HAMILTON, Bermuda, February 21 /PRNewswire/ --     Viatel Holding (Bermuda) Limited (VTLAF.PK) ("Viatel" or the
"Company") announced today that it has filed, or is filing concurrently with
this announcement, a Form 15 with the United States Securities and Exchange
Commission (the "Commission") to terminate the registration of its securities
under Rules 12g-4(a)(1) and 12h-3(1)(i) of the Securities Exchange Act of
1934 (the "Exchange Act" ).

At the Special General Meeting of the Company's shareholders
held on February 20, 2008, 2,653,857 of the Company's common shares, par
value US$0.01 per share ("Common Shares") were present in person or by proxy.
The requisite majority of Common Shares represented at the meeting voted to
approve each of three resolutions submitted for shareholder approval,
including: (i) a resolution authorizing a 1-for-300 consolidation of the
Company's Common Shares into new Common Shares, par value US$3.00 per share
(the "Share Consolidation"), and the payment of cash by the Company's
wholly-owned subsidiary VTL, Inc. to the Company's shareholders for
fractional share entitlements arising under the Share Consolidation based on
a value of US$0.44 per Common Share before the Share Consolidation, (ii) a
resolution authorizing implementation of certain transfer restrictions in
respect of the Company's Common Shares to enable the Company to restrict the
number of holders of its Common Shares, so as not to give rise to any
reporting obligations under Section 12(g) or Section 15(d) of the Exchange
Act, and (iii) a resolution to amend the Company's Bye-laws to permit
electronic delivery of certain documents and information by the Company to
its shareholders. The Share Consolidation became effective at 6:00pm Bermuda
local time on February 20, 2008. The Company has filed, or expects to file
simultaneously herewith, a Form 15 with the Commission in order to terminate
its status as a reporting company under the Exchange Act because, as a result
of the Share Consolidation, it has fewer than 300 holders of record (as
determined in accordance with Rule 12g5-1 promulgated under the Exchange
Act). As a result, the Company will cease filing reports under the Exchange
Act effective immediately and will not file a Form 20-F for the year ended
December 31, 2007.

By terminating the registration of its Common Shares under
Section 12(g) of the Exchange Act and its periodic reporting obligations
under Section 13 of the Exchange Act, the Company may continue future
operations as a private company, thereby relieving it of the costs,
administrative burdens and competitive disadvantages associated with
operating as a public company. The Company's Common Shares are presently
traded in the "Pink Sheets." Upon the filing of the Form 15, the Company's
Common Shares will not qualify to be traded on any automated quotation system
operated by a national securities association and no assurance can be given
that the Company's Common Shares will continue to be listed in the Pink
Sheets.

Viatel CEO, Lucy Woods commented, "This is an important step
in the Company's future and will allow us to substantially reduce our costs
by becoming a non-reporting entity. Further, it allows the Company's
executive management to focus more time and energy on the growth and
prosperity of our business and less on the reporting and compliance
requirements of a public company."

Viatel is a pan-European business communications provider that
helps companies of all sizes to reduce costs, increase profits and serve
their customers better, through a comprehensive portfolio of infrastructure,
bandwidth, IP voice and data solutions which include Broadband, Leased Lines,
Managed IPVPN, Hosting and Voice over IP services. Operating across 6
European markets, including the UK, France and Germany, Viatel has its own
European network and more than 6,000 business customers.