European Competitive Telecommunications Association

Also following the successful completion of the capital increase transaction, the Board has then determined that the phase of strategic repositioning and financial strengthening of the last two years is completed.

Tommaso Pompei, in agreement with the Company, has therefore renounced his powers, intending to remain as Director until the ordinary expiration of the term of the entire Board, and as such, until the approval of the 2007 financial statements. The Directors Gabriele Racugno and Rocco Sabelli have resigned with immediate effect.

The Company warmly thanks Tommaso Pompei for his activity in the past two years, which has allowed the Company to achieve important targets in key markets.

The Board of Directors of Tiscali has confirmed the intention of the Company to pursue the objectives of the Strategic Plan and in the same time evaluate every strategic alternative to generate further value for shareholders, in relation with the ongoing consolidation process in the telecommunication arena in Europe.

The Board of Directors has therefore asked Mario Rosso to oversee and coordinate this new strategic phase for the Company, by appointing him as CEO of Tiscali.

Mario Rosso, with a long standing managerial experience in large industrial corporations, has a deep knowledge of the Tiscali Group and of its potential, by holding managerial and planning roles in the Group through its development phase and, ultimately, by becoming a Director.

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