News release

London, July 26th 2004

3, the UK's first video mobile network, today announced that high street favourite Argos is now offering ThreePay, the great value Pay-As-You-Go service from 3.

With this arrangement, over 550 Argos stores are now selling 3's products and services, in addition to over 60,000 outlets selling ThreePay top-ups. ThreePay products and services also feature in the Argos catalogue, which is found in over two thirds of UK homes. With 95% of the UK population living within 10 miles of an Argos store, UK consumers have easy access to the great value ThreePay offers.

3 launched ThreePay in February to shake-up the pre-paid market in the UK. ThreePay offers Pay-As-You-Go customers the same great value price plans that 3 offers contract customers, along with the unique same price, anytime, any network voice minutes. Argos stocks a range of video mobiles, including the new, lightweight and compact video mobile from LG and handsets from NEC, all available on ThreePay.

Gareth Jones, COO of 3, said "This arrangement with Argos underlines our commitment to challenge the old mobile networks at every level. 3 is setting the agenda in mobile communications, with innovative and exciting video mobile services and great value price plans. Our arrangement with Argos further strengthens the presence of the 3 brand on the high street, as well as direct to customers through the Argos catalogue."

Marc Allera, Sales Director, 3, commented: "With this arrangement 3 significantly broadens its reach. ThreePay is now more easily accessible to our customers across the UK. Through Argos, customers can see that 3 offers them more for less. We're seeing strong demand for 3 across all of our retail stores and we continue to develop our retail presence as 3 establishes itself as a leader on the high street."

Through Argos, 3's customers can choose to shop in a variety of ways, either by phone, by visiting an Argos store or online at the Argos website. Argos publishes two catalogues a year, the spring/summer edition in January and autumn/winter in July, launched this weekend.

More information about 3's products and services can be found at www.three.co.uk. To pick up an Argos catalogue, visit your nearest Argos store.

About 3

Hutchison 3G UK Limited deliver third-generation mobile multimedia and communications services under the 3 brand in the UK, offering a convergence of media, information and telephony to enable live video calls, multimedia content and entertainment while on the move.

3 services are available from sister companies in Australia, Austria, Denmark, Hong Kong, Italy and Sweden. 3 also holds UMTS licences in Ireland, Israel and Norway.

For further information, please visit: www.three.co.uk

3 facts about 3

• 3 is a video mobile network - the first 'third generation' network to launch in the UK
• 3 is the only network in the UK currently able to offer mobile technology's most unique application - person to person video calling
• Using 3G technology, 3 has built a new network that offers customers a combination of access to cutting edge video mobile services and great value voice calls

About Argos

Argos, one of the UK's leading multi-channel retailers, has over 550 stores in the UK and Republic of Ireland and sales of over £3 billion. Argos, the pioneer of catalogue retailing in the UK, has established a strong brand focused on choice, value and convenience.

In the Retail Week Awards 2004 Argos was awarded Multi-Channel Retailer of the Year. To visit Argos' award winning e-retail site, the most visited website on the high street, click on www.argos.co.uk.