Re Contract

Intec Telecom Systems PLC
6 June 2001


          Intec Telecom Systems supplies InterconnecT and AutoRecon

                      to Basque country-based Euskaltel


*     AutoRecon enables Euskaltel to efficiently manage intercarrier
      settlements based on Spain's CODIFI standard


June 6, 2001 - Intec Telecom Systems has announced that Euskaltel, one of
Spain's newest local and long-distance communications providers, operating in
the Basque country, has purchased its InterconnecTTM and Autoreconciliation
software to implement efficient and accurate intercarrier billing. The
contract, valued at almost half a million Pounds, includes license fees,
services and maintenance support. Intec expects the chosen solutions to be in
production across Euskaltel's networks by mid June 2001.

'Intec is one of the market leaders in telecoms Operations Support Systems,
with proven solutions in the areas of fixed, mobile and IP billing,' said
Marta Machin, Euskaltel Business Development Manager. 'InterconnecT and
Autorecon provided exactly what we were looking for - accurate billing methods
that can be quickly and easily integrated into our networks.'

Intec, the world leader in domestic and international intercarrier billing,
has created a system that will enable Euskaltel to accurately charge other
inter-exchange and local exchange carriers for using its facilities, and to
automatically reconcile its own invoices with their incoming bills using the
CODIFI standard. The solution provides superior scalability to deal with
Euskaltel's growing volume of calls, and minimises operational overhead in
settling with other carriers.

Autorecon, Intec's new auto-reconciliation module, provides a fast and
reliable way to reconcile data sent between two billing systems. Like the
InterconnecT solution, Autorecon is compatible across a range of traditional
fixed, mobile and data services and can be tailored to support the next
generation of networks. Autorecon supports a number of standards including
Spain's CODIFI format.

'Euskaltel is a good example of a new breed of focused communications
provider, offering a full range of services in a specific market,' said Kevin
Adams, Intec's CEO. 'InterconnecT and Autorecon together offer a very
effective way for Euskaltel to assure maximum revenues from its network
investment with minimum operational overhead.'


For more information:

Andrew Rodaway
Intec Telecom Systems PLC
[phone]
[e-mail]



Cubitt Consulting
Fergus Wylie/Barney Jones
[phone]
[e-mail]



About Euskaltel

Founded in 1998, Euskaltel is a fixed telephone operator providing high
quality voice and data services to subscribers in the Basque country of Spain,
plus Internet access, wireless communications, calling cards and pre-paid
services for mobile phones. The company has a 20 per cent share of the Basque
telephony market, with reported sales of 96.1 million euros last year. To
learn more about Euskaltel, please visit the website at 
http://www.euskaltel.es


Intec Telecom Systems PLC

Intec Telecom Systems PLC is Europe's leading publicly-owned provider of
Operational Support Systems ('OSS') for telecoms companies, with over 200
customers for its products worldwide. Founded in 1997, Intec was listed on the
London Stock Exchange (code: ITL.L) in June 2000. Intec is the most successful
supplier, by market share, of packaged intercarrier billing and settlement
software, with more installations and more telecom operators, including many
PTTs, using its solution than any competitor. Intec is also a leader in the
key OSS area of 'convergent mediation' with its Inter-mediatETM product.
Intec's core billing product, InterconnecTTM, is a software platform which
allows billing and settlement between telecommunication operators to occur
reliably, accurately and speedily. Intec's US inter-carrier billing solution,
InterconnecT CABS, is used by over 40 RBOCs, ILECs and CLECs in the US.
Intec's convergent mediation product, Inter-MediatE, allows network event data
for both conventional and unswitched (IP) communications to be collected and
processed for use in billing and other OSS systems. Intec also provides
InterconnecT ITU for settlement based on ITU rules, Maxi-RoaMTM, a least cost
routing package, and a number of other OSS solutions. Intec products are ready
for next-generation networks.

Intec's customer base includes, amongst others, BellSouth, Cable and Wireless,
COLT Telecommunications, France Telecom, ITXC, MCI Worldcom, Swisscom,
T-Mobile International, Telia, Telkom South Africa, Telstra, Thus, US Cellular
and Verizon.