HTC Hungarian Telephone And Cable Corp

Hungarian Telephone and Cable Corp. (AMEX:HTC) today announced that TDC A/S, Hungarian Telephone�s majority stockholder, has exercised the warrants it held to purchase 2,500,000 shares of Hungarian Telephone�s common stock at an exercise price of $10 per common share. As a result of such exercise, TDC now owns approximately 68% of Hungarian Telephone�s outstanding common stock. TDC paid the exercise price by transferring back to Hungarian Telephone notes issued by Hungarian Telephone in the principal amount of $25 million, which notes were held by TDC. The expiration date of the warrants and the maturity date of the notes was March 31, 2007. Commenting on the warrant exercise by TDC, Torben V. Holm, Hungarian Telephone�s President and Chief Executive Officer, said, �I am pleased that TDC had the confidence in Hungarian Telephone to increase its equity stake. This will help facilitate the acquisition and financing of the Invitel acquisition.� ABOUT HUNGARIAN TELEPHONE AND CORP. Hungarian Telephone and Cable Corp. is the leading alternative telecommunications service provider in the Republic of Hungary with a presence in other countries in Central and Eastern Europe. In January, Hungarian Telephone announced an agreement to acquire Invitel, one of Hungarian Telephone�s main competitors, which acquisition is expected to close during the second quarter of 2007.