Transaction Network Services Acquires ICG's SS7 Business; ICG Selects TNS As Exclusive Internal SS7 Provider.

RESTON, Va. -- Transaction Network Services, Inc. (NYSE:TNS), a leading provider of business-critical data communications and network services for transaction-oriented applications, announced today that it has acquired all of the customer contracts and certain assets relating to the Signaling System 7 (SS7) network formerly operated by Englewood, Colorado-based ICG Communications. Under the terms of the agreement, ICG will also use TNS as its exclusive provider for ICG's internal SS7 needs.

"ICG's decision to choose TNS for SS7 services is based in part on TNS' extensive SS7 experience," said Dan Caruso, president and CEO of ICG. "We believe that ICG and ICG's customers will be assured to receive the same reliable, secure SS7 service and will also be able to take advantage of TNS' expanded range of signaling services."

While a 60 to 90-day transition period is anticipated, TNS will immediately begin to assume management control of ICG's SS7 customer base and signaling network assets. ICG and TNS will jointly serve ICG's SS7 network customers during the transition to maintain high levels of customer service and support.

"In the changing and competitive telecommunications landscape, it is essential that carriers continuously adapt to market conditions and find new ways to keep costs low while ensuring optimum value," said Barry Toser, senior vice president and general manager of TNS' Telecom Services Division. "To that end ICG's strategy is market leading and TNS looks forward to providing superior signaling service to ICG and its customers."

TNS' Telecommunication Services Division (TSD) operates a nationwide unaffiliated SS7 network, which provides the signaling related to the transaction component of telephone calls. TSD offers a full range of SS7, validation and fraud control, inter-carrier billing, custom network engineering and professional services to wireline and wireless carriers. TSD is one of four business divisions at TNS including the Point-of-Services (POS) Division, International Services Division (ISD) and the Financial Services Division (FSD).

About Transaction Network Services, Inc.

Transaction Network Services is one of the leading providers of business-critical, cost-effective data communications services for transaction-oriented applications. TNS provides rapid, reliable and secure transaction delivery platforms to enable transaction authorization and processing across several vertical markets and trading communities.

Since its inception in 1990, TNS has designed and implemented multiple data networks, each designed specifically for the transport of transaction-oriented data. TNS' networks support a variety of widely accepted communications protocols and are designed to be scalable and accessible by multiple methods. TNS' network technologies have been deployed in the United States and internationally, and TNS' networks have become preferred networks servicing the trading community, wireless and wireline carriers, and the card processing and dial-up automated teller machine markets. For further information about TNS' transaction solutions, please refer to www.tnsi.com.

This press release may contain various remarks about the future expectations, plans and prospects of TNS that constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. TNS' actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors, including those discussed under the heading "Risk Factors" in TNS' prospectus filed with the U.S. Securities and Exchange Commission on September 28, 2004, which may be accessed at www.sec.gov or TNS' investor relations web page available at www.tnsi.com. TNS disclaims any obligation to update or correct any forward-looking statements made herein due to the occurrence of events after the issuance of this press release.

About ICG

ICG Communications, Inc. is a premiere business communications company that specializes in converged voice and data services. ICG has a national footprint and extensive metropolitan fiber. ICG products and services include, voice and Internet Protocol (IP) solutions including VoicePipe(TM), voice services, dedicated Internet access (DIA), and private line transport services. ICG provides corporate customers and other carriers with flexible and reliable solutions. For more information about ICG Communications, visit the company's Web site at www.icgcomm.com.