Washington D.C., December 9, 2005 - EMP Global LLC ("EMP Global") announced today that the AIG-GE Capital Latin American Infrastructure Fund L.P. ("the Fund") has sold a substantial stake in Axtel S.A. de C.V. ("Axtel"), Mexico's largest competitive local exchange carrier. This partial exit was made through the initial public offering and listing of Axtel on the Mexican stock exchange, and a related 144A private placement in the U.S. in early December, which set Axtel's market capitalization at nearly US$990 million. The Fund will receive up to US$114 million from the sale of approximately 75% of its stake.

In November 1997, EMP Global participated in the start-up of Axtel, a greenfield company that was awarded a national concession to provide local and long distance telecommunications services in competition with former monopoly telecom provider, Telmex.  Axtel provides voice telephony, data, internet and bundled services using a hybrid local access network based mainly on wireless local loop technology.  Axtel's network currently covers twelve cities, including the largest metropolitan areas in Mexico, which represent 31% of the total population.

Axtel faced numerous obstacles during the early years of its growth, including episodes of political and economic turbulence in Latin America and the meltdown of the global telecom sector in 2000.  Such obstacles led to a critical financial restructuring of the company in early 2003.  EMP Global's Latin America team and the Fund supported Axtel throughout this process with additional capital, strategic support and active participation in Axtel's Board of Directors, based on a strong belief in the fundamental business model of the company, as well as the talent and energy of its local management.

Everett J. Santos, Chief Executive Officer of EMP Global's Latin America Group said:

"The ability to use the IPO market to provide an exit to greenfield Latin American infrastructure investors will facilitate and promote further investments in the region's infrastructure.  Axtel is a perfect example of what can come with the partnership of savvy local management and experienced international private equity investors.  Neither one alone could have enabled this company to withstand its challenging early years, but together we have created a company that will be able to continue to grow and service the telecommunications needs of Mexico."

Gabriel A. Montana, Assistant Director of EMP Global and the lead portfolio officer on the deal added:

"Axtel is a fantastic private equity story. After a hard fought turnaround, the company is poised to consolidate its leadership position. A strong balance sheet and track record, a talented management team and the entrance into the international capital markets all combine to provide a platform for great success in the future. We remain very excited about Axtel's prospects, as well as the improved market landscape for Latin American investments and exits. "

Since its inception in November 1996, the Fund has invested approximately US$805 million in 24 companies throughout Latin America, which are engaged in a variety of infrastructure sectors including telecom, transport, energy, and natural resources.  This sale represents the first IPO of a portfolio company for the Fund.  EMP Global expects additional significant realizations will be achieved over the coming year.  EMP Global's objective is to remain a leading player in private equity in the Latin American region.

About EMP Global

EMP Global LLC, the largest private equity fund advisor focused on emerging markets, advises six private equity funds totaling US$5.7 billion invested in Africa, Asia, Latin America, Europe and the Middle East.  EMP Global has over ninety professionals based across eight offices in the regions in which it invests.

Investor inquiries: Bharat Parashar, Tel: +1.202.331.9051

Email: parasharb@empglobal.com

Media inquiries: Tristan B. Peniston-Bird, Tel: +1.212.515.1933

Email: tpeniston-bird@gavinanderson.com