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07 May 2004

Netia introduces new rates for international long distance calls


WARSAW, Poland – May 7, 2004 – Netia SA (“Netia” or the “Company”) (WSE: NET), Poland's largest alternative provider of fixed-line telecommunications services, today announced the new, lower rates for selected international long-distance („ILD”) calls, effective May 1, 2004. The changes apply to tariff plans offered to clients of Netia’s direct and indirect voice services. The most important changes in tariff plans include:

 I. Netia’s per-second tariffs for services offered on standard lines (i.e., Effective, Effective Pro, Entrepreneurial, Entrepreneurial Pro tariff plans) - Connections to fixed-line networks in the EU countries will be charged at PLN 0.87 net (PLN 1.06 gross) per minute - Connections to fixed-line and mobile networks in Australia, Canada and USA will be charged at PLN 0.87 net (PLN 1.06 gross) per minute - Connections to fixed-line and mobile networks in Russia, Japan and Israel will be charged at PLN 1.07 net (PLN 1.31 gross) per minute

II. Netia’s per-minute tariffs for services offered on standard lines (i.e., Relaxed, Chatty, Versatile, Professional and Economic tariff plans) - Connections to fixed-line and mobile networks in Australia, Canada and USA will be charged at PLN 1.05 net (PLN 1.28 gross) per minute - Connections to fixed-line and mobile networks in Russia, Japan and Israel will be charged at PLN 1.19 net (PLN 1.45 gross) per minute Detailed price lists with new ILD rates are available at Netia’s website: www.netia.pl.

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 June 27, 2003, as well as Current Reports on Form 6-K it has furnished to the Commission since filing its Annual Report. Netia undertakes no obligation to publicly update or revise any forward-looking statements.