3G UMTS Business SOLD

Europe - Marconi announced that it has completed the sale of Marconi Mobile Access SpA, a non-core subsidiary also known as UMTS, to Finmeccanica SpA. Marconi has agreed to capitalise the business with approximately Euro 6 million (approx £4.2 million) prior to disposal. The business, which is based in Italy, has 260 employees and annual operating costs of approximately £15 million.

As part of the transaction, Marconi Corporation plc and Finmeccanica SpA have agreed that there will be no further purchase price adjustments with respect to the completion balance sheet accounts relating to the sale of Marconi Strategic Communications to Finmeccanica in August 2002.

In a separate agreement, Finmeccanica has agreed to release the approximately Euro 12 million (approx £9 million) retained against the purchase price, and held in an escrow account, following its purchase of the Strategic Communications business. These monies will be transferred to Marconi Corporation plc's Mandatory Redemption Escrow Account (MREA) pursuant to the terms of Marconi's Junior Secured Notes and Senior Secured Notes.

TODAY'S PRESS RELEASES

Marconi has agreed to capitalise the business with approximately Euro 6 million (approx £4.2 million) prior to disposal. The business, which is based in Italy, has 260 employees and annual operating costs of approximately £15 million.

LG recently launched aggressive marketing campaigns into North America, and is now set to locate its presence in the high-end phone market.

These new services include downloadable movie clips and MTVs for a variety of different GPRS and JAVA enabled handsets, and feature helloNetwork VSS java streaming technology.

Mobile customers in Indianapolis will be the pacesetters for a potential captive market approaching 100 million customers throughout North, Central and South America, and the Caribbean, who will have the benefit of EDGE,

RADCOM introduced the Network Consultant, an advanced cellular network analysis application that enables mobile operators to quickly verify subscriber connectivity and proactively monitor end-to-end network performance.

Units shipped in the quarter reached 6.7 million, which is 34% higher year-on-year and 23% higher compared to the first quarter 2003. Net sales for the quarter were Euro 1.125 million, representing year-on-year and sequential increases of 18% and 40%, respectively.