SINGTEL'S REGIONAL MOBILE SUBSCRIBER BASE NEARS 35 MILLION

Strong year-on-year growth of 55 per cent

Singapore and Sydney, 5 May 2003 - Singapore Telecommunications Limited (SingTel), the Asia Pacific's largest multi-market mobile operator, today announced that its aggregate mobile subscriber base in the region is close to 35 million.

As at 31 March 2003, the combined mobile subscribers of SingTel (Singapore), SingTel Optus (Australia), Advanced Info Service (Thailand), Bharti Group (India), Globe Telecom (Philippines) and Telkomsel (Indonesia) stood at 34.6 million, an increase of 55 per cent compared to a combined base of 22.3 million a year before.

On a proportionate basis, SingTel's mobile subscriber base in the six markets as at 31 March 2003 was 13.9 million, a year on year increase of about 44 per cent.

Mr Lee Hsien Yang, SingTel's President and CEO, said that the mobile communications business of the SingTel Group is well diversified with investments in regional mobile markets that are at different stages of development.

Mr Lee said: "In Australia and Singapore, the Group aims to preserve the value of its customer base, and manage the business for profitability and higher ARPUs through promoting use of data services among our customers."

Optus Mobile has commenced a program to significantly improve coverage in the regional areas that are important to the business market. It now has around 3,500 base stations, an increase of 11 per cent on last year, and plans to build another 400 in the current financial year.

SingTel Mobile's focus on the customer paid off when in a recent survey¹, it emerged first in satisfaction among mobile phone users in Singapore. It also scored the highest scores among Singaporean operators in all the survey indicators.

¹ J D Power Asia Pacific 2003 Singapore Mobile Telephone Service Satisfaction Study Regional mobile associates

SingTel's mobile associates in the region continued to record strong growth in customer numbers. The combined subscriber base of Advanced Info Service (AIS), Bharti, Globe and Telkomsel jumped 70 per cent to 28.3 million as at 31 March 2003.

Mr Lee said: "We are receiving an increasing portion of profits from our associates in the form of cash dividends. For instance, AIS has indicated its intention to increase its dividend payout ratio, while Globe recently declared it first annual dividend."

Mr Lee added that Bharti and Telkomsel continue to have very good growth potential due to the low penetration rates in the large markets of India and Indonesia respectively. "We have been very encouraged by the results of Bharti and Telkomsel."

Bharti turned around and posted a net profit for the first time for the quarter ended March 2003, while Telkomsel has announced revenue and net profit growth of more than 50 per cent for the same quarter.

Mr Lee concluded: "SingTel has a high quality regional mobile franchise. Five of the six mobile companies are leaders in their respective markets, with the sixth, a very strong number two."

"Our growing regional subscriber base will continue to enhance our negotiating power with suppliers and enable us to lower our costs. At the same time, SingTel, as a strategic shareholder, will facilitate the sharing of operational expertise across the group, enabling each operator to leverage synergies and improve its performance."

At a glance

SingTel is Asia’s leading communications company with operations and investments in more than 20 countries and territories around the world. Serving both the corporate and consumer markets, it is committed to bringing the best of global communications to customers in the Asia Pacific and< beyond.

Operating out of two major centres, Singapore and Australia (through wholly-owned subsidiary SingTel Optus), the SingTel Group provides a comprehensive portfolio of services that include voice and data services over fixed, wireless and Internet platforms.

In Singapore, SingTel has had more than 120 years of operating experience and has played an integral part in the development of the city as a major communications hub in the region. In Australia, Optus serves more than six million customers. It has driven the competition as the challenger brand and led the way in technological innovations and breakthroughs.

The Group’s other major investments in the region include Advanced Info Service of Thailand, the Bharti Telecom Group of India, Globe Telecom of the Philippines and Telkomsel of Indonesia. Together with its regional partners, SingTel is Asia’s largest multi-market mobile operator, serving more than 32 million customers in six markets.

SingTel has been recognised Best Asian Telecom Operator by industry publication, TelecomAsia, for five consecutive years since 1998. The Group employs 22,000 people around the world and had turnover of S$7.34 billion (US$4.22 billion) for the year ended 31 March 2002.

More information can be found at www.singtel.com

Media Contact:
Chia Boon Chong
Senior Corporate Communications Manager
Tel: +65-6838 2022
Hp: +65-9678 3716
Email: boonchong@singtel.com