RSL COM Buys Into Rioja 2 and 3 European Cables; Adds Capacity for 8,000 Additional Phone Calls Between UK, Belgium and Netherlands.

HAMILTON, Bermuda and NEW YORK--(BUSINESS WIRE)--Oct. 29, 1998-- RSL COM Europe, Ltd., a subsidiary of RSL Communications, Ltd. (NASDAQ:RSLCF), has agreed to purchase 155 megabit circuits (STM-1s) in each of the Rioja-2 cable, which connects Belgium to the United Kingdom, and the Rioja-3 cable, which connects Belgium to the Netherlands.

Each of the circuits can carry 8,000 simultaneous phone calls. The cable expansion--totaling 1,400 kilometers--is expected to go into service by mid-1999.

"Our customers are talking!" said Andy Shields, Vice President of International Carrier Relations for RSL Communications, Ltd. "Our significant increase in customer base has spurred the need for additional capacity in Europe. The circuits in the Rioja cables expand the European portion of RSL NET, our global transport highway. Of the 20 countries in which RSL COM has operations, 14 are in Europe and 11 of our European operations are now fully licensed with interconnection. Our capacity needs are growing significantly."

The new capacity will be added to 88,000 kilometers of circuits already purchased in other cable systems. These include Americas 1, ANTILLAS 1, APCN, CANUS-1, CANTAT-3, DK-SWE, Estepona-Tetouan, Finland-Sweden, FLAG (various segments), Gemini, JASURAUS, KATTEGAT-1, ODIN 1, ODIN 2, PTAT-1, NPC, RIOJA 2, RIOJA 3, Southern Cross, SWE-FIN, SWE-Latvia, Taino-Carib, TAT-12 and 13, UK-GER 6, and the UK-NL 14 undersea fiber optic cable systems. The Company also owns capacity on the CMC and MCC terrestrial (Japan) fiber optic cable systems. In addition, RSL COM has committed to purchase capacity in the submarine fiber systems of JAPAN-USA, Pan American, MAYA and TAT-14, submarine cables.

RSL Communications, Ltd. is a global facilities-based telecommunications company that provides international services, including long distance, calling card, private line, value-added and Internet-based services for businesses, consumers and other carriers worldwide. The Company operates on four continents in twenty countries that account for more than 70 percent of the world's international traffic.