Bulletin
The sale and purchase transactions of Netia shares and subscription warrants by a related entity
WARSAW, Poland - December 21, 2004 - Netia SA ("Netia") (WSE: NET), Poland's largest alternative provider of fixed-line telecommunications services, today announced that it received a notice from Nicholas N. Cournoyer, Chairman of Netia’s supervisory board, filed with the Polish Securities and Exchange Commission (Komisja Papierów Wartosciowych i Giełd) ("KPWiG") on December 13, 2004, about the sale and purchase transactions of Netia’s shares and subscription warrants between the entities which are managed or controlled indirectly by Mr. Cournoyer and therefore required to be independently reported under the relevant Polish laws.
As described in the notice, Montpelier Funds PLC., an entity in which Mr. Cournoyer has a managing position, acting for the benefit of Montpelier Global High Yield Fund, sold 3,398,307 Netia shares and 1,129,393 subscription warrants to acquire Netia series "J" shares on December 6, 2004. The same number of Netia shares and subscription warrants were purchased on the same date by Chelsea Investments LP., an entity controlled indirectly by Mr. Cournoyer.
In accordance with the information from Mr. Cournoyer, there has been no change in the number of Netia shares held by the entities within the Montpelier group as a result of these transactions. This information was previously reported by KPWiG in its announcements dated December 17 and December 21, 2004.