Exhibit 99.1
                                                                    ------------
FOR IMMEDIATE RELEASE

CONTACT:

Kye Presley-Dowd
Media Relations
Pathnet
(202) 295-3286
kpresleydowd@pathnet.net 

Becky Haight
Investor Relations
Pathnet
(877) 227-5600
investor@pathnet.net


                       PATHNET ANNOUNCES MANAGEMENT CHANGE

WASHINGTON, D.C., February 12, 1999 - Pathnet, Inc., a privately held "carrier's
carrier" of digital telecommunications  capacity to under-served and second- and
third-tier  U.S.  markets,  announced  today that the  company's  founder  David
Schaeffer  will no longer  serve as  Chairman of the Board or  Treasurer  of the
company. Although he will have no continuing operating role in the business, Mr.
Schaeffer will continue to serve as a member of the Board of Directors.

Pathnet president and chief executive officer, Richard A. Jalkut, announced that
William  R.  Smedberg,  currently  the Vice  President,  Finance  and  Corporate
Development, will replace Mr. Schaeffer as Treasurer.

Pathnet  is a leading  "carrier's  carrier"  providing  high-quality,  low-cost,
digital  fiber and  wireless  telecommunications  capacity to  under-served  and
second- and third-tier U.S. markets.  The company's  strategy is to partner with
owners of telecommunications  assets,  including utility,  pipeline and railroad
companies,   to   upgrade   and   aggregate   existing   infrastructure   to   a
state-of-the-art  SONET  network.  Pathnet  currently  has 2,000  route miles of
completed network, an additional 5,000 route miles under construction and 10,000
route miles of network under contract.  Due to demand and  opportunity,  Pathnet
has recently  expanded the scope of its  existing  business  strategy to include
fiber.  Pathnet offers  telecommunications  service to inter-exchange  carriers,
local exchange  carriers,  Internet service  providers,  Regional Bell Operating
Companies, cellular operators and resellers.

This press release  contains some matters that are  forward-looking  statements.
The reader is cautioned that these forward-looking  statements, such as plans to
sign additional  agreements with private  network  operators;  offer services to
telecom service  providers;  enter into  partnering,  co-development  and anchor
tenant  arrangements;  building a digital network;  and statements regarding the
development  of  Pathnet's  business,  and  other  statements  contained  herein
regarding  matters  that are not  historical  facts,  are only  predictions.  No
assurance can be given that the future  results will be achieved;  actual events
may differ  materially as a result of risks facing Pathnet.  For a discussion of
factors that could affect the forward-looking  statements,  see Pathnet's public
filings on file with the Securities and Exchange Commission.