Results of implementing telecommunication program of "KAZAKHTELECOM" in 1999

/KASE, Feb.25, 00/ - "KAZAKHTELECOM" (Almaty, official list of securities, category "A") provided Kazakhstan stock exchange (KASE) with the press- release on the results of implementing the program of modernization and development of telecommunication in Kazakhstan in 1999. It was said in the press-release, that the program of "KAZAKHTELECOM" on big scale modernization and development of telecommunications has been adopted in 1997, but it was in 1999 when real results can be measured due to fulfilling main tasks that were set forth. In reporting year automatic digital long distance telephone stations (ALDTS) of 5ESS standard produced by "Lucent Technologies" were installed in Aktobe, Taraz and Uralsk, and as a result, the project of making long distance and international telephone stations of Kazakhstan fully digital was completed. Creation of International commutation centers (ICC) in Almaty and Astana lead the way to transformation of Kazakhstan into international principles of making connections with other national telecommunication networks. ALDTS of all regional centers, ICC of CIS countries and other foreign countries are entered into ICC. Further it was said, in 1999 one of the major projects of Kazakhstan - creation of National Information Highway (NIH) that should provide with digital traffic all regional centers and major cities of the country and transit of international information traffic between Asia and Europe - was underway. In 1998 southern segment of NIH Almaty-Jambyl-Shymkent (1,750 km), which is the part of Transasianeuropean fiber optic communication line (TAE FOCL) connecting Beijing with Frankfurt-on-Maine, was put into operation. In April of 1999 construction works began at western segment of NIH Shymkent-Kyzyl-Orda-Aktobe-Atyrau-Russia (2,500 km), which is planned to be finished by late 2001. This segment of the highway network will become the shortest telecommunication line from Europe to China, Japan and East- Asia countries. 500 km of western segment has been already built. North branch of the highway Astana-Petropavlovsk-Omsk with 650 km length and digital connection with Moscow and other terminals of Russia and Europe was functioning for a year already. In late 1999 digital radio relay communication system Karagandy-Almaty (1,000 km) with 1,890 channel capacity has been built, which meets all international standards of information transmission. After putting it into operation it becomes possible to set up a digital communication line from Russian Transsiberian communication line Khabarovsk-Moscow to TAE FOCL. In 1999 "KAZAKHTELECOM" put much effort in reviving communication in villages: 162 of 566 previously shut down village stations were restored, modern satellite stations were set up in 100 remote areas. Along with that, modern digital communication are installed in district centers: in Sarykemer, Asa, Kulan and Merke of Jambyl region digital ATS with 6,608 number capacity have been installed; in Aksai of West Kazakhstan region two digital ATS with 808 number and 4,000 number capacities have been installed; in Khromtau of Aktobe region the station with 2,504 number capacity has been installed. Besides, in 1999 modernization of local networks of major cities was underway. New digital stations for more than 50 th. subscribers was put into operation in Almaty, capacity of the lines was increased by 30 th. numbers. Modern digital switching systems were installed in regional centers with total capacity of 70 th. numbers. Digital stations based on the most leading switching and communication technologies for 33 th. numbers were set up in Astana. The degree of digitalization of the new capital's network reached 70% and it is one of the highest in the country. In 2000 digital equipment should be installed in following cities: Astana, Shymkent, Uralsk, Aktobe, Taraz, Temirtau. Another big project has been completed in 1999, which incorporated in itself the most advanced technologies in CIS - creation of united National data transmission network with the trade mark "Kazakhstan Online" for offering following services: access to the Internet, designing and constructing networks for corporate clients, digitally transparent channels. The National data transmission network consists of 34 joints in 18 major cities of Kazakhstan and connected with each other by digital ground channels with high traffic. The network is controlled by a single center in Almaty around the clock. The most significant advantage of the network is its integrity with the world telecommunication network. Along with development and modernization projects of telecommunication network "KAZAKHTELECOM" was conducting a policy aimed at stabilization of its financial situation, and reduction of operating expenses and increase in the number of services. International long distance traffic reached 67 mln minutes in 1999, income from offering services reached about KZT30 bln, volume of investments - about KZT6.8 bln. Essential confirmation of the trust in the company - $50 mln loan of European Bank for Reconstruction and Development granted without the guarantee of the government of Kazakhstan.