Jazztel and ACEVAS Sign an Agreement To Provide Advanced Telecommunications Services

    MADRID, Spain, April 2 Jazztel
(Easdaq: JAZZ) (Nuevo Mercado in Spain: JAZ) and ACEVAS (Spanish Association
of Volkswagen, Audi and Skoda's car dealerships) have signed an agreement to
provide fixed telephony and data transmission services to ACEVAS's affiliated
car dealerships throughout Spain.
    Jazztel will offer advanced broadband telecommunications services to
ACEVAS' 250 associates.  In order to facilitate the use of its services
(private virtual networks, IP services, Intelligent network services, ASP
etc.), Jazztel will be holding seminars for all the ACEVAS associates.  These
seminars will provide increased productivity as well as strengthened
competitiveness for the car dealerships, through enhanced information
technology.
    This agreement will benefit Jazztel through increased usage of the
company's voice, data and Internet services by ACEVAS' associated network and
ACEVAS will benefit from more advanced technology and a significant reduction
in costs.  ACEVAS' current average annual expenditure for telecommunications
services is approximately 1.100 million pesetas.
    The location of ACEVAS's car dealerships in the major Spanish cities
largely coincides with Jazztel's current network infrastructure or its plans
for further development.  The associated companies are located throughout
Spain, with principal offices in larger cities such as Madrid, Barcelona,
Valencia, Sevilla, Bilbao and Zaragoza, among others.
    Jazztel's most up-to-date networks combine optical fibre and LMDS
technology (local access via radio).  This infrastructure, which Jazztel will
make available to all ACEVAS associates, will provide them with a large number
of voice and data services, as well as a much faster transmission speed
compared with the traditional copper wire networks.
    According to Antonio Garcia de Nicolas, president of ACEVAS, "This is a
very advantageous agreement for all of our associates.  Thanks to the
significant economies of scale, Jazztel's service provides ACEVAS with a
considerable reduction in costs.  Furthermore, it means that our associates
will have access to the most up-to-date networks and telecommunications
services.  They will also benefit from an IT programme which gives them
substantial competitive advantages in the market place."
    Pedro Mayor, director of operations of Jazztel, is also very satisfied
with the agreement, "Working closely with ACEVAS, who know the interests of
their associated dealerships, our future clients, has been key to this
agreement's success.  Jazztel's mission is to provide state of the art
technology that increases operating efficiency at competitive prices to SMEs.
This agreement reflects our continued success at winning new and innovative
customers who strengthen Jazztel's growing leadership in providing
telecommunications services to the Iberian market."

    ACEVAS
    The Ascociacion de Concesionarios Espanoles de Volkswagen, Audi y Skoda
has a total of 250 associated car dealerships, with a volume of sales nearing
175,000 vehicles, and employs more than 10,000 professionals.

    Jazztel
    Jazztel plc is a rapidly expanding data and telecommunications operator
with activities in Spain and Portugal.  The company provides broadband
solutions for data, internet and voice services to small and medium sized
businesses in the Iberian Peninsula.  Jazztel is currently the only pan
Iberian data and telecommunications operator investing in local access
networks with broadband capacity.  The company is constructing networks in
over 150 metropolitan areas and business parks in Spain and Portugal.  The
access networks, linked by a long-distance network, will constitute one of
Europe's fastest data and internet telecommunication network with transmission
capacity of up to 720 gigabits.  The company was founded end 1997 and has
around 900 employees.  Additionally, Jazztel recently acquired Adatel, a
telecommunications solutions integrator for SMEs and CCS an IT integrator.
Jazztel also holds nationwide fixed wireless access licenses in Portugal and
Spain, in the last case through Banda 26, a subsidiary of the Group.  The
Jazztel Group had total revenues of Euro 124.4 million for the year 2000, a
growth of 433.9% from 1999.  For further information go to http://www.jazztel.com

    Certain statements in this release are forward-looking statements that are
subject to material risks and uncertainties.  Actual results could differ
materially from those stated or implied by such forward-looking statements due
to risks and uncertainties associated with its businesses, which include among
others, competitive and technological developments, risks associated with the
Company's growth, construction delays, the development of the Company's
markets, regulatory risks, dependence on its major customers and their
spending patterns and other risks which will be presented in the Company's
filings with the US Securities and Exchange Commission, including its annual
report on Form 20-F and reports on Form 6-K, and certain European regulatory
authorities.  For this reason and others, the actual results may be
substantially different from the results expressed or implied in the
statements.