PRIMUS Canada awards three-year contract extension to MTS Allstream

    Stock Symbol: MBT

    TORONTO, Dec. 5 /CNW/ - MTS Allstream, one of Canada's leading national
communication solutions providers, today announced that it has secured a
three-year extension to its existing contract with PRIMUS Telecommunications
Canada Inc., the country's largest alternative communications carrier. Under
the terms of the contract, MTS Allstream will continue to supply PRIMUS Canada
with IP Data Networking, Long Distance and Local services to support PRIMUS
Canada's residential and commercial business across Canada.
    "We are very pleased that PRIMUS Canada has elected to renew their
contract with MTS Allstream. Our partnership has enabled PRIMUS Canada to
offer innovative products such as TalkBroadband, Voice-over-IP (VOIP) service,
as well as its successful Home Phone service, to a greater number of customers
across Canada," said John MacDonald, President, Enterprise Solutions Division,
MTS Allstream. "This announcement reinforces MTS Allstream's position as
PRIMUS Canada's national carrier of choice, and further strengthens our
position as a leading national communications provider with the ability to
meet our customers' requirements, regardless of scale and complexity."
    "MTS Allstream has consistently demonstrated the ability to deliver
advanced state-of-the-art communication and networking products which have
allowed us to expand our business in Canada," said Ted Chislett, President and
Chief Executive Officer, PRIMUS Canada. "We are pleased to be continuing our
longstanding relationship with the Company."

    About MTS Allstream Inc.

    MTS Allstream Inc. is a wholly owned subsidiary of Manitoba Telecom
Services Inc., and is one of Canada's leading national communication solutions
providers, delivering innovative products and services through the Enterprise
Solutions and Consumer Markets divisions. The Enterprise Solutions division,
which operates under the Allstream brand nationally and under the MTS brand in
Manitoba, is a leading competitor in the national business and wholesale
markets. This division offers customers a portfolio of solutions tailored to
the needs of medium and large businesses looking for success in a world of
rapidly evolving technology - Internet protocol-based communications, unified
communications, voice and data connectivity services. The Consumer Markets
division leads every telecommunications market segment in Manitoba, delivering
a full suite of next generation wireless, high-speed Internet and data,
digital television and wireline voice services under the MTS brand, as well as
small business services across Canada under the Allstream brand, and security
and alarm monitoring services through AAA Alarm Systems Ltd., an affiliate of
MTS Allstream which also operates in other western provinces. MTS Allstream's
extensive national broadband fibre optic network spans more than
24,300 kilometres, and provides international connections through strategic
alliances and interconnection agreements with other international service
providers. Manitoba Telecom Services Inc.'s common shares are listed on The
Toronto Stock Exchange (trading symbol: MBT). For more information, please

    About PRIMUS Canada

    Primus Telecommunications Canada Inc. is the largest alternative
communications carrier in Canada. The Company offers facilities-based voice,
data, e-commerce, Web hosting, VoIP and broadband Internet services utilizing
ADSL2+ technology. Primus Canada's national network consists of nationwide
switches with international connectivity through its parent company's global
network, ATM and IP nodes, and colocation facilities at major cities across
the country. Primus Canada is also one of Canada's largest MVNO's (Mobile
Virtual Network Operator) offering PRIMUS Wireless service. Primus Canada is a
wholly-owned subsidiary of McLean, Virginia-based PRIMUS Telecommunications
Group, Incorporated (OTCBB: PRTL). Primus Canada news and information are
available at the Company's Web site at

For further information:

For further information: Media: Greg Burch, Manager Corporate
Communications, (416) 345-3576, (204) 941-8576,; Investors: Ian Chadsey, Vice-President
Investor Relations, (204) 941-8283,

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