Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of CertainOfficers; Compensatory Arrangements of Certain Officers.

Termination of Peter P. Sach

On August 22, 2008, Arbinet-thexchange, Inc. (the "Company") terminated the employment of Peter P. Sach, the Chief Operating Officer of the Company, without cause, effective October 22, 2008 (the "Termination Date"). Pursuant to the Offer Letter dated July 5, 2001, as amended March 16, 2007 and April 23, 2008, by and between the Company and Mr. Sach, (the "Offer Letter") in connection with such termination, the Company will pay Mr. Sach an aggregate of approximately $354,295, consisting of:

· Mr. Sach's current base salary through the Termination Date, or approximately $45,833;

· payment for accrued vacation through the Termination Date, or approximately $8,462;

· severance pay equal to 12 months' base salary, or $275,000;

· reimbursement for certain COBRA payments for a period of 12 months following the Termination Date and an amount equal to employer contributions to the Company's retirement plan for one year following the Termination Date, assuming he contributed the maximum amount to such plan, which amount to a payment of $25,000 in accordance with the limits placed on such payments by the terms of the Offer Letter.

Resignation of Michael J. Donahue

On August 25, 2008, Michael J. Donahue, one of the Company's Directors, submitted a letter of resignation to William M. Freeman, the Chairman of the Board of Directors of the Company. Mr. Donahue's decision to resign was not the result of a disagreement with the Company on any matter related to its operations, policies or practices.

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