24th Apr 2006 08:30
Cesky Telecom A.S.24 April 2006 > PRESS RELEASE - 24. 4. 2006> CESKY TELECOM EARMARKS CZK 150 MILLION FOR THE DEVELOPMENT OF BROADBAND INTERNETIN THE CZECH REPUBLIC CESKY TELECOM, a member of the Telefonica Group, has decided to invest anotherCZK 150 million into the development of broadband connections in the CzechRepublic. It will designate these resources towards the constructions of newtechnological components in its network. A parallel investment should providehigher quality and faster connections for schools, libraries and other publicfacilities, even in the remotest parts of the country. The main objective of CESKY TELECOM's investment is to expand the availabilityof ADSL-based services for the population and to increase the number oflocalities that have access to high-speed Internet. "We want the penetration ofbroadband Internet to reach 98% in the Czech Republic as soon as possible," saidJaime Smith Basterra, President and CEO, CESKY TELECOM. The CZK 150 million investment should be allocated specifically for theconstruction of new interconnecting components in the network, so-called DSLAMs.The biggest Czech telecommunications operator is therefore contributing, fromits own resources, to the fulfilment of the objectives of a project to which itis committed in co-operation with the Ministry of Culture, the Ministry ofInformatics and the Ministry of Education, Youth and Sports of the CzechRepublic. This project aims to build a comprehensive republic-wide network ofbroadband Internet access. According to the official schedule, the last school or library to be connectedshould get its connectivity on October 15, 2006. However, connections will beavailable in a considerable number of localities by as early as the holidays. Incomparison with 2005, when nearly 1,200 DSLAMs were erected, this singularproject will make the most of authorised internal and external human resourcesas it aims to build 700 DSLAMs during a five-month period. "In this phase of development, we also want to provide broadband Internet forthose small towns and villages with schools that have yet to acquire high-speedconnections, even through alternative technology. We are trying to provide theseareas with the fastest speeds, ideally 4 Mb/s," says Mr. Smith. CESKY TELECOM's administration expects that the total amount required for theconstruction of a complete network will be several times greater than the latestexpectation of 150 million koruna. In addition to this investment, which, forsubscribers, will mean considerably widespread accessibility and improvedconnection parameters, it will also be important to strengthen the clarity ofthe backbone network itself. For further information, please contact: MARTIN ZABKAPress SpokesmanTel: +420 271 463 359Fax: +420 271 469 896e-mail: [email protected] CESKY TELECOM, a. s., a member of the Telefonica Group, is the leadingtelecommunications company in the Czech Republic. Through its subsidiary companyEurotel Praha, spol. s r.o., it also has a significant presence in the Czechmobile services market. Further information about the firm and the services itoffers is available at www.telecom.cz, which was rated as BestWeb 2003 in theWebTop100 survey. Signum Temporis has consistently awarded CESKY TELECOM for being one of thedomestic capital market's most transparent firms in terms of providinginformation. Based on an open vote of specialists, members of the press and anine-member committee, CESKY TELECOM placed first in 2003, just as it did in2001. CESKY TELECOM ranks among the most prominent firms on the Czech capital marketin terms of capitalization and trading volumes. Its shares are also traded onthe London Stock Exchange in the form of GDRs. CESKY TELECOM's credit rating isthe highest a Czech corporation can receive from top international ratingagencies. About Telefonica Telefonica is Europe's leading integrated telecom company and second biggest inthe world. Its activities are centred mainly on the fixed and mobile telephonybusinesses with broadband as the key tool for the development of both of these. The company is operating in 40 countries and together with CESKY TELECOM has acustomer base that amounts to more than 140 million access. Telefonica has astrong presence in Latin America, where the company concentrates part of itsgrowth strategy. Telefonica is a 100% listed company, with more than 1.5 million directshareholders. Its share capital currently comprises 4,921,130,397 ordinaryshares traded on the Spanish Stock Market (Madrid, Barcelona, Bilbao andValencia) and on those in London, Paris, Frankfurt, Tokyo, New York, Lima,Buenos Aires, Sao Paulo and the SEAQ International Exchange in London. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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