FOR IMMEDIATE RELEASE                                        16 October 2006

                                PNC TELECOM PLC                                

                           ("PNC" or "the Company")                            

                        Statement re Mediation Hearing                         

Further to the Chairman's Statement in the announcement made on 29 September
2006, the Directors of PNC now announce that the mediation hearing due to take
place on 12 October 2006 did not take place.

The Board of PNC will report any further updates when it is in position to do
so.



END


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