Current reports

WARSAW, Poland – January 27, 2003 – Netia Holdings S.A. (“Netia”) (WSE: NET), Poland’s largest alternative provider of fixed-line telecommunications services, today announced that following Netia’s appeal, the Nasdaq Listing and Hearing Review Council (the "Listing Council") reversed an earlier decision of the Nasdaq Listing Qualifications Panel (the "Panel"), dated October 14, 2002, to de-list Netia's American Depositary Shares ("ADSs") from The Nasdaq National Market. The Listing Council's decision was based on positive events occurring after the de-listing decision. The Listing Council instructed the Panel to re-list Netia's ADSs on The Nasdaq SmallCap Market upon completion of a review of Netia's application. Netia's Management Board has decided to file such application, which will be subject to the approval of the Nasdaq Listing Qualifications Department.

Wojciech Madalski, Netia’s President and Chief Executive Officer, commented: "We welcome Nasdaq's favorable decision regarding the earlier de-listing of Netia's ADSs. Netia demonstrates continued progress as Poland's largest alternative telecommunications company. We are growing our services focused on business customers in Poland's twelve largest cities. Netia’s capital restructuring provides a solid financial basis for the company's future. We believe that Nasdaq's decision reflects these positive developments, and we look forward to the commencement of trading on the Nasdaq SmallCap Market following the review of our application by the Nasdaq Listing Qualifications Department."

Avi Hochman, Netia’s Chief Financial Officer, added: "The financial restructuring of Netia has reached its final stage following the issuance of the new notes and series H shares. We are awaiting registration of series H shares by the Polish courts in order to begin trading on the Warsaw Stock Exchange. Commencement of public trading of series H shares and possible re-listing on Nasdaq will improve Netia's global liquidity."

Some of the information contained in this news release contains forward-looking statements. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those in the forward-looking statements as a result of various factors. For a more detailed description of these risks and factors, please see Netia's filings with the Securities and Exchange Commission, including its Annual Report on Form 20-F filed with the Commission on March 28, 2002, its Current Report on Form 6-K filed with the Commission on April 3, 2002, its Current Reports on Forms 6-K filed with the Commission on May 6, 2002, its Current Report on Form 6-K filed with the Commission on May 7, 2002, its Current Report on Form 6-K filed with the Commission on May 20, 2002, its Current Report on Form 6-K filed with the Commission on May 24, 2002, its Current Report on Form 6-K filed with the Commission on June 28, 2002, its Current Report on Form 6-K filed with the Commission on July 2, 2002, its Current Report on Form 6-K filed with the Commission on July 31, 2002, and its Current Report on Form 6-K filed with the Commission on August 2, 2002, its Current Reports on Form 6-K filed with the Commission on August 6, 2002, its Current Report on Form 6-K filed with the Commission on August 9, 2002, its Current Report on Form 6-K filed with the Commission on August 15, 2002 its Current Report on Form 6-K filed with the Commission on August 16, 2002, its Current Report on Form 6-K filed with the Commission on August 28, 2002, its Current Report on Form 6-K filed with the Commission on August 30, 2002, its Current Report on Form 6-K filed with the Commission on September 16, 2002, its Current Report on Form 6-K filed with the Commission on September 20, 2002, its Current Report on Form 6-K filed with the Commission on September 24, 2002, its Current Report on Form 6-K filed with the Commission on October 1, 2002, its Current Report on Form 6-K filed with the Commission on October 15, 2002, its Current Report on Form 6-K filed with the Commission on October 17, 2002, its Current Report on Form 6-K filed with the Commission on October 22, 2002, its Current Report on Form 6-K filed with the Commission on October 25, 2002, its Current Report on Form 6-K filed with the Commission on November 5, 2002, its Current Report on Form 6-K filed with the Commission on November 5, 2002, its Current Report on Form 6-K filed with the Commission on November 6, 2002, its Current Report on Form 6-K filed with the Commission on November 18, 2002 , its Current Report on Form 6-K filed with the Commission on November 21, 2002, its Current Reports on Form 6-K filed with the Commission on December 3, 2002, its Current Reports on Form 6-K filed with the Commission on December 10, 2002, its Current Report on Form 6-K filed with the Commission on December 23, 2002, its Current Report on Form 6-K filed with the Commission on January 8, 2003 and its Current Report on Form 6-K filed with the Commission on January 16, 2003. Netia undertakes no obligation to publicly update or revise any forward-looking statements.