Re Alstom Shares - Placement Details Announced

25 January, 2001, ALCATEL SA (NYSE: ALA; Paris Premier
Marché: CGEP), MARCONI PLC (LSE: MONI; NASDAQ: MONI) and
ALSTOM (NYSE: ALS, Paris Premier Marché: ALS) announce
today details of the placement of part of Alcatel and Marconi's
stakes in the French industrial group ALSTOM.

The initial offer size will be 64,616,238 shares or 30% of
ALSTOM's total share capital. The transaction size can be
increased at any time up to and including the pricing date
(expected to be on February 8th) by up to 25%. In addition, the
selling shareholders have granted the underwriters an option
('greenshoe option') to purchase additional shares up to 10% of
the final number of shares offered solely to cover
over-allotments.

Marconi and Alcatel will each sell the same number of
shares. Following the placement, a lock up agreement of 180
days will apply to Alcatel, Marconi and ALSTOM, subject to
certain exceptions. Assuming exercise of the greenshoe option,
following the placement Marconi and Alcatel will each own
between approximately 7.3% and 3.2% of ALSTOM's share capital
and the 'free float' of ALSTOM will increase to approximately
85%-94% depending on the final placement size. The shareholder
agreement between Marconi and Alcatel will terminate and
Marconi and Alcatel will act independently.

Shares will be offered in a single global offering
consisting of a public offering in France (including a retail
offering), a public offering in the USA and an international
offering to institutional investors outside France and the USA.
The international placement and the French retail offer opens
today, January 25th. The French retail offer is expected to
close on February 7th and the international offering on
February 8th. The price of the offering will be determined on
February 8th. Retail investors in France will benefit from a
discount of 2.5% from the institutional offer price.

Credit Suisse First Boston and Société
Générale will act as joint bookrunning lead managers;
Merrill Lynch will act as a joint lead manager.

This communication shall not constitute an offer to sell or
the solicitation of an offer to buy nor shall there be any sale
of these securities in any country in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state. In
France, the offering is made pursuant to a prospectus that has
received the visa of the Commission des Opérations de
Bourse, number 01-038. In the United States, a prospectus has
been filed with the Securities and Exchange Commission. The
prospectuses contain important information regarding ALSTOM,
including financial statements and a description of its
business and strategy.

For further information please contact:

ALCATEL  

Investor Relations

Claire Pedini

+33 1 40 76 13 27

claire.pedini@alcatel.fr

Chris Welton

+331 40 76 50 45

chris.welton@alcatel.fr

Emmanuel Spite

+331 40 76 16 04

emmanuel.spite@alcatel.fr

Corporate Media Relation

Aurélie Boutin

+331 40 76 11 79

aurelie.boutin@alcatel.fr

Laurent de Segonzac

+331 4076 15 04

laurent.de-segonzac@alcatel.fr

Klaus Wustrack

+331 40 76 11 56

klaus.wustrack@alcatel.fr

MARCONI  

Charlie Foreman

+44 20 7306 1545

charlie.foreman@marconi.com  

ALSTOM  

Investor relations

Heather Green

+33 1 47 55 25 78

heather.green@chq.alstom.com
 Press Enquiries

Gilles Tourvieille

+33 1 47 55 23 15

gilles.tourvieille@chq.alstom.com

SOCIETE GENERALE  

Jean-François Tiné

+33 1 42 13 37 24

jean-francois.tine@ota.fr.socgen.com  

CREDIT SUISSE FIRST BOSTON  

Marius Brinkhorst

+ 44 207 888 3859

marius.brinkhorst@csfb.com