Panasonic Unveils Digital SST Cordless Telephones with Net2Phone's IP Telephony Service.

Consumers Can Benefit From 3.9 Cent U.S. Long Distance

Using Internet Telephony

SECAUCUS, N.J., May 30 /PRNewswire/ --

If you're looking for low-cost, long distance calling, then Panasonic has a deal for you: up to three hours of free long-distance calls from Net2Phone on a totally new type of telephone.

In August, 2000, Panasonic will ship their new 1800 series 900MHz digital Spread Spectrum (SST) cordless telephones with one-touch access to the Net2Phone (Nasdaq: NTOP) Internet telephony network*. These cordless phones -- models KX-TC1801B, KX-TC1811B, KX-TC1851B, KX-TC1861B, KX-TC1866B/W, KC-TC1871B, KX-TC1886B and KX-TC1891B -- instantly connect the user to the Net2Phone service, helping to save money on long distance telephone bills by sending calls over the Internet.

These are the first telephones that can transmit both public switched and IP phone calls, allowing consumers a choice on the same phone between regular long distance phone service or low-cost Internet-based long distance service, simply by pressing a button on their phone.

Buyers of the above 1800 series phones instantly receive 60 minutes of free long distance calls via the Net2Phone service**. If the customer wishes to continue the Net2Phone service, they then gain another 120 minutes of domestic long distance calls, and receive a 3.9 cent per minute rate for all future calls in the U.S.+ Users will not need to subscribe to an Internet Service Provider in order to benefit from the service.++