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QSC and HanseNet broaden partnership: 100 new cities for "Alice" and ADSL2+

Cologne, January 9, 2007. QSC AG, a nationwide telecommunication provider with its own DSL infrastructure, and Hamburg-based HanseNet Telekommunikation GmbH are significantly broadening their partnership, which was launched early last year to provide ADSL2+ technology for HanseNet's Alice brand.

By June of this year, QSC will be providing HanseNet with up to an additional 300 upgraded central offices. This will serve as the foundation for enabling HanseNet to offer its ADSL2+ Alice product with a bandwidth of up to 16 Mbit/s in some 100 further cities and towns in Germany.

"We view the fact that HanseNet is continuing its partnership with QSC in upgrading to ADSL2+ technology for Alice as a tremendous success. The marketing strength of Alice and the technology competence of QSC complement one another superbly," notes Dr. Bernd Schlobohm, QSC AG's Chief Executive Officer.

HanseNet CEO Harald Rösch is also satisfied: "By broadening our partnership, we will be able to supply even more households in Germany via Alice Super in the future. In recent months, QSC has proven to be a reliable partner in this connection."

In its wholesale business, QSC is focusing on the accelerated upgrade of its DSL network to ADSL2+ technology, on providing custom-tailored upstream products, as well as on the ability to handle highly scalable processes. In addition to HanseNet, QSC's major wholesale customers also include freenet, Tiscali and Teleson.

By June 2007, QSC will have a nationwide DSL network consisting of a total of 1,500 central offices; by year-end, the network will number some 2,000 central offices. About QSC
Cologne-based QSC AG (QSC) is a nationwide telecommunication provider with its own DSL network, offering businesses and premium residential customers a comprehensive portfolio of high-quality broadband communication options. QSC implements complete enterprise networks (VPNs), operates voice and data services and provides leased lines in a wide variety of bandwidths for business customers. Residential customers benefit from high-quality DSL connections, complete with VoIP applications. In addition, QSC utilizes its own network as the basis for its wholesale business and provides high-level upstream products to carriers, Internet service providers (ISPs) as well as marketing partners with strong consumer brands. Following the acquisition of a majority interest in Broadnet AG, QSC has additionally enjoyed access to a microwave network in 42 regions of Germany. QSC operates on a nearly nationwide scale, together with Broadnet AG connects over 160 German cities over its own broadband network and currently employs a workforce of some 650 people. In fiscal 2005, the company generated revenues of € 194.4 million, and following the acquisition of a majority stake in Broadnet AG is forecasting consolidated annual revenues of nearly € 265 million for 2006. QSC is listed on the TecDAX. For further information please contact:

Claudia Zimmermann
Head of Corporate Communications
Mathias-Brüggen-Str. 55
D-50829 Cologne
Fon: +49 (0)221/6698-235
Fax: +49 (0)221/6698-289