Mumbai, October 31, 2007: In a significant decision, the Board of VSNL today has approved a proposal to change the name of the company to Tata Communications Limited. The new name and identity will help the company leverage the immense brand equity associated with the Tata Group and the tremendous global recognition that the Group has received in recent years.

“The change in the company’s name is a major step in our commitment to customers, partners and stakeholders. Tata Communications reiterates a focus on the global communications business where we are a major player; at the same time, it reflects our strong heritage and leadership position in India,” said Mr. N Srinath, Managing Director & CEO of VSNL.        

VSNL is a shining example of a successful public-private partnership that has enabled the transformation of the company into a major global telecom provider. Five years after the Tata Group assumed management control of VSNL, the company has re-invented itself through entry into new businesses, geographies and customer segments on the back of over $1 billion investments. The company has also undergone a major re-engineering of its customer facing processes to focus on flexibility and responsiveness.

VSNL’s growth in the last five years has been aided by several acquisitions, both in India and overseas. Through the TGN and Teleglobe acquisitions, the company gained ownership of an advanced global submarine cable backbone and an IP network. The company has continued its investments in building out its next-generation network, with two new submarine cables and a global MPLS and Ethernet network. VSNL is also the world’s largest wholesale international voice carrier. In 2006, the company was recognized as the Best Wholesale Carrier at the World Communications Awards.

The change in name is subject to obtaining required statutory approvals including that of the company’s shareholders. The brand change will be unveiled globally through an integrated brand campaign.

VSNL also announced its financial results for the second quarter of 2007-08. The company reported a total stand-alone income of Rs 2,025 crore for the half year ended September 30, 2007 against Rs 1,956 crore for the half year ended September 30, 2006. Net profits on a standalone basis for the half-year ended September 30, 2007 were Rs 166 crore against Rs 195 crore for the half year ended September 30, 2006.