World Access Files Lawsuit Against Deutsche Telekom in TelDaFax Dispute

World Access Claims Loss of Strategic Business as a Result

Of Deutsche Telekom's Actions



Apr 20, 2001, 01:00 ET from World Access, Inc.

    ATLANTA, April 20 /PRNewswire Interactive News Release/ --
 World Access, Inc. (Nasdaq: WAXS) announced today that it has filed a lawsuit
 against Deutsche Telekom AG ("DT") in the United States District Court for the
 Northern District of Georgia.  Among other things, the complaint alleges that
 WAXS has suffered damages in excess of $600 million resulting from DT's
 decision earlier this month to discontinue interconnection services to
 TelDaFax AG, a German long distance service provider, in which WAXS currently
 holds a 33% interest.  The complaint alleges that in terminating access to its
 network, DT violated German Antitrust laws and breached its contractual
 obligations to TelDaFax.  WAXS's suit further alleges that, prior to and since
 terminating network access, DT has engaged in efforts to convert customers of
 TelDaFax, as well as customers of WAXS's wholly owned subsidiaries in Germany,
 whose long distance service was being provided by TelDaFax pursuant to
 reseller agreements.
     Since 1999, World Access has implemented a strategy designed to build a
 retail long distance business in Europe focused on small and medium-sized
 business customers.  In June 2000, WAXS announced that it reached an agreement
 to acquire TelDaFax expecting that it would become the cornerstone of its
 European network and operations.  The lawsuit alleges that DT's termination of
 interconnection service to TelDaFax resulted not only in the destruction of
 TelDaFax's business operation, but caused substantial damage to WAXS, severely
 limiting its ability to restructure and reorganize its finances and business
 operations and to continue to implement its business plan.
     WAXS's lawsuit follows three days after a German court issued a
 preliminary order requiring DT to restore interconnection service to TelDaFax.
 DT restored service to TelDaFax in accordance with the court order.  However,
 World Access believes that great harm had already been caused to the
 commercial prospects of TelDaFax.
 
     About World Access
     World Access is focused on being a leading provider of bundled voice, data
 and Internet services to small- to medium-sized business customers located
 throughout Europe.  In order to accelerate its progress toward a leadership
 position in Europe, World Access is acting as a consolidator for the highly
 fragmented retail telecom services market, with the objective of amassing a
 substantial and fully integrated business customer base.  To date, the Company
 has acquired several strategic assets, including Facilicom International,
 which operates a Pan-European long distance network and carries traffic for
 carrier customers, NETnet, with retail sales operations in 9 European
 countries, and WorldxChange, with retail accounts in the US and Europe.  World
 Access, branding as NETnet, offers services throughout Europe, including long
 distance, internet access and mobile services.  The Company provides end-to-
 end international communication services over an advanced asynchronous
 transfer mode internal network that includes gateway and tandem switches, an
 extensive fiber network encompassing tens of millions of circuit miles and
 satellite facilities.  For additional information regarding World Access,
 please refer to the Company's website at www.waxs.com .
 
     This press release may contain financial projections or other forward-
 looking statements made pursuant to the safe harbor provisions of the
 Securities Reform Act of 1995.  Such statements involve risks and
 uncertainties which may cause actual results to differ materially.  These
 risks include: inability to obtain adequate financing or financing on terms
 acceptable or favorable to the Company; inability to restructure existing debt
 obligations; potential inability to identify, complete and integrate
 acquisitions; difficulties in expanding into new business activities; delays
 in new service offerings; the potential termination of certain service
 agreements or the inability to enter into additional service agreements; and
 other risks described in the Company's SEC filings, including the Company's
 Annual Report on Form 10-K for the year ended December 31, 1999, as amended,
 the Company's Quarterly Reports on Form 10-Q for the quarters ended March 31,
 2000 and June 30, 2000, as amended, the Company's Quarterly Report on Form
 10-Q for the quarter ended September 30, 2000, and the Company's Registration
 Statements on Forms S-3  (No. 333-79097) and S-4 (No. 333-37750 and
 333-44864), and the Company's Report on Form 8-K dated February 21, 2001, all
 of which risks are incorporated by reference into this press release.
 
     CONTACT:  Investor Relations, World Access, 404-231-2025
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X77669857
 
 

SOURCE World Access, Inc.
    ATLANTA, April 20 /PRNewswire Interactive News Release/ --
 World Access, Inc. (Nasdaq: WAXS) announced today that it has filed a lawsuit
 against Deutsche Telekom AG ("DT") in the United States District Court for the
 Northern District of Georgia.  Among other things, the complaint alleges that
 WAXS has suffered damages in excess of $600 million resulting from DT's
 decision earlier this month to discontinue interconnection services to
 TelDaFax AG, a German long distance service provider, in which WAXS currently
 holds a 33% interest.  The complaint alleges that in terminating access to its
 network, DT violated German Antitrust laws and breached its contractual
 obligations to TelDaFax.  WAXS's suit further alleges that, prior to and since
 terminating network access, DT has engaged in efforts to convert customers of
 TelDaFax, as well as customers of WAXS's wholly owned subsidiaries in Germany,
 whose long distance service was being provided by TelDaFax pursuant to
 reseller agreements.
     Since 1999, World Access has implemented a strategy designed to build a
 retail long distance business in Europe focused on small and medium-sized
 business customers.  In June 2000, WAXS announced that it reached an agreement
 to acquire TelDaFax expecting that it would become the cornerstone of its
 European network and operations.  The lawsuit alleges that DT's termination of
 interconnection service to TelDaFax resulted not only in the destruction of
 TelDaFax's business operation, but caused substantial damage to WAXS, severely
 limiting its ability to restructure and reorganize its finances and business
 operations and to continue to implement its business plan.
     WAXS's lawsuit follows three days after a German court issued a
 preliminary order requiring DT to restore interconnection service to TelDaFax.
 DT restored service to TelDaFax in accordance with the court order.  However,
 World Access believes that great harm had already been caused to the
 commercial prospects of TelDaFax.
 
     About World Access
     World Access is focused on being a leading provider of bundled voice, data
 and Internet services to small- to medium-sized business customers located
 throughout Europe.  In order to accelerate its progress toward a leadership
 position in Europe, World Access is acting as a consolidator for the highly
 fragmented retail telecom services market, with the objective of amassing a
 substantial and fully integrated business customer base.  To date, the Company
 has acquired several strategic assets, including Facilicom International,
 which operates a Pan-European long distance network and carries traffic for
 carrier customers, NETnet, with retail sales operations in 9 European
 countries, and WorldxChange, with retail accounts in the US and Europe.  World
 Access, branding as NETnet, offers services throughout Europe, including long
 distance, internet access and mobile services.  The Company provides end-to-
 end international communication services over an advanced asynchronous
 transfer mode internal network that includes gateway and tandem switches, an
 extensive fiber network encompassing tens of millions of circuit miles and
 satellite facilities.  For additional information regarding World Access,
 please refer to the Company's website at www.waxs.com .
 
     This press release may contain financial projections or other forward-
 looking statements made pursuant to the safe harbor provisions of the
 Securities Reform Act of 1995.  Such statements involve risks and
 uncertainties which may cause actual results to differ materially.  These
 risks include: inability to obtain adequate financing or financing on terms
 acceptable or favorable to the Company; inability to restructure existing debt
 obligations; potential inability to identify, complete and integrate
 acquisitions; difficulties in expanding into new business activities; delays
 in new service offerings; the potential termination of certain service
 agreements or the inability to enter into additional service agreements; and
 other risks described in the Company's SEC filings, including the Company's
 Annual Report on Form 10-K for the year ended December 31, 1999, as amended,
 the Company's Quarterly Reports on Form 10-Q for the quarters ended March 31,
 2000 and June 30, 2000, as amended, the Company's Quarterly Report on Form
 10-Q for the quarter ended September 30, 2000, and the Company's Registration
 Statements on Forms S-3  (No. 333-79097) and S-4 (No. 333-37750 and
 333-44864), and the Company's Report on Form 8-K dated February 21, 2001, all
 of which risks are incorporated by reference into this press release.
 
     CONTACT:  Investor Relations, World Access, 404-231-2025
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X77669857
 
 SOURCE  World Access, Inc.

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