Appointment

British Telecommunications PLC 5 September 2001 September 5, 2001 mmO2 STRENGTHENS ITS BOARD WITH FURTHER NON EXECUTIVE APPOINTMENTS mmO2, the mobile business of BT, today announced the appointment of two new non-executive directors to its Board. Neelie Kroes was appointed on August 31 and Stephen Hodge will take his seat with effect from October 1, 2001. They will join David Varney, Chairman, Peter Erskine, Chief Executive Officer and David Finch, Chief Financial Officer on the Board, along with the other non-executive directors Paul Myners and Deputy Chairman Andrew Sukawaty. Neelie Kroes, 60, is an experienced stateswoman who has built an impressive political career. At the age of 36 she became Secretary of State for Transport and Public Works in The Netherlands and served two periods as a Cabinet Minister. During these years she handled the privatisation of the Dutch PTT, which became the example for privatisation of state owned activities in The Netherlands. She has written papers and conducted several studies for the European Commission on regulatory affairs, employment and economic issues. Neelie currently holds other non-executive board positions with a number of national and international companies. Stephen Hodge, 59, is currently Director of Finance of the Royal Dutch/ Shell Group where he is responsible for all the financial and investor relations issues for the Group and its Parent Companies. Stephen retires from Shell on September 30 after more than 25 years with the Group. He has an extensive knowledge of the financial management of international companies, having worked throughout the world including Australia, The Netherlands, Venezuela, and Argentina in a variety of financial positions. Stephen will chair the mmO2 audit committee. David Varney, recently appointed Chairman-designate of mmO2 said: 'We are very pleased that Neelie and Stephen are joining the mmO2 board. The breadth of their experience will contribute significantly to the development of mmO2 and demonstrates the pan European nature of our company.' Notes to Editors Following its planned demerger from BT, mmO2 will have wholly owned operations in the UK (BT Cellnet), Germany (VIAG Interkom), The Netherlands (Telfort), the Republic of Ireland (Esat Digifone) and the Isle of Man (Manx Telecom) and will also include Genie, which is one of Europe's leading mobile internet businesses. Following its planned demerger from BT, mmO2 will own third generation licences to operate 3G mobile services in the UK, Germany and the Netherlands - all territories where its operating companies have already launched GPRS services. mmO2 expects to apply for a 3G licence in Ireland when the application process commences. mmO2 plc applies to the holding company and O2 will be the brand of the customer facing businesses of mmO2 plc. This press announcement, which has been prepared by and is the sole responsibility of mmO2 limited, has been approved solely for the purposes of section 57 of the Financial Services Act 1986 by Merrill Lynch International, Morgan Stanley & Co. International Limited and Salomon Brothers International Limited which are regulated in the UK by The Securities and Futures Authority Limited. Merrill Lynch International, Morgan Stanley & Co. International Limited and Salomon Brothers International Limited are advising mmO2 limited and British Telecommunications plc in relation to the proposed demerger and no-one else and will not be responsible to anyone other than mmO2 limited and British Telecommunications plc for providing the protections afforded to the customers of Merrill Lynch International, Morgan Stanley & Co. International Limited and Salomon Brothers International Limited in relation to the proposed demerger. This announcement does not constitute, or form part of an offer, or solicitation of an offer, to purchase or subscribe securities. --------------------- Inquiries about this news release should be made to BT Group Newsroom on the 24-hour number: 020 7356 5369. From outside the UK, dial +44 7356 5369, or to Fiona Fong, Brunswick, 020 7404 5959. More information about the company can be accessed at the website www.02.com

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