SINGTEL'S REGIONAL MOBILE SUBSCRIBER BASE EXCEEDS 40 MILLION

Year-on-year growth of 41 per cent

Singapore, 3 November 2003 - Singapore Telecommunications Limited (SingTel), Asia Pacific's largest multi-market mobile operator, today announced that its aggregate mobile subscriber base in the region hit 40.8 million on 30 September 2003.

This represents a 41 per cent year-on-year increase in the total number of mobile subscribers of SingTel, SingTel Optus and SingTel's four regional associates, compared to the base of 28.9 million customers a year before. On a proportionate basis, SingTel's mobile subscriber base in the six markets increased 34 per cent to 16.1 million as at 30 September 2003.¹

SingTel's mobile associates in the region - Advanced Info Service, Bharti Group, Globe Telecom and Telkomsel - expanded their total subscriber base by 49 per cent from a year ago to 34.2 million as at 30 September 2003.

The combined strength of the six companies' total subscriber base has enabled them to derive synergy and savings from a number of areas, including discounts from bulk purchases of SIM cards and handsets, as well as from joint negotiation for infrastructure and other network expenditure. During the financial year ended 31 March 2003, the grouping enjoyed combined savings of US$55 million, up from US$20 million the previous year.

SingTel's wholly-owned subsidiary Optus continued to enjoy strong growth despite intense competition in the Australian mobile market. For the first time, Optus crossed the five million mark to register 5.07 million mobile customers as at 30 September 2003, an increase of 17 per cent from last year. Optus has about 34 per cent of the Australian mobile market.

In the Singapore market, subscription-free Mobile Number Portability (MNP) was mandated by the industry regulator in August this year. Mr Lucas Chow, CEO of SingTel Mobile, said that this development had little impact on SingTel. "The company's range of price plans, which come with features such as free incoming calls, extra bundled talktime and calls to a home number from just one cent a minute, means that our customers do not need to look elsewhere."

"Compared to July 2003, the number of SingTel's postpaid subscribers rose in August and again in September despite market concerns about the impact of MNP. In fact, SingTel recorded its lowest postpaid churn rates ever with 1.1 per cent for the month of August and a similarly impressive 1.2 per cent churn in September," Mr Chow added.

More details on the market and financial performance of the six mobile operations will be available when SingTel announces its results for the quarter ended 30 September 2003 on 6 November 2003.

At a glance

*Rounding off of subscriber base numbers may result in slightly different percentage change numbers.

About SingTel and Optus

SingTel, Asia’s leading communications company, is reaping benefits of an international expansion strategy which has been successfully developed over the last 15 years. 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. The Group is well diversified in terms of business mix and geography.

SingTel Optus is Australia’s leading integrated communications company – serving around six million customers each day. Since commencing operations in 1992, Optus has invested more than A$7 billion in the construction of fixed, mobile and satellite networks. Optus’ mobile business unit has captured around one third of the total Australian GSM mobile market and leads the market in mobile data take-up.

Management of SingTel’s and Optus’ mobile networks has been integrated under one unit with the objective of reducing capital expenditure in the short term and achieving lower operating cost in the long term. Mobile services common to both SingTel and Optus will have the same platform across both countries, resulting in better economies of scale and lower operations and maintenance costs. The combined unit will also jointly develop new mobile applications, including 3G.

More information can be found at www.singtel.com.

About SingTel’s regional mobile associates

AIS is the largest mobile communications operator in Thailand and is listed on the Stock Exchange of Thailand. The company’s subscriber base jumped to 12.2 million as at end June 2003 from 7.8 million a year ago. Despite the keen competitive environment following the entry of new cellular operators, AIS remained the market leader with about 60% market share as at end June 2003. SingTel has a 21.5% stake in AIS.

The Bharti Group is India’s leading private sector provider of integrated telecommunications services and is listed on the National Stock Exchange, Delhi Stock Exchange and the Stock Exchange of Mumbai. Bharti, which offers mobile services in 15 out of 22 circles in India, is the largest mobile operator in India with over 25% market share. As at 30 June 2003, Bharti had about 3.75 million mobile subscribers. SingTel has a 28.5% stake in Bharti.

Globe Telecom is one of the largest mobile communications service provider in the Philippines in terms of revenue and is listed on the Philippine Stock Exchange. For the quarter ended 30 June 2003, SingTel’s share of profit from Globe (before exceptionals) grew 24% year on year to S$31 million, sustained by strong growth in subscribers and improved operational efficiencies. As at 30 June 2003, Globe had 7.3 million mobile subscribers, up from 5.4 million a year ago. SingTel has a 29.1% stake in Globe.

Telkomsel is the leading operator of mobile communications services in Indonesia with a market share of over 50 per cent as of June 2003. Its subscriber base of 7.7 million customers as at June 2003 was up 84% from 4.2 million a year ago. SingTel has a 35.0% stake in Telkomsel.

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

¹ Based on a 29.1 per cent stake in Globe. SingTel’s equity interest in Globe will rise to 42.7 per cent upon the completion of recently announced transactions arising from the offer of DeTeAsia GmbH to sell its stake in Globe.