CABLE & WIRELESS OPTUS ESTABLISHES EUROPEAN CAPITAL MARKETS PROGRAMME

Cable & Wireless Optus said today that it would establish a Euro Medium Term Note program during the first quarter of this year. Notes under the program will be issued by its wholly owned subsidiary, Cable & Wireless Optus Finance Pty Ltd.

Deutsche Bank AG has been mandated to arrange the program and ABN AMRO, BNP Paribas, Chase Manhattan International Limited, Deutsche Bank AG, Merrill Lynch International and Warburg Dillion Read have been appointed the dealers.

The program will allow Cable & Wireless Optus to increase its funding flexibility and broaden its investor base giving it access to the US, European and Australian capital markets. The Company also announced the appointment of ABN AMRO and Deutsche Bank AG as joint book runners of its first bond issue under the program.

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. It is rated BBB+ by Standard and Poors and Baa2 by Moodys.

For more information:
Stephen Woodhill
Phone: 02 9342 7850