Disposal

Vodafone Group PLC
1 July 2002

1 July 2002


               VODAFONE'S ARCOR SELLS REMAINING 50.1% IN TELEMATIK



Vodafone Group Plc ('Vodafone') announces today that Arcor AG & Co. ('Arcor'), a
73.6% subsidiary of Vodafone AG, has sold its remaining 50.1% stake in its
railway specific fixed-line telecommunications activities, Arcor DB Telematik
GmbH ('Telematik'), to the German state owned railway operator Deutsche Bahn AG
group ('Deutsche Bahn').

Arcor had initially sold Telematik's physical infrastructure as well as a 49.9%
stake in Telematik's equity and entered into a put/call arrangement with
Deutsche Bahn governing the remaining 50.1% stake, exercisable from 1 July 2002.

Deutsche Bahn exercised its option to purchase the remaining 50.1% stake today.
Arcor has now received the full transaction consideration of Euro 1.15 billion.




For further information:



Vodafone Group

Tim Brown, Group Corporate Affairs Director
Melissa Stimpson, Head of Group Investor Relations
Bobby Leach, Head of Group Financial Media Relations
Darren Jones, Senior Investor Relations Manager
Tel:  [phone]

Tavistock Communications
Lulu Bridges / John West
Tel:  [phone]



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