DCC/Astelit Ukraine Awards GSM Contract to Ericsson

7/2/2004 - Ericsson has been awarded a contract by DCC/Astelit Ukraine as a supplier for design and implementation of a new GSM network. The contract is valued at USD 88 million.

"Ericsson is the world leader in telecommunications. We have been in close collaboration for many years and have full confidence in the technological solutions of the company," said Valeriy Grigorievich Stepanenko, Chairman of the Supervision Board, CJSC Digital Cellular Communication of Ukraine.

To facilitate the network launch, Ericsson is also supplying a range of services, starting from site acquisition and civil works to network rollout, testing and support. Ericsson is also providing network design, transmission and radio planning to support DCC/Astelit in partnership with their majority owner, Turkcell, in developing, deploying and marketing advanced mobile services.

"We are proud that DCC/Astelit has chosen Ericsson as a partner for their new GSM network demonstrating DCC/Astelit's continued confidence in Ericsson's leading technology and our unparalleled position in deploying mobile networks," said Rasmus Nordby, President of Ericsson Ukraine. "The combined experience of Ericsson, DCC and Turkcell in creating a new GSM network will result in a world-class telecommunications solution for Ukraine."

Ericsson's cooperation with DCC/Astelit dates back to 1996 when the company supplied its first TDMA system including infrastructure equipment, base stations and handsets to the Ukrainian operator in the Donetsk region. This deployment was followed by a number of expansions. Currently, DCC's mobile (TDMA) network provides service to 8 regional centers of Ukraine, namely, Kiev, Donetsk, Simferopol, Dnepropetrovsk, Kharkov, Odessa, Zaporozhye and Lugansk.

Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world.

About Digital Cellular Communications of Ukraine - DCC
Digital Communication of Ukraine (DCC) was founded in 1995 in Donetsk. In 1996 with the launch of DCC's cellular network in Donetsk, the first digital technology of cellular communication appeared. The strategic partner for this network was Ericsson, the world leader in telecommunications. DCC has the licenses for cellular, long-distance & international communication. The DCC network was constructed on the basis of American digital standard D-AMPS.

Now DCC provides the services in Kyiv, Donetsk, Dnipropetrovsk, Kharkiv, Odessa, Luhansk, Zaporizhza and in the regions of those cities as well as including Simferopol & Crimea. DCC provides roaming services for travelling subscribers in CIS countries.

For subscribers travelling overseas, the company provides beneficial conditions for handsets lease with communication services in 58 countries. Currently the company provides service for approximately 80,000 subscribers.

DCC has joined the International Association of operators of D-AMPS networks as a Ukranian representative. The equipment used in DCC's networks allowed Ukraine to be on the list of countries which are using advanced digital cellular communication technologies of cellular communication.

About Turkcell
Turkcell is the leading GSM operator in Turkey with 19.7 million postpaid and prepaid customers as of March 31, 2004. Turkcell had revenues of US$746 million during the three month period ended March 31, 2004. Turkcell provides high-quality wireless telephone services throughout Turkey and has coverage of 100% of the towns with more than 10,000 inhabitants. Turkcell provides roaming with 403 operators in 167 countries as of May 30, 2004. At the end of 1999, Turkcell became the first GSM operator in Turkey to be awarded the prestigious ISO 9001 certificate for the quality of its service. Turkcell is the only NYSE listed company in Turkey. Turkcell has interests in international GSM operations in Azerbaijan, Georgia, Kazakhstan, Moldova and Northern Cyprus, which have a total of 2.7 million subscribers as of March 31, 2004. Turkcell is the majority owner (51%) of DCC. (http://www.turkcell.com.tr)

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