News Release

PRIMUS Telecommunications Selects Cisco 12000 Series Routers for Its Global Application-Intelligent Network (AIN)

Business Customers to Enjoy Reliable Suite of E-Commerce and Data Services Over a High-Capacity Application-Optimized Network
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Oct 04, 2000

MCLEAN, Va., Oct. 4, 2000 - PRIMUS Telecommunications Group, Incorporated (Nasdaq: PRTL), a global facilities-based Total Service Provider offering data, Internet, e-commerce, web-hosting, enhanced applications and voice services on a bundled basis, today announced that Cisco Systems' (Nasdaq: CSCO) 12000 Series Internet routers had been selected to provide the next-generation IP infrastructure for PRIMUS's global broadband asynchronous transfer mode (ATM) and Internet protocol (IP) network. As part of the worldwide Application-Intelligent Network deployment, PRIMUS is deploying Cisco 12008 Internet routers in its backbone nodes to enable a higher- performance, more reliable network and the provisioning of competitive services, such as e-business, web hosting, application services and MPLS-based virtual private networks (VPNs) for its business customers worldwide.

"PRIMUS is clearly on the cutting edge of convergence toward an IP-centric communications environment that emphasizes a commitment to the customer," said Vijay Parikh, vice president and general manager of Cisco's Internet POP Systems Business Unit. "We have worked alongside PRIMUS to build its global broadband data network using the latest in core IP router technology from Cisco. The result is a cost effective and robust infrastructure through which PRIMUS may offer its customers a suite of bundled scalable, high speed and value-added data services."

"Our state-of-the-art global integrated Application-Intelligent Network will support ATM protocols and is optimized for IP-based application services which enables the Company to expand its range of services to meet virtually all customer requirements," said K. Paul Singh, Chairman and Chief Executive Officer of PRIMUS. "After evaluating several vendors, PRIMUS chose Cisco because it is the only vendor that offers the Internet scalability we need for flexibly and cost-efficiently extending future services. The Cisco 12000 Series routers, along with Cisco IOS(R) software, enables PRIMUS to build a highly reliable and scalable IP infrastructure."

Comprised of nearly 50 backbone nodes that will reach over 300 cities around the world, the significant network expansion being undertaken by PRIMUS is needed to support its customers' growing capacity demands for e-commerce, multimedia and other bandwidth-intensive Internet applications. Cisco's premier Internet routing technology provides PRIMUS with a seamless, highly scalable and cost-effective migration path to faster transmission speeds to address the Company's infrastructure growth. The Cisco 12000 Series routers are also the only Internet routers in the industry today that can enable a breadth of IP services combined with the scalability to terabit system capacity. As such, PRIMUS is able to deliver high-performance, reliable services seamlessly throughout its data network expansion process, which will be completed by the first half of 2001.

PRIMUS Telecommunications Group, Incorporated (Nasdaq: PRTL) is a global facilities-based Total Service Provider offering bundled data, Internet, digital subscriber line (DSL), e-commerce, web hosting, enhanced application, virtual private network (VPN), voice and other value-added services. The Company owns and operates an extensive global network of owned and leased transmission facilities, including over 300 IP points-of-presence (POPs) and Internet peering relationships throughout the world, ownership interests in over 23 undersea fiber optic cable systems, 19 international gateway and domestic switches, a satellite earth station and a variety of operation relationships that allow the company to deliver traffic worldwide. PRIMUS has been expanding its e-commerce and Internet capabilities with the deployment of a global state-of-the-art broadband fiber optic ATM+IP network. Founded in 1994 and based in McLean, VA, the Company serves corporate, small and medium sized business, residential and data, ISP and telecommunication carrier customers primarily located in the North America, Europe and Asia-Pacific regions of the world. at the Company's Web site at www.primustel.com.

The statements in this release that are forward looking statements are based on current expectations and are not strictly historical statements, which may differ materially from actual results. Not strictly historical statements include, without limitation, those regarding management's plans, expectations, objectives, strategy, and timing for future operations and products such as roll-out of our network or data centers, product plans and performance, predictions or expectations of future growth, management's assessment of market factors, and future financial performance. Among factors that could cause actual results to differ materially are changes in business conditions; changes in the telecommunications or Internet industry or the general economy or capital markets; DSL, Internet and telecom competition; changes in service offerings or business strategies; inability to lease space for data centers at commercially reasonable rates; difficulty in provisioning voice over IP services; changes in the regulatory schemes and regulatory enforcement in the markets in which we operate; the possible inability to raise capital when needed; risks associated with PRIMUS's limited DSL, Internet and web-hosting experience and expertise, entry into developing markets, and managing rapid growth; and risks associated with international operations (including foreign currency translation risks); dependence on effective information systems; dependence on third parties to enable us to expand and manage our global network and operations; and dependence on performance of PRIMUS's global IP+ATM communications network. These factors are discussed more fully in PRIMUS's public filings, including its most recent 10Q and 10K filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements which speak only as of the date these statements were made. PRIMUS undertakes no obligation to update any forward-looking statements contained in this press release.