CABLE & WIRELESS OPTUS - FASTEST GROWING MOBILE NETWORK IN AUSTRALIA

Cable & Wireless Optus today announced it had increased its GSM mobile customer base by 27% per cent between April and September 1999, with the net addition of 439,000 customers.

Optus is the fastest growing mobile network in Australia, with 2.215 million customers, taking almost half of the total market growth in the last quarter.

The company has taken market share from both its competitors, and grew at a faster rate than the total GSM market.

Deputy Chief Executive and CFO, Norman Gillespie said, "These excellent results, in line with our demanding internal targets, underscore the significance of the decision we took to establish Mobile as a separate line of business. Since that time, there has been a clear trend of consistent quarter on quarter growth."

Director of Mobile Communications, Paul O'Sullivan, said the key drivers for the strong growth during the September quarter were innovative and flexible tariffs such as 'Yes Time' and 'Yes Weekend', quality network performance, expanded distribution channels and high levels of customer service.

"We believe both 'Yes Time' and 'Yes Weekend' are initiatives that begin to unlock the potential of mobile phones as personal communication devices. Customers see true value in these benefits.

"For most customers, choosing a mobile network is not just about competitive tariffs, its also about their mobile phone company working hard to retain their business, and that is exactly what we have been doing.

"We are delighted with the results to date, which have shown consistent growth and growing market share since inception of Mobile as a focussed line of business.

"It is particularly pleasing that our most recent strong growth has occurred in a quarter not traditionally viewed as a bumper season for mobile phone sales," said Mr O'Sullivan.

As well as announcing up-to-date mobile customer figures, Cable & Wireless Optus also confirmed that it has once again outperformed its rivals in terms of network quality.

According to the latest independent Australian Communications Authority Report for the June 1999 quarter, Cable & Wireless Optus' GSM network had the lowest call congestion rates of any GSM network.

To further boost Optus' mobile business and range of services, the company has completed negotiations with Telstra to enable it to offer CDMA mobile service.

"By offering the CDMA service we will be able to complement our existing mobile service portfolio and reinforce our commitment to providing choice to all Australians," said Paul O?Sullivan.

"On completion, the CDMA service will provide reasonably equivalent coverage to AMPS. Our decision to offer CDMA means customers who want to use the technology, particularly those in rural and regional areas, will be able to access the service via Optus," he said.

For more information:
Stephen Woodhill
Cable & Wireless Optus
Phone: 02 9342 7850