Globe Telecom Signs Pact with Cable and Wireless HKT

November 9, 1999 PSE CIRCULAR FOR BROKERS NO. 2847-99 GLOBE TELECOM SIGNS PACT WITH CABLE & WIRELESS HKT GLOBE TELECOM, the Philippine telecommunications company of Ayala Corporation) and Singapore Telecom International (STI), has signed an international telephone correspondentship agreement with Cable & Wireless HKT in ceremonies last September 1999 in Hong Kong. LexLib The milestone agreement makes GLOBE TELECOM only the second Philippine telecommunications company to establish a direct international correspondentship agreement with Cable & Wireless HKT after Eastern Telecommunications, Phils. Inc. (ETPI), which is a Cable & Wireless affiliate. llcd This development brings GLOBE TELECOM's total number of foreign correspondents to 34 carriers in 26 countries throughout Asia, Africa, North & South America, Australia, and Europe; and augments GLOBE TELECOM and Cable & Wireless HKT's existing range of commercial agreements (i.e., international private leased lines). cdll Main signatories to the agreement were GLOBE TELECOM Carrier Business Vice President Benedict B. Buhain and Cable & Wireless HKT's Director of International Keith Harrison. This agreement would enable both parties to establish direct links and send its terminal traffic through these circuits. This agreement would also provide GLOBE TELECOM opportunities for offering other services to suit the telecoms demands of its subscribers. The services may include Home Country Direct, Collect Call Services, ISDN (Integrated Services Digital Network) and International Toll Free Service (ITFS). Basically, the new. arrangement is expected to enhance the international communications business of both parties, which can now directly facilitate all types of voice, data and video traffic between their subscribers. Hong Kong is among GLOBE TELECOM's top five destinations for its outgoing international traffic which is brought about mostly by the large presence of Filipino overseas contract workers, Filipino tourists and business-related transactions in the area. Aside from Hong Kong, the other four destinations in GLOBE TELECOM's top outbound list include Japan, Singapore, Taiwan and the United States. llcd Eventually, the tie-up may also expand the traffic exchange to other value added services as may be agreed upon between the parties. In the long term, this agreement gives GLOBE TELECOM an opportunity to avail of Cable & Wireless HKT's extensive transit service for GLOBE TELECOM's outgoing traffic to the rest of the world. To date, GLOBE TELECOM is among the country's new telecoms operators to have two IGF switches for increased capacity and ensured connectivity. Aside from that, GLOBE TELECOM is the first IGF operator to have obtained its Certificate of Public Convenience and Necessity (CPCN) from the National Telecommunications Commission (NTC) in October last year. The CPCN was given after the Company fully-complied with the requirements and conditions contained in its Provisional Authority given five years ago. GLOBE TELECOM is a full-service telecommunications company offering handyphone cellular mobile, Globelines fixed telephone, Globelink and other international communications services, VSAT (Very Small Aperture Terminal) service, Inter-Exchange Carrier service, International Private Leased (IPL) lines, Datafast Frame Relay and Value-Added Network (VANs) services, data services and G-Net Internet Access. Cable & Wireless HKT, a Cable & Wireless company, is Hong Kong's major full service communications provider, marketing a full array of quality voice and data telecommunications services backed by a state-of-the-art, fully digital fiber-optic network. Its services include basic telephony, mobile telephony, international calls, specialized fax and data products, value added services, Internet access, multi media services, satellite links and telecommunications equipment and systems.