Contract extension

Avanti Communications Group plc

Contract Extension

Avanti Communications Group plc (AIM: AVN), the broadband satellite operator, is pleased to announce that it has received a contract extension from the Department of Enterprise, Trade and Investment in Northern Ireland, which will increase the budget available for the provision of satellite broadband services across the region to those who cannot currently access broadband services by other means. 

The boost in available budget has been agreed due to an unforeseen increase in demand for satellite broadband services in the region and will ensure that those living and working in areas where the market has not yet made landline broadband connectivity widely available will continue to have access to broadband services at reasonable cost. 

Commenting, David Williams, Avanti Chief Executive, said:

"We are always delighted to see contracts increased or extended as it is an expression of satisfaction on the part of our customer with the technology and service we offer, as well as an indication of the expansion of our market. With the launch of HYLAS 1 scheduled for the third quarter of this year with Arianespace on Soyuz (or the alternative Ariane 5) we look forward to upgrading our valued customers in Northern Ireland to higher service levels."

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Notes to Editors:

About Avanti

¡ Avanti sells satellite broadband services to telecoms companies which use them to supply residential, enterprise and institutional users.

¡ Avanti's first satellite, called HYLAS 1 will launch in Q3 2010 and will be the first superfast broadband satellite launched in Europe.

¡ Avanti's second satellite called HYLAS 2 is fully funded and will launch in Q2 2012. It will extend Avanti's coverage to Africa and the Middle East.

¡ The market for 2Mb satellite broadband products in the markets served by Avanti is estimated at more than 100 million households.