Andersen Group Announces Exchange of MBC Rights Offering.

Business Editors

NEW YORK--(BUSINESS WIRE)--July 19, 2002

Andersen Group, Inc. (NASDAQ: ANDR) today announced that the Company's Board of Directors has confirmed the Company's willingness to exchange its common stock for new shares of Moscow Broadband Communication Ltd. (MBC) common stock to be issued pursuant to a MBC Rights Offering.

MBC, a privately held company which is presently 25% owned by Andersen Group, has issued rights to its shareholders to acquire up to 6,250 shares of its common stock at $800 per share for total proceeds of up to $5,000,000.

As Andersen Group recently announced, each MBC share may be exchanged for 150 shares of Andersen Group common stock if other closing conditions are met.

If all the MBC Rights are fully subscribed, Andersen Group will issue an additional 937,500 shares over previously announced amounts, and the entire MBC exchange will total 3,187,500 shares of Andersen Group common stock.

The Andersen Group Board has determined that additional capital is required in order for Andersen Group to provide equity capital to the Moscow broadband services provider ZAO ComCor-TV (CCTV) to enable it to complete the wiring of the Central Administrative Region of Moscow, fund its operating plan and provide Andersen Group with additional working capital to meet its operating and debt service requirements.

Andersen Group's Board stated that the completion of the purchase of the 50% of CCTV not held by MBC as outlined in the agreements signed April 30, 2002 is contingent upon approximately $5,000,000 of additional capital being raised, including the amounts that may be raised pursuant to the MBC Rights Offering or from other outside sources. Additionally, the purchase of the CCTV shares is also contingent upon the exchange of substantially all of the MBC common shares into Andersen Group common stock and other closing conditions.

Additional information on the proposed exchange ratio that has been offered to Moscow Broadband shareholders is available in Andersen Group's 8-K filing with the SEC.

Andersen Group, Inc.

Andersen Group (www.andersengrp.com) is an investment company based in New York that is publicly traded on the Nasdaq National Market under the symbol "ANDR". The company is a principal investor in Moscow Broadband Communication, which owns 50% of ComCor-TV (www.comcor-tv.ru), a Russian company that is in the process of wiring the City of Moscow to provide broadband services including cable television, high-speed Internet access and IP-based telephony to residential and business customers.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

This press release contains "forward-looking statements", as the phrase is defined in Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements involve risks and uncertainties and the actual outcome may differ materially from these statements. These statements include and relate to the Company's consummation of its proposed transactions with the Moscow Broadband Communication, Ltd. shareholders and Asinio Commercial Ltd. (ACL) and the consummation of the transaction between ACL and COMCOR. All forward-looking statements included in this report are based upon information available to the Company as of the date hereof and the Company disclaims any obligation to update developments of these risks or to announce publicly any revision to any of the forward-looking statements contained in this release, or to make corrections to reflect future events or developments.