iesy and Tele Columbus to Combine

iesy and Tele Columbus to Combine

Combination of Germany's Two Most Dynamic Cable Operations

Broader Product Offerings for Customers

Subject to Regulatory Approval and Customary Closing Conditions

FRANKFURT and COLOGNE, Germany, August 1/PRNewswire/ -- The shareholders of iesy Repository GmbH ("iesy") and Tele Columbus Kabel Holding GmbH ("Tele Columbus") have agreed to combine their two businesses. Tele Columbus is the largest Network Level 4 ("Level 4") operator in Germany and iesy is the largest cable television provider in the German states of Hesse and (through its subsidiary ish) North Rhine-Westphalia.

Parm Sandhu, CEO of iesy and ish, commented:

"This combination will enhance our ability to compete in the vibrant markets in which we operate. It brings together two of the most dynamic cable operations and established management teams in German cable. We anticipate significant benefits for our customers and will continue to work closely with all our industry partners to realise the full potential of cable in Germany."

Dr Herbert Leifker, CEO of Tele Columbus, added:

"The combination will positively influence the development of our product portfolio we can offer to our customers and enhance the quality of services we provide to our customers. The management team is very excited about the opportunities that this transaction brings to German cable."

The transaction is subject to regulatory approval and other customary closing conditions. The parties aim for a closing in the fourth quarter 2005, subject to approval by the respective cartel offices. Until the closing date, both companies shall continue to operate independently.

The Companies will be hosting a joint conference call to discuss the transaction with investors; details to be circulated.

About iesy and ish

iesy and ish, headquartered in Frankfurt am Main and Cologne, are the largest cable television operators in the German states of Hesse and North Rhine-Westphalia. The company's products and services include basic television, digital TV, high-speed internet and telephony. As of June 30th 2005, iesy and ish had approximately 5.2 million basic cable subscribers, 88,450 digital TV subscribers, 27,500 high-speed internet users and 9,800 telephone lines. More information on iesy can be found on its website at http://www.iesy.de and more information on ish can be found at http://www.ish.de

About Tele Columbus

Tele Columbus, headquartered in Hanover, is the largest NL4 operator in Germany with approximately 2.6 million basic cable subscribers, 52,837 digital TV subscribers, and 23,301 internet subscribers, as of June 30th 2005. The company's core business is the distribution of cable television and radio services. More information on Tele Columbus can be found on its website at http://www.telecolumbus.de

For further information: Contacts for Investors Gary Ferrera Chief Financial Officer, iesy +49-(0)-69-973-24-600 Investor.relations@iesy.de

Andreas Knuppel Chief Financial Officer, Tele Columbus +49-(0)-511-9876-916

Contacts for Journalists: Stefan Lennardt Corporate Communications, ish +49-(0)-221-37792-197 presse@ish.com

Ralph Poeppel Investor Relations Tele Columbus +49-(0)-511-9876-932 rpoeppel@kabel-tv.de

Source: ish GmbH & Co. KG

For further information: Contacts for Investors - Gary Ferrera, Chief Financial Officer, iesy, +49-(0)-69-973-24-600, Investor.relations@iesy.de. Andreas Knuppel, Chief Financial Officer, Tele Columbus, +49-(0)-511-9876-916. Contacts for Journalists: Stefan Lennardt, Corporate Communications, ish, +49-(0)-221-37792-197, presse@ish.com. Ralph Poeppel, Investor Relations, Tele Columbus, +49-(0)-511-9876-932, rpoeppel@kabel-tv.de

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