CITE Ls 2x Citi

Citel PLC
15 May 2007




Citel plc pleased with Frost & Sullivan Forecasts: Portico to Accelerate Hosted
                             IP Growth Opportunity

      Alternatives Such as Citel Portico Provide 71 Percent CapEx Savings;

                      Slated to Grow Market by 60 Percent


Citel plc ("Citel"), The VoIP Migration Company (LSE AIM: CITE.L), today
announces it is pleased with the findings of the latest Frost & Sullivan
research, which evaluates the cost of a Hosted IP telephony rip-and-replace
solution compared to the cost of a Hosted IP service utilising the Citel
Portico(TM) Telephone VoIP Adapter (TVA(TM)). The research finds that the 
Portico TVA provides enterprises with a capital expenditure saving of nearly 
$300 (U.S.) per endpoint, a 71 percent saving on a per-user basis. Frost & 
Sullivan forecasts the potential impact of alternative solutions such as Citel 
Portico will be to increase the number of Hosted IP telephony seats in North 
America by nearly 60 percent by 2012.

"Portico gives service providers a tremendous opportunity to grow their Hosted
IP service by offering a solution that leverages the customer's existing
telephone infrastructure," said Lynda Starr, senior analyst, IP communications,
Frost & Sullivan. "Citel effectively addresses many of the key barriers around
cost and business disruption that many enterprises express when considering a
Hosted IP service."

In a new whitepaper entitled "Accelerating Adoption to Hosted IP Telephony,"
commissioned by Citel, Frost & Sullivan summarises the differential between the
upfront costs of a rip-and-replace hosted IP telephony strategy and the Citel
Portico TVA solution for a 50-employee enterprise. The whitepaper is now
available for download at www.citel.com.

Cost Item / Strategy              Hosted IPT "Rip             Portico TVA and 
                                     and Replace"                SIP Trunking

Cost per Station
for LAN
Assessment                                $70.00                        $0.00

Cost per IP
Station                                  $200.00                        $0.00

LAN Switch Port
(including Power
over Ethernet)                            $80.00                        $0.00

Cost per Portico
TVAStation for
Citel                                      $0.00                      $100.00

Installation
Cost per Station                          $52.50                       $15.00

End-User
Training Cost                             $15.00                        $5.00

Total Upfront
Cost of Solution                         $417.50                      $120.00


The data suggests a company with 50 employees could save nearly $15,000 (U.S.)
in upfront costs by selecting the Citel Portico TVA solution over a
rip-and-replace alternative. The cost savings, achieved through utilisation of
an enterprise's existing infrastructure, enable service providers to more
quickly and easily sell a Hosted IP service.

"Service providers to date have captured limited market penetration in North
America," said Michael Burke, senior vice president of sales and marketing at
Citel. "We're very pleased with this validation of the cost savings that can be
achieved with Portico. These savings translate into an incredible opportunity
for service providers to grow their Hosted IP business."

Based on a probabilistic behavioral model to forecast the potential impact of
solutions such as Citel Portico on the Hosted IP telephony market, Frost &
Sullivan predicts the following low, medium and high estimates of 42.4 percent,
55.5 percent, and 60.0 percent respectively for the growth of Hosted IP
telephony seats in North America.


For more information:

Cardew Group  Tim Robertson             020 7930 0777      M: 07900 927 650
              Shan Shan Willenbrock
              David Roach

About Citel Portico TVA

Citel Portico TVA enables service providers to deliver to enterprises the
features and functionality of VoIP faster and more easily than with typical
rip-and-replace VoIP migration solutions. With Portico, enterprises avoid the
cost of network upgrades, new handsets, and retraining. PBX handsets connect
directly to the Portico TVA over existing wiring, which connects to the service
provider's network over Ethernet via the SIP protocol. Portico TVA interoperates
with leading Hosted IP server platforms including BroadSoft and Sylantro.
Portico TVA also interoperates with leading IP PBX platforms such as Asterisk,
Avaya and Pingtel. In addition, Portico TVA interoperates with more than 100
handset types including Avaya Definity, Ericsson, NEC, Nortel, Panasonic DBS,
and Toshiba Strata DK.


About Citel plc.

Citel enables Small Medium Businesses ("SMBs"), large enterprises and service
providers to realise the cost and productivity benefits of IP telephony while at
the same time leveraging their existing PBX infrastructure. Businesses with
single or distributed locations and PBX vendors can now deploy next-generation
IP applications and services at their own pace, with little business disruption.
Service providers can deploy Hosted IP telephony services quickly, without
having to rip-and-replace existing enterprise PBX handsets and LAN cabling.
Citel is a publicly traded company with corporate headquarters in Seattle, and
development offices in Calgary, Alberta (Canada) and Nottingham, England (UK).
For more information, visit www.citel.com.

The contents of this Press Release may contain forward-looking statements which
can be generally identified as such because the context of the statement will
include the words such as Citel plc "expects", "should", "believes",
"anticipates" or words of similar import. Such forward looking statements are
subject to certain risks and uncertainties including the financial performance
of Citel plc which could cause actual results, performance or achievements of
Citel plc to differ materially from any future results, performance or
achievements expressed or implied by such forward-looking statements.   Readers
are cautioned not to place undue reliance on these forward-looking statements.

This Press Release does not constitute or form any part of any offer or
invitation to sell or issue or any solicitation of any offer to purchase or
subscribe for any securities in any jurisdiction, nor shall it (or any part of
it) or the fact of its distribution form the basis of, or be relied upon in
connection with, or act as any inducement to enter into, any contract or
commitment therefore".


                                    # # # #

Copyright 2007, Citel plc. All Rights Reserved. Citel, Portico, TVA, EXTender, 
and The VoIP Migration Company are either trademarks or registered trademarks of 
Citel. All other product and company names mentioned herein may be trademarks of 
their respective owners.






                      This information is provided by RNS
            The company news service from the London Stock Exchange

END
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