Disposal of B2B activities in Germany to Ecotel Communication AG

Cagliari, 5th February 2007 - Tiscali S.p.A. announces today to have reached an agreement under which Ecotel Communication AG will acquire Tiscali’s B2B activities in Germany. The purchase price, to be paid in cash at closing, is approximately EUR 18.5 million. The transaction is subject to migration of business customers and related resources and is expected to be completed by first quarter 2007.

The activities being sold generated for the Tiscali Group in 2006 ca EUR 21 million of revenues and an EBITDA of ca EUR 3 million.

This announcement follows the recent disposal of Tiscali Germany’s B2C activities to Freenet and brings total expected proceeds from the sale of Tiscali Germany to date to approximately EUR 48 million. Tiscali is also discussing the disposal of its ULL activities in Germany, which will complete the exit of the Tiscali Group from the German market.