Dolphin Telecom Announces Fourth Quarter and Year 1999 Results

Business Wire, March 3, 2000

Business Editors/High-Tech Editors

MONTREAL--(BUSINESS WIRE)--March 2, 2000

HIGHLIGHTS

For the fourth quarter and year ended December 31, 1999

All amounts are in $US, unless otherwise stated

--   In 1999 Dolphin increased its pan-European footprint with two
     acquisitions in Germany and by gaining additional digital
     spectrum in France, Germany, Portugal and Luxembourg. In early
     2000, Dolphin was awarded a TETRA license in Spain.

--   Dolphin launched its U.K. ESMR service towards the end of third
     quarter of 1999, the initial step in the deployment of a seamless
     pan-European ESMR network. Dolphin had 11,700 ESMR subscribers
     connected to its network at December 31, 1999.

--   Dolphin appointed Steven Evans as Chief Executive Officer in
     November 1999. Mr. Evans has spent the last 12 years in executive
     positions with increasing responsibilities with mobile
     telecommunications operators in Europe and Asia-Pacific. He was
     until recently Deputy Managing Director of One 2 One, the
     DCS-1800 operator in the United Kingdom.

--   During the year, the Company raised over $1.0 billion, including
     debt and equity to finance its network rollout.

--   Dolphin signed a major infrastructure contract with Motorola in
     March 1999, including vendor financing, for its ESMR network in
     Germany. Motorola also acquired a 6.8 % equity participation in
     Dolphin Germany in September 1999.

--   On December 17, 1999, the Company was awarded the only license
     issued to date to construct and operate a national ESMR network
     in Luxembourg.

--   Revenues increased to $97.3 million in 1999 compared to $71.0
     million in 1998. Revenues increased to $26.0 million in the
     fourth quarter of 1999 compared to $21.3 million in the
     corresponding period in 1998.

--   Operating loss before depreciation and amortization was $72.2
     million in 1999 compared to an operating profit before
     depreciation and amortization of $1.3 million in 1998. Operating
     loss before depreciation and amortization was $33.6 million in
     the fourth quarter of 1999 compared to $1.7 million in the
     corresponding period in 1998. The increased losses are mainly
     attributable to the continued construction of the European ESMR
     network.

--   Net loss for 1999 was $169.3 million compared to $53.8 million in
     1998. Net loss for the fourth quarter of 1999 was $59.9 million
     compared to $28.7 million for the corresponding period in 1998.
     The increased losses are mainly attributable to the continued
     construction of the European ESMR network and interest on senior
     discount notes.

--   At December 31, 1999, the Company held cash and cash equivalents
     of $257.5 million.

--   On February 9, 2000, the Company completed a euro equivalent of
     $250 million senior financing with Motorola Credit Corporation to
     fund the construction of its ESMR network in Germany.

PRESS RELEASE

For the fourth quarter and year ended December 31, 1999

All amounts are in $US, unless otherwise stated

Telesystem International Wireless Inc. (Nasdaq:TIWI)(TSE:TIW) announces that its subsidiary, Dolphin Telecom plc ("Dolphin" or the "Company"), reported today its results for the fourth quarter and year ended December 31, 1999.

The year 1999 was highlighted by the increase in the Company's pan-European digital footprint through two acquisitions in Germany, additional digital spectrum in France, Germany and Portugal, as well as a digital license in Luxembourg. Dolphin launched Enhanced Specialized Mobile Radio (ESMR) services nationally in the United Kingdom and began construction of ESMR networks in France and Germany as part of its plan to offer seamless pan-European services to mobile work groups.

At December 31, 1999, 11,700 ESMR subscribers were connected to Dolphin's ESMR network in the United Kingdom. Late deliveries of terminals and accessories contributed to the relatively low number of connected ESMR subscribers at the end of the period. As a result of issues with handsets delivered by Nokia and Motorola, the pace of subscriber additions has slowed down in early 2000. Dolphin expects to increase the rate of subscriber additions starting in the second quarter, following the relaunch of the Nokia handset and the release of an improved version of the Motorola handset in March 2000.

The Company, whose network covers 87 % of the population in the United Kingdom, is also improving in-building coverage in the major U.K. cities and enhancing the quality of major route coverage. Dolphin expects to initiate commercial ESMR services, on a regional basis, in France in the third quarter of 2000 and in Germany and Belgium in the fourth quarter of 2000, with a level of coverage consistent with the improved levels of coverage in the United Kingdom.

On November 22, 1999, Mr. Steven Edward Evans was appointed as Chief Executive Officer of the Company. Mr. Evans replaced Ted Beddoes who became Senior Vice President 3G initiatives and non executive Chairman of the Board of Dolphin and who has since resigned from this position.