Press Release

Basseterre, 19 October 2006:  St. Kitts and Nevis telecommunications company CariGlobe Telecommunication Ltd. ("CariGlobe") has taken legal action against the government of the Netherlands Antilles company United Telecommunication Services N.V. (UTS) and its affiliate, for material breach of the UTS-CariGlobe Mobile Services Ltd. ("UTS-CariGlobe") shareholders agreement.

UTS-CariGlobe is a joint venture company formed last year between CariGlobe and UTS for the purpose of operating the cellular telecommunications licence granted to CariGlobe in May 2002 by the government of St. Kitts and Nevis.

CariGlobe, among other things, is seeking damages from UTS for repeatedly and deliberately acting in a manner that was not in the best interest of UTS-CariGlobe and which, in effect, undermined the competitiveness and viability of UTS-CariGlobe.

Clecton Phillip, Founder/Chairman/CEO of CariGlobe has indicated that CariGlobe intends to end its relationship with UTS and its CHIPPIE branded mobile service and thus wind up the operation of UTS-CariGlobe.

Mr. Phillip believes that with the right product and services, strategy, approach and support at appropriate levels, indigenous Caribbean companies can compete successfully with any extra regional company, and he is confident that just like the St. Kitts-Nevis-Anguilla National Bank Ltd., CariGlobe Telecommunications Ltd. can become the dominant service provider in the industry here in St. Kitts and Nevis.

CariGlobe is owned 92.5% by Clecton Phillip and 7.5% by the Development Bank of St. Kitts and Nevis.

For further information, contact Clecton Phillip at 556-2381 or 465-2381.