Acquisition

BT Group PLC
25 October 2004


BT GROUP PLC

October 25, 2004

Statement on acquisition of B.I.C Systems Group Ltd

Following BT's announcement on 16th September 2004 that it had agreed to
purchase the Northern Ireland IT Company B.I.C. Systems Group Ltd., approval has
been received from The Competition Authority in the Republic of Ireland for the
acquisition to progress. Permission was granted on Friday 15th October and the
acquisition subsequently completed on Tuesday 19th October 2004.

Ends





BT Group plc is the holding company for an integrated group of communications
businesses and is listed on stock exchanges in London and New York. British
Telecommunications plc (BT) is a wholly-owned subsidiary of BT Group and
encompasses virtually all businesses and assets of the BT Group.

BT is one of the world's leading providers of communications solutions serving
customers in Europe, the Americas and Asia Pacific. Its principal activities
include network centric Information and Communications Technology (ICT)
solutions, local, national and international telecommunications services, and
higher-value broadband and internet products and services.

BT consists principally of three lines of business:

   • BT Retail, providing fixed and mobile communications services and
    solutions to over 20 million business and residential customers in the UK.
    It is also a leading UK internet services provider.
   • BT Wholesale, providing network services and solutions within the UK to
    more than 600 fixed and mobile operators and service providers including the
    provision of broadband, private circuits and PSTN.
   • BT Global Services, providing ICT services internationally to meet the
    needs of multi-site organisations with European operations. BT Global
    Services operates in 136 countries and also offers international carrier
    services.

In the year ended 31 March 2004, BT Group's turnover was £18,519 million with
profit before goodwill amortisation, exceptional items and taxation of £2,013
million.

For more information, visit www.btplc.com

For further information contact:
Marnie O'Neill, BT Northern Ireland, T: 028 9021 4237
Rachel Brennan, BT Northern Ireland, T: 028 9021 4237




                      This information is provided by RNS
            The company news service from the London Stock Exchange