Released: 30/03/2004

Cable and Wireless plc and Pender Insurance Limited commence legal action
Following an extensive internal investigation commenced last year into the
operation of the Group's wholly owned insurance subsidiary Pender Insurance
Limited, Cable and Wireless plc and Pender have today (30 March 2004) commenced
legal action against five companies and six individuals (of whom five are
former employees).
Management do not believe that this action will result in any financial loss to
the Group. As stated in the Group's most recent annual accounts, from 1 April
2003 Pender began running off its old insurance claims and has not taken on any
new business for non Cable & Wireless Group companies.
Cable & Wireless is committed to policies that will uphold high standards of
integrity and transparency throughout the Group's operations and protect the
interests of its shareholders. The procedures to uncover and correct
unauthorised management practices reflect that commitment to financial
discipline and integrity at all levels.
Ends
Contacts
Investor Relations:
Louise Breen Director, Investor Relations +44 20 7315 4460
Virginia Porter Vice President, Investor Relations, New York +1 212 551 3563
Craig Thornton Manager, Investor Relations +44 20 7315 6225
Media:
Lesley Smith Group Director of Corporate & Public Affairs +44 20 7315 4410
Peter Eustace Group Head of Media Relations +44 20 7315 4495
END