LONDON, January 24 /PRNewswire/ --

Level 3 Communications' European Markets Group today announced that it has been working collaboratively with BT Global Services to expand backbone capacity in Central and Eastern Europe (CEE). BT Global Services targets the top 10,000 global multi-site organisations worldwide, providing global reach and a complete range of networked IT solutions and services to its customers. The expanded relationship with Level 3 is part of BT's ongoing commitment to transformation and is in line with BT Global Services' strategy of focusing on the service layer and optimization.

The joint project in the CEE region has ensured that there is a 2,400 km fiber network fully equipped with next generation networking capability. In addition, under the terms of this new multi-year agreement, Level 3 will deliver wavelength services to BT within the CEE region and more broadly through Europe. The agreement also enables Level 3 to further expand its fiber-based network, offering full services in the existing markets of Prague and Vienna while adding new points of presence in Budapest, Bratislava and Ivancice.

"We have been working with Level 3 for a number of years here in Europe and in the U.S. and are delighted to be expanding our networking relationship with them," said George Nazi, managing director, 21CN Core Convergence, BT Design. "Level 3 understands our networking needs and business drivers and can provide us with the reliable, scalable backbone and high-quality solutions that support our commitment to transformation. This agreement underscores the strength and quality of our network and the Level 3 network and is important in enabling continued and expanded delivery of world-class services in the CEE region, both today and well into the future."

"Working together to deliver this fundamental network is a great achievement for both Level 3 and BT," said Brady Rafuse, president and chief executive officer of Level 3 European Markets. "This agreement is a testament to the continued commitment both companies have to delivering a high quality service to customers. We are seeing growing demand for Level 3 services in Central and Eastern Europe and are pleased to be able to offer a comprehensive set of solutions to our customers in this region."

About Level 3 Communications

Level 3 Communications, Inc. (Nasdaq: LVLT), an international communications company, operates one of the largest Internet backbones in the world, connecting 180 markets in 18 countries. The company serves a broad range of wholesale, enterprise and content customers with a comprehensive suite of services including: Internet Protocol (IP) services, broadband transport and infrastructure services, colocation services, voice and voice over IP services, content delivery and media distribution services. These services provide the building blocks to enable Level 3's customers to meet their growing demands for advanced communications solutions. The company's Web address is http://www.Level3.com.

Forward-Looking Statement

Some of the statements that we make in this press release are forward-looking in nature. These statements are based on management's current expectations or beliefs. These forward-looking statements are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside our control, which could cause actual events to differ materially from those expressed or implied by the statements. The most important factors that could prevent us from achieving our stated goals include, but are not limited to our ability to: successfully integrate acquisitions; increase the volume of traffic on our network; defend our intellectual property and proprietary rights; develop new products and services that meet customer demands and generate acceptable margins; successfully complete commercial testing of new technology and information systems to support new products and services; attract and retain qualified management and other personnel; and meet all of the terms and conditions of our debt obligations. Additional information concerning these and other important factors can be found within Level 3's filings with the Securities and Exchange Commission. Statements in this press release should be evaluated in light of these important factors. Level 3 is under no obligation to, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.

About BT

BT is one of the world's leading providers of communications solutions and services operating in 170 countries. Its principal activities include networked IT services; local, national and international telecommunications services; higher-value broadband and internet products and services and converged fixed/mobile products and services. BT consists principally of four lines of business: BT Global Services, Openreach, BT Retail and BT Wholesale.

In the year ended 31 March 2007, BT Group plc's revenue was 20,223 million pounds Sterling with profit before taxation of 2,484 million pounds Sterling.

British Telecommunications plc (BT) is a wholly-owned subsidiary of BT Group and encompasses virtually all businesses and assets of the BT Group. BT Group plc is listed on stock exchanges in London and New York. For more information, visit http://www.bt.com/aboutbt

For further information about BT

Enquiries about this news release can be made to the BT Group Newsroom on its 24-hour number: 020-7356-5369. From outside the UK dial +44-20-7356-5369. All news releases can be accessed at our web site: http://www.bt.com/newscentre

Web site: http://www.level3.com http://www.bt.com/aboutbt

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