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CAUCASUS ONLINE CHOOSES TYCO TELECOMMUNICATIONS TO CONSTRUCT 1100 KM TRANS-BLACK SEA UNDERSEA FIBER OPTIC CABLE SYSTEM CONNECTING THE REPUBLIC OF GEORGIA AND BULGARIA

State-of-the-Art System Will Provide Robust, High Bandwidth Communications to Varna, Bulgaria from Poti, Georgia

TBILISI, GEORGIA and MORRISTOWN, NJ - September 7, 2007 --

Independent Georgian telecommunications provider Caucasus Online and Tyco Telecommunications, a business unit of Tyco Electronics and an industry pioneer in undersea communications technology, announced today the signing of a contract to construct an undersea fiber optic system that will provide high bandwidth connectivity between Poti, Republic of Georgia and Varna, Bulgaria.  The system will serve Georgian markets by providing direct access to Western Europe via a state-of-the-art undersea fiber optic link.
“The Republic of Georgia has a rapidly expanding demand for bandwidth and access to the internet,” explains Mamia Sanadiradze, CEO of Caucasus Online. “The undersea solution we are deploying with Tyco Telecommunications will serve markets in Georgia and the Caspian region with a system that meets our stringent criteria for capacity, scalability and robustness using advanced, proven technologies.”
The system will be comprised of a 2 fiber pair point to point link connecting the main Georgian port of Poti with the Bulgarian coastal city of Varna.  The system will have an ultimate capacity to transmit 64 10 Gigabit wavelengths on each fiber pair for a total bandwidth of nearly 1.3 Terabits.  Onward connectivity from Poti to Tbilisi, Georgia and the rest of the Caucasus region will be provided on the Caucasus Online terrestrial network.  Caucasus Online is developing a terrestrial link from Varna to Sophia, Bulgaria where it will connect to the rest of Europe through service agreements with international carriers.
“The Black Sea presents unique technical and geopolitical challenges.  Nevertheless, regional systems such as the Caucasus System require the same scalability and reliability as trans-oceanic systems, in an economic package,” says Rob Munier, managing director for global solutions at Tyco Telecommunications. “The system we are building with Caucasus will deploy the latest generation of equipment (G3) which features small form factor and highly efficient transmission equipment; reducing both capital and operating expenditures without compromising performance.  The unique oceanographic environment will also require special enhancements of the undersea components in order to ensure the 25 year engineering design life.”
Tyco Telecommunications expects to deliver the system in the fall of 2008.

About Tyco Telecommunications
Tyco Telecommunications, a business unit of Tyco Electronics and an industry pioneer in undersea communications technology and marine services, is a leading global supplier for today's undersea communications requirements.
Drawing on its heritage of technical innovation and industry recognized performance, the company delivers the most reliable, high-quality solutions to organizations with undersea communications needs vital to their core mission. In more than five decades of operation, Tyco Telecommunications has designed, manufactured, and installed more than 80 undersea fiber optic systems around the world. Tyco Telecommunications’ global presence, backed by industry leading research and development laboratories, manufacturing facilities, installation and maintenance ships, depots, and management team work together to implement integrated solutions and network upgrades, with unsurpassed reliability, that support the needs of telecommunications, internet providers, offshore and science customers worldwide.
For more information visit www.tycotelecom.com

About Caucasus Online
Caucasus Online was the first ISP in the Republic of Georgia and has grown to lead the market with over 90% share.  Caucasus Online also is the leader and largest ISP in the Caucasus region which includes Azerbaijan and Armenia, in addition to Georgia.  Services includes internet through DSL and FTTH, long distance and a growing network of VoIP and IPTV.
For further information visit: www.caucasus.net

Contacts: 

Mamia Sanadiradze,CEO
Caucasus Online Ltd.
+995 772 22228
mamia@caucasus.net

Victoria Dillon
Tyco Telecommunications
1 978.442.5304
dillonv@tycoelectronics.com