chello broadband n.v. Consolidates Position as European Market Leader by Signing Deals With First Non-UPC Affiliates and Appoints New Managing Director for the German Markets.

AMSTERDAM, Netherlands--(BUSINESS WIRE)--May 20, 1999--

chello broadband n.v. (www.chello.com ), Europe's first and leading broadband internet service provider and an operating company of United Pan-Europe Communications N.V. (UPC) (NASDAQ: UPCOY, AEX:UPC) today announced its first contracts with non-UPC cable affiliates, significantly expanding chello's reach within Europe. chello also announced the appointment of Dr Uli Neuert as group managing director of Austria, Germany and Switzerland.

Austrian cable company; Telesystem Tirol Kabelfernsehen GMBH & KG (Telesystem Tirol) and Belgian cable company Wolu-TV will offer chello's always-on, fixed fee, broadband internet service to their 80,000 and 20,000 subscribers, respectively from July 1 1999.

Headquartered in Innsbruck, Telesystem Tirol currently offers 39 TV channels and 36 digital radio channels to its 80,000 subscribers throughout the Tyrol region of Austria. More than 80% of the homes passed by the Telesystem Tirol network are already two-way enabled, making them immediately chello ready.

Wolu-TV specialises in providing local language programming, offering its subscribers access to 37 TV channels, 6 EBT packages with 17 channels and digital radio in the prestigious Brussels region of Woluwe Saint Lambert.

From July 1, Wolu-TV and Telesystem Tirol subscribers will be able to enjoy the m@ximum internet experience of chello. The chello service is not only available at speeds which are significantly faster than dial-up and ISDN, but its content is highly relevant to Belgian and Austrian customers and will be delivered in the local language.

"We are very pleased that Wolu-TV and Telesystem Tirol have chosen chello as their branded broadband internet service. These affiliate contracts were won against strong competition and prove that chello's service is both highly attractive and provides a real growth opportunity for local cable companies, reflective of chello's position as Europe's market leader for broadband internet service provision," commented John Riordan, CEO of chello and vice chairman of UPC.

chello also announced the appointment of Dr Uli Neuert, previously a managing director with Bertelsmann New Media, as group managing director of Austria, Germany and Switzerland. chello has already established itself as the market leader in broadband internet in Austria and from its newly established office in Hamburg, Neuert will spearhead chello's efforts in the other key German speaking markets.

Dr. Neuert, who will be based in chello's new Hamburg office, has a thorough understanding of the market, and will be responsible for making sure that the chello brand reflects the specific needs of the region and that there is a consistency in quality and service. He will play a vital role in promoting the growth of chello broadband internet across the whole of Europe.

Uli Neuert said, "I am very proud to become part of chello broadband and am looking forward to the challenge of making chello a household name across Austria, Germany and Switzerland. One of the key reasons that I wanted to join chello was that they really seem to listen to, and understand the needs of its users. Its vision of implementing a monthly flat-fee is a prime example of this."

"These announcements are only the beginning of the expansion plans that we have for chello. Users world-wide are waking up to the reality that broadband is the ideal platform for ultra-fast, always-on internet provision and that we are in a unique position to fulfil that need as part of UPC's triple play strategy of digital integration of telephony, cable and internet" added Mark Schneider, chairman of chello and CEO and chairman of UPC.

chello is commercially active in five countries across Europe and has already acquired through its affiliates 35,449 subscribers. It is the fastest growing European broadband internet service with access to the 4.8 million homes passed by the cable systems of UPC, of which 500,000 are currently upgraded ready to take the service, a figure which will rise to 3.0 million by the end of the year.

About chello broadband n.v.

chello broadband is Europe's first and leading broadband Internet service provider and is commercially active in five countries. It has the largest reach in Europe and is committed to delivering next-generation, 24-hour accessible Internet services and broadband content to consumers via high-speed cable modems, with no phone bills - ever! It provides a turnkey service to cable network operators based in Europe.

The company is an operating company of United Pan-Europe Communications (UPC), with headquarters in Amsterdam and offices in Amsterdam, London, Paris, Vienna, Hamburg, Brussels and Oslo. By providing unparalleled communications services, chello broadband delivers m@ximum Internet through cable with minimal cost. chello(TM) is a registered trademark of chello broadband n.v.

About United Pan-Europe Communications N.V. (UPC)

Headquartered in Amsterdam, UPC is one of the most innovative broadband communications companies in Europe and owns and operates the largest pan-European group of broadband communication networks. UPC provides cable television, telephony, high speed Internet access and programming services in ten countries across Europe and in Israel. As of March 31, 1999, UPC's systems passed approximately 4.8 million homes with 3.5 million basic cable subscribers, of which more than 500,000 take an expanded tier service. In addition, UPC had 118,000 telephone access lines and 20,800 carrier select customers, as well as 35,449 broadband Internet access subscribers. UPC completed an IPO in February 1999 and its shares are listed on the Amsterdam Stock Exchange ("UPC") and NASDAQ ("UPCOY").

UPC is a consolidated subsidiary of United International Holdings, Inc. (UIH) (NASDAQ: "UIHIA"). Microsoft Corporation has an interest of approximately 7.8% in UPC.