Neutral Tandem, Inc. (Nasdaq:TNDM), a leading provider of
interconnection services, announced today it has completed its
acquisition of Tinet, SpA, an Italian-based global carrier exclusively
committed to the IP Transit and Ethernet wholesale market. The
combination immediately expands Neutral Tandem's IP-based network
internationally, enabling global end-to-end delivery of wholesale
Voice, IP Transit and Ethernet solutions. The acquired business will
now be a wholly owned subsidiary of Neutral Tandem.

Neutral Tandem and Tinet announced the signing of a definitive
agreement on September 9, 2010. To acquire Tinet, Neutral Tandem paid
cash consideration of approximately 74.5 million euros (approximately
$99.8 million), which reflects certain purchase price adjustments and
includes the following assumption of cash and repayment of long-term
debt. As part of the 74.5 million euros purchase price, Neutral Tandem
assumed approximately 5.2 million euros in cash (approximately $7
million) and caused Tinet to pay off approximately 18.2 million euros
in long-term debt (approximately $24.4 million).(1)

"We believe that this deal will allow us to leverage our core
competencies, expand our global footprint, accelerate our Ethernet
initiatives and move beyond voice into data solutions," said Rian Wren,
President and CEO of Neutral Tandem. "We are pleased to have completed
this acquisition and are excited to begin our efforts to capitalize on
the new opportunities created by the transaction."

Cautions Concerning Forward Looking Statements

This press release contains forward-looking statements that involve
substantial risks and uncertainties. All statements, other than
statements of historical fact, included in this press release regarding
Neutral Tandem's strategy, future operations, future financial
position, future revenues, projected costs, prospects, plans and
objectives of management are forward-looking statements. The words
"anticipates," "believes," "expects," "estimates," "projects," "plans,"
"intends," "may," "will," "would," and similar expressions are intended
to identify forward-looking statements, although not all
forward-looking statements contain these identifying words. Neutral
Tandem may not actually achieve the plans, intentions or expectations
disclosed in its forward-looking statements. Actual results or events
could differ materially from the plans, intentions and expectations
disclosed in the forward-looking statements Neutral Tandem makes.
Factors that might cause such differences include, but are not limited
to: the possibility that the expected efficiencies and cost savings
from the proposed acquisition will not be realized, or will not be
realized within the expected time period; the risk that our business
and the Tinet business will not be integrated successfully; disruption
from the proposed acquisition making it more difficult to maintain
business and operational relationships; risks associated with our
ability to successfully develop and market international voice services
and Ethernet interconnection services, including but not limited to
identifying, obtaining, operating and maintaining attractive network
switch sites, equipment and software, cost estimation errors or
overruns, interconnection delays, material delays or shortages, our
inability to obtain necessary third party rights or permits on a timely
basis, if at all, and other factors, including the impact of
regulation, many of which are beyond our control and all of which could
delay or negatively affect our ability to offer or market this new
service; and other important factors included in Neutral Tandem's
reports filed with the Securities and Exchange Commission, particularly
in the "Risk Factors" section of Neutral Tandem's Annual Report on Form
10-K for the period ended December 31, 2009, Quarterly Report on Form
10-Q for the quarter ended March 31, 2010 and Quarterly Report on Form
10-Q for the quarter ended June 30, 2010, as such Risk Factors may be
updated from time to time in subsequent reports. Neutral Tandem does
not assume any obligation to update any forward-looking statements,
whether as a result of new information, future events or otherwise.

About Neutral Tandem, Inc.

Headquartered in Chicago, Neutral Tandem, Inc. is a leading provider of
tandem interconnection services to wireless, wireline, cable and
broadband telephony companies. As of June 30, 2010, Neutral Tandem was
capable of connecting approximately 500 million telephone numbers
assigned to carriers in the United States. Neutral Tandem's solutions
include both voice and Ethernet interconnection services. Neutral
Tandem's solutions build redundancy, security and operational
efficiencies into the nation's telecommunications infrastructure.
Neutral Tandem announced plans to launch 14 Ethernet Exchanges by year
end 2010. Please visit Neutral Tandem's website at:
www.neutraltandem.com

The Neutral Tandem, Inc. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=3797

About Tinet:

Tinet, formerly the carrier arm of Tiscali Group, is a global carrier
exclusively committed to the IP and Ethernet wholesale market. With
network presence and customers in EMEA, Americas and APAC, Tinet
provides global IP Transit and Ethernet connectivity to Carriers,
Service and Content Providers worldwide. The carrier guarantees
customers proactive management of SLAs and protection from DoS attacks.
Established in 2002, Tinet's unique business model, based on focus and
simplicity, assures the delivery of the highest standard of service.
Tinet has grown to become one of the top 10 global IPv4 backbones and
the number one IPv6 network worldwide. For more information on Tinet,
please visit www.tinet.net.

The Tinet logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=7984

(1) Based on an exchange rate of approximately EURO1 = $1.34, which is
the exchange rate Neutral Tandem received on various dates when it
converted dollars to euros in connection with the acquisition.


CONTACT:  Jaymie Scotto & Associates
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          Neutral Tandem
          Investor Contact:
          Jim Polson 
          1-866-268-4744