HTC Hungarian Telephone And Cable Corp

Hungarian Telephone and Cable Corp. (AMEX:HTC) announced today that during the preparation of its quarterly report on Form 10-Q for the quarterly period ended June 30, 2007, Hungarian Telephone and Cable Corp. ("HTCC") determined that it made some clerical calculation errors in 2006 related to the application of SFAS No. 133 "Accounting for Derivative Instruments and Hedging Activities", as amended, with respect to some embedded derivatives that are contained in certain operating contracts that HTCC's subsidiaries entered into which are settled in euros. HTCC has informed its former independent public accounting firm about this matter. HTCC is working to determine the effect of such errors on its prior financial statements. At this point, HTCC estimates that the cumulative effect through December 31, 2006 would be a non-cash corrective charge of approximately $2.0 million. HTCC expects to file its Quarterly Report on Form 10-Q on, or before, August 14, 2007. ABOUT HUNGARIAN TELEPHONE AND CABLE CORP. Hungarian Telephone and Cable Corp. is the number one alternative and the second largest fixed line telecommunications and broadband Internet Services Provider in the Republic of Hungary with more than 700,000 customers in Hungary. In addition to delivering voice, data and Internet services in Hungary, it is also a major player in the Central and Eastern European wholesale telecommunications market. Note: This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These and all forward-looking statements are only predictions or statements of current plans that are constantly under review by the Company. Such statements are qualified by important factors that may cause actual results to differ from those contemplated, including as a result of those factors detailed from time to time in the company�s Securities and Exchange Commission filings. The foregoing information should be read in conjunction with the company�s filings with the U.S. Securities and Exchange Commission including, but not limited to, reports on Forms 10-K and 10-Q. The company has no obligation to update or revise these forward-looking statements to reflect the occurrence of future events or circumstances.