Teleglobe Completes Unification of Voice Traffic Routing and Management across the World's Largest International Wholesale Voice Network.

HAMILTON, Bermuda -- Teleglobe International Holdings Ltd (NASDAQ:TLGB):

--Customers to benefit from better value to more destinations

--Teleglobe takes major step towards realizing the remaining SG&A and CAPEX synergies from Teleglobe/ITXC integration

Teleglobe International Holdings Ltd (NASDAQ:TLGB) has successfully completed the integration of Teleglobe's extensive traditional TDM voice network and the former ITXC's global voice over IP (VoIP) network under the automated Best Value Routing(TM) (BVR(TM)) system from former ITXC. BVR now adaptively routes calls to ensure the right quality at the best cost, regardless of whether it terminates or originates on the TDM or VoIP portions of Teleglobe's network.

Full unification of traffic routing and management under BVR means Teleglobe now has one logical voice network, anchored by Teleglobe's extensive portfolio of bilateral relationships and driven by the industry's most powerful, automated routing engine. It is a major step on the path to full Teleglobe-ITXC integration.

This allows Teleglobe to more consistently deliver carrier-grade call completion to operators at more competitive prices across more destinations and to capture the remaining operational synergies of the ITXC merger in 2004. Using any type of connection, customers can now access Teleglobe's different grades of Voice Termination Services (VTS), such as VTS and VTS Economy, with calls being dynamically terminated using one broad, shared pool of suppliers.

"Over the past year, Teleglobe has worked to integrate the company's TDM and VoIP termination under former ITXC's automated BVR system, replacing Teleglobe's older and less efficient routing capability," said Rick Willett, chief operating officer and head of global traffic management (GTM) at Teleglobe. "With full network unification, Teleglobe will begin to realize reduced demands for capital expenses and increase productivity from our operational resources while sustaining, and in some cases, enhancing gross margin and quality. More adept routing operations will also enable Teleglobe to begin offering our customers more competitive pricing to more destinations."

Teleglobe's proprietary BVR is now managing the 13 billion call minutes annually across Teleglobe's global voice network, which became the world's largest international wholesale voice network in 2004 through the merger with ITXC. BVR reliably supports multiple VTS grades of service simultaneously across the one network.

BVR's patented technology automatically recalculates and adjusts the call routing across all worldwide routing destinations every hour. Teleglobe's routing system generates real time predictive and corrective routing changes based on destination-specific current and historical performance data and current rates for each available Teleglobe supplier. The system builds the best value (quality and cost) route to each destination and each grade of service for each of Teleglobe's customers.

About Teleglobe:

Teleglobe International Holdings Ltd is a leading provider of international voice, data, Internet and mobile roaming services with over 50 years of industry expertise in international telecommunications. Teleglobe became a public company trading on the NASDAQ under the symbol TLGB with the acquisition of Voice over IP (VoIP) network leader ITXC Corp. on June 1, 2004.

Teleglobe owns and operates one of the world's most extensive telecommunications networks, reaching over 240 countries and territories with advanced voice, mobile, and data services. Teleglobe is the carrier of choice to more than 1,400 wholesale customers representing the world's leading telecommunications, mobile operators and Internet service providers.

With an annual run-rate of over 13 billion minutes, and a significant portion of the world's Internet traffic, Teleglobe's network is consistently ranked among the most robust and reliable, performing at the high end of industry standards. Detailed information about Teleglobe is available on the company's web site at www.teleglobe.com.