our web site: www.bt.com/newscentre.

About BT

BT is one of the world’s leading providers of communications solutions and services operating in 170 countries. Its principal activities include the provision of networked IT services globally; local, national and international telecommunications services to our customers for use at home, at work and on the move; broadband and internet products and services and converged fixed/mobile products and services. BT consists principally of four lines of business: BT Global Services, Openreach, BT Retail and BT Wholesale.

In the year ended 31 March 2009, BT Group’s revenue was £21,390 million.

British Telecommunications plc (BT) is a wholly-owned subsidiary of BT Group plc and encompasses virtually all businesses and assets of the BT Group. BT Group plc is listed on stock exchanges in London and New York.

For more information, visit www.bt.com/aboutbt

About Tata Communications

Tata Communications’ a member of the $62.5 billion Tata Group, is a leading global provider of a new world of communications. The emerging markets communications leader leverages its advanced solutions capabilities and domain expertise across its global and pan-India network to deliver managed solutions to multi-national and Indian enterprises, service providers and Indian consumers.

Tata Communications’ range of services include transmission, IP, converged voice, mobility, managed network connectivity, hosting and storage, managed security, managed collaboration and business transformation for global enterprises and service providers, as well as Internet, retail broadband and content services for Indian consumers. The Tata Global Network encompasses one of the most advanced and largest submarine cable networks, a Tier-1 IP network, with connectivity to more than 200 countries across 300 Pops, and more than 1 million square feet of data center and co-location facilities.

Tata Communications’ unique emerging market depth and breadth of reach includes a national fiber backbone network and access to network in over 60 cities and 125 Pops in India, strategic investments in South African converged services operator, Neotel, Sri Lanka and Nepal and, subject to fulfillment of conditions precedent, a 50% ownership in China Enterprise Communications (CEC) providing full country VPN coverage in China.

Servicing customers from its offices in over 80 cities in 40 countries, Tata Communications is the number one global international wholesale voice operator and number one provider of international long distance, enterprise data and Internet services in India, the Company was named "Best Wholesale Carrier" at the World Communications Awards in 2006, "Best Pan-Asian Wholesale Provider" at the 2006 and 2007 Capacity Magazine Global Wholesale Telecommunications Awards and was awarded "Best Progress in Emerging Markets" at the 2008 Mobile Communication Awards.

Tata Communications Limited along with its global subsidiaries, (Tata Communications), is listed on the Bombay Stock Exchange and the National Stock Exchange of India and its ADRs are listed on the New York Stock Exchange. (NYSE: TCL)

Forward-looking and cautionary statements

Certain words and statements in this release concerning Tata Communications and its prospects, and other statements, including those relating to Tata Communications’ expected financial position, business strategy, the future development of Tata Communications’ operations, and the general economy in India, are forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, including financial, regulatory and environmental, as well as those relating to industry growth and trend projections, which may cause actual results, performance or achievements of Tata Communications, or industry results, to differ materially from those expressed or implied by such forward-looking statements. The important factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements include, among others, failure to increase the volume of traffic on Tata Communications’ network; failure to develop new products and services that meet customer demands and generate acceptable margins; failure to successfully complete commercial testing of new technology and information systems to support new products and services, including voice transmission services; failure to stabilize or reduce the rate of price compression on certain of the company’s communications services; failure to integrate strategic acquisitions and changes in government policies or regulations of India and, in particular, changes relating to the administration of Tata Communications’ industry; and, in general, the economic, business and credit conditions in India. Additional factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements, many of which are not in Tata Communications’ control, include, but are not limited to, those risk factors discussed in Tata Communications’ various filings with the United States Securities and Exchange Commission. These filings are available at www.sec.gov. Tata Communications is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements.

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