FLAG Telecom files Quarterly Report on Form 10-Q for the period ended June 30, 2003

Fiber Optics Weekly Update, August 22, 2003

FLAG Telecom Group Limited announced that it has filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q for the period ended June 30, 2003. FLAG announced that total revenues in the three and six months ended June 30, 2003 were $33.5 million and $63.1 million, respectively.

Furthermore, FLAG has entered into new customer contracts with a value of $36.8 million and $78.9 million during these same periods, underlining customer confidence both in the company and in the quality and breadth of its network. The company stated that it continues to experience strong demand for network services activities, including IP Transit, managed bandwidth services, vPoP and co-location services.