IRVING, Texas - GTE Internetworking, a subsidiary of GTE Corp.,
today announced that it will acquire Genuity Inc., a subsidiary of Bechtel
Enterprises. The terms of the transaction were not disclosed. The acquisition
is subject to customary closing conditions, including the expiration of
applicable waiting periods under the Hart-Scott-Rodino Act. The acquisition
will be completed through GTE Internetworking's affiliate, BBN Corporation. It
is anticipated that the transaction will be completed by the end of the year.

GTE Internetworking, already a leading provider of Web hosting, is pursuing
its strategy of enabling customers to transfer their business applications to
the Internet. Moving mission-critical business processes to the Web allows
customers to broaden market reach, lower the cost of sales, distribution, and
support, and transform the relationships between companies and their customers.

GTE Internetworking has more than a thousand Web hosting customers,
including some of the busiest sites on the Web--ZD.Net, Four11, LA Times, Boston
Globe, Tribune Corporation, and NBC Interactive. The combination of GTE
Internetworking with Genuity will provide an expanded global footprint with 12
fully networked data centers, creating an organization with an unprecedented
ability to provide distributed Web hosting services.

Genuity is a value-added provider of distributed application hosting
solutions. Genuity has strategically located data centers and a sophisticated
load-balancing technology, Hopscotch, which together ensure efficient delivery
of data across the Internet. Genuity's unique Hopscotch technology helps solve
busy server problems, network congestion, and Internet latency to deliver the
highest levels of performance. Its customers include cnet, CMP Publications,
Inc., Excite, InterTel, and MCA/Universal.

"With this acquisition we continue to build the critical set of assets
necessary to advance our position as a trusted provider of the enabling
infrastructure for Internet commerce. We are combining our high-speed national
backbone with global reach, robust public and private peering relationships,
advanced hosting and distributed application management with our security and
systems integration expertise to enable customers to migrate mission critical
applications and business processes to the network," said George H. Conrades,
president of GTE Internetworking.

"Genuity's network technology, and most importantly, its people, are what
give us the competitive advantage," said T. Geir Ramleth, president and CEO of
Genuity. "The integration of our robust hosting infrastructure and powerful
Hopscotch technology with GTE Internetworking's extensive resources will create
a synergistic union. And our similar cultures and vision for the future provide
a unique opportunity for customers looking to transform their businesses using
Internet technology."

"Genuity's robust distributed application hosting architecture will be
instrumental to GTE Internetworking as we continue to focus on delivery of the
most advanced distributed network-centric solutions," said Mark Shull, vice
president and general manager of GTE Internetworking's Network Centric Solutions
group. "This combination allows us to build on our existing base of technology
and expertise to provide Internet infrastructure services for electronic

About Genuity

Genuity is a subsidiary of Bechtel Enterprises, the development, financing
and ownership affiliate of the Bechtel organization. Genuity is a value-added
provider of distributed application hosting, access and security technologies
that provide cost-effective, scaleable and highly reliable Internet
infrastructure for commercial applications. With headquarters in San Francisco,
Genuity also has data centers established in Chicago, Los Angeles, New York,
Phoenix, San Jose, Washington, D.C. and London. Genuity is the creator of
Hopscotch, a service allowing organizations to ensure the accessibility and
performance of their mission-critical Internet sites by eliminating DNS look-up
failures and solving Internet latency problems. For more information, please
call 1-888-Genuity, or visit the company's World Wide Web site located at Genuity

About Bechtel Enterprises

Bechtel Enterprises, Inc. is the development, financing and ownership
affiliate of the Bechtel organization, a premier global engineer - constructor.
It is a leader in the privatized infrastructure market, with ownership interests
in 9 companies and 29 projects in the power, water, transportation,
telecommunications, and technology sectors. Since 1990 alone, Bechtel
Enterprises has participated in arranging nearly $12 billion in project
financing. For more information about Bechtel please visit the company's World
Wide Web site at Bechtel

About GTE Internetworking

GTE Internetworking, a unit of GTE Corporation (NYSE:GTE), includes the
recently acquired BBN Corporation, which 28 years ago developed the ARPANET, the
forerunner to today's Internet, and GTE Intelligent Network Services, which
provides Internet services to consumers and small businesses.

GTE Internetworking offers customers, from consumers to Fortune 500
companies, a full spectrum of Internet services and solutions including dial-up
and dedicated Internet access, end-to-end network management, high-performance
distributed hosting and applications solutions, managed security, and systems
integration, for customers migrating their mission-critical business
applications to the Internet. GTE Internetworking draws upon BBN's expertise in
funded research and development of advanced technologies, including satellites,
digital radio, multi-gigabit routers, security, and speech, and GTE's strong
existing telecommunications services, including local and long distance,
wireless, paging, video, research, and Internet. The address for the GTE
Internetworking's home page is http://www.bbn.com