CABLE & WIRELESS OPTUS AND CSC NEGOTIATE $500 MILLION PARTNERSHIP AGREEMENT

Computer Sciences Corporation (CSC) today announced a major strategic partnership with Cable & Wireless Optus to supply communications services to CSC. Cable & Wireless Optus won the competitive tender, one of the largest of its kind, beating a number of its rivals.

The value of the strategic partnership to expected to be in excess of $500 million over the period of the agreement.

Cable & Wireless Optus is to provide communications infrastructure products to support CSC's professional services and outsourcing businesses in Australia. As part of the agreement, Cable & Wireless Optus will acquire CSC's communications infrastructure.

CSC is one of the world's largest providers of IT professional services to corporates and governments. In Australia, the company's annual sales are worth A$618 million and its major clients include AMP, Energy Australia and Federal Government Departments such as the Department of Immigration & Ethnic Affairs and the Australian Electoral Commission.

"We are delighted to partner with CSC in delivering integrated voice, data and IP services to its customers," said Chris Anderson, Chief Executive, Cable & Wireless Optus. "The use of advanced technology and communications services will drive significant business value for both our companies and our customers.

"This deal is a another example of our successful corporate, government and business strategy and builds on our recent wins in the Northern Territory and Western Australia," Mr Anderson said.

George Bell, Chief Executive Officer and Managing Director of CSC in Australia said the partnership reflected CSC's ongoing commitment to provide customers with access to new technologies, solutions and improved telecommunication services. "Our goal is to share the benefits and value of this strategic partnership with our customers," he said.

"Over the years we have worked closely with Cable & Wireless Optus taking advantage of their experience in delivering integrated communication solutions. The synergies between our two companies mean that we have the same approach to delivering value and innovation to customers. They won this tender on their track record of service, on their ability to innovate and their committed attitude towards developing strong partnerships.

The arrangement is expected to become effective in January 2000.

For more information:
Stephen Woodhill
Cable & Wireless Optus
Phone: (02) 9342 7850

Donna Bullock
CSC
Phone: (02) 9901 1279

Backgrounder

About Computer Sciences Corporation

Computer Sciences Corporation helps clients in industry and government use information technology to achieve strategic and operational objectives. With 54,000 employees in more than 700 offices worldwide, the company tailors solutions from a broad suite of integrated service and technology offerings, including e-business strategies and technologies; management and IT consulting; systems development and integration; application software; and IT and business process outsourcing.

Since its formation in 1959, CSC has been known for its flexibility in its relationships with clients. Through numerous agreements with hardware and software technology firms, the company is able to identify and manage solutions specifically tailored to each client's needs. CSC had revenues of $8.2 billion for the twelve months ended 1 October 1999. Its headquarters are in El Segundo, California. For more information, visit the company's web site at www.csc.com.

About Cable & Wireless Optus

Cable & Wireless Optus is Australia's leading integrated communications company - servicing more than three million customers each day. The company provides a broad range of communications services including mobile, national and long distance services, local telephony, business network services, Internet and satellite services and television.

Since commencing operations in 1992, Cable & Wireless Optus has invested more than $7bn in the construction of fixed, mobile and satellite networks, including central business district and suburban local access networks. These networks provide the company with an advanced technology platform capable of delivering integrated communications, information and entertainment services.

Cable & Wireless Optus is a member of the Cable & Wireless Group, a leader in global communications operating in more than 80 countries around the world.