In third quarter Tiscali UK, including VNL (Video Networks / HomeChoice), has achieved EUR 113.5 million revenues, with a 37% increase as compared to the same period of 2005 (EUR 82.8 million revenues). Such performance is mainly due to the ADSL access service segment (EUR 74.2 million in the quarter, versus EUR 44.9 million in the same period of 2005, with a 65% increase). These services accounted for over 65% of the Tiscali’s revenues in UK.

In such growing revenue context the voice services, also including analogical products sold in addition to ADSL services, generated EUR 17.8 million of revenues (EUR 13.2 million in the same period of 2005). The overall contribution by VNL in third quarter 2006, limited to the month of September, was EUR 2.5 million of revenues.

In third quarter 2006 the customer base showed a marked increase: ADSL users acquired were 137,000, of which approximately 43,000 derived from the integration
with VNL. As at 30 September 2006 broadband users were over 1.34 million (1,336,000), of which 263.000 direct customers, i.e. already connected to the Tiscali unbundling network (ULL), whose roll-out was started in first-half 2006. In comparison with the end of the preceding financial year the ADSL user base is increased in the first nine month of 2006 by 43%.