Settlement of Dispute

RNS Number:6441P
Teleunit S.p.A
07 March 2008

                                        
                                Teleunit S.p.A.
                                        
                                        
                ("Teleunit", "TLU", "the Group" or "the Company")
                                        
                                        
                              Settlement of Dispute





Teleunit announces today that it has reached a legally binding agreement with
Telecom Italia ("TI") in its long running dispute regarding overdue receivables
owed, which was described in the FY2006 results and in the 2007 half year
report.


The settlement is worth Euro7.1 million in cash (VAT included). Subject to an
AGCOM (The Italian Telecom Regulator) ruling, which is expected to take place in
a few months, TLU will receive an additional Euro2.7 million. Furthermore, as part
of the agreement, the new standardized Premium Access contract has now been
signed with TI.


Although the total outstanding receivables exceed the settlement sum, the
Group's cash position has now significantly improved.


The Management and Board of TLU are pleased to be able to put this matter behind
them now, and move forward with the new aforementioned Premium Access contract
that provides strong guarantees against this situation repeating itself, and
that explicitly regulates future relations with TI. Moreover we will now be able
to focus on using the expanded cash resources of the Company in support of our
various fast growing initiatives.


The accounting treatment of this settlement for the Group will be the subject of
a further announcement in the near future.


Gianfranco Cimica, Chief Executive Officer of the Teleunit Group, said:


"The extensive litigation with Telecom Italia regarding these overdue
receivables has lasted for more than four years, has had a damaging impact on
the Group's strategic and commercial choices and has been a severe drain on the
senior management of the Group. I am pleased to report that the Group's risk
profile is now substantially improved, its cash position is healthy, and that we
can now look to the future with renewed optimism and confidence."


For further information:


Teleunit S.p.A
Gianfranco Cimica, CEO                          Tel: + 39 075 528 3939


Daniel Stewart & Company plc
Paul Shackleton                                 Tel: + 44 (0) 207 776 6550




                      This information is provided by RNS
            The company news service from the London Stock Exchange

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