Hutchison Whampoa Limited

Press Release - Stockholm 2001-06-25

Hi3G Access signs a letter of intent with Ericsson on the supply of UMTS infrastructure

Hi3G Access today signed a letter of intent with Ericsson for the supply of UMTS network infrastructure. Ericsson also enters a wider cooperation with Hi3G and companies within the Hutchison 3G group, concerning the development of strategic applications and services. This is an important step for Hi3G towards launching its 3G services in Sweden.

"We are pleased to have entered into the letter of intent for Ericsson to supply UMTS infrastructure to Hi3G after an evaluation that has been detailed and covered extensively all technical and commercial aspects to make sure that we get the best future proof solutions for our customers. Ericsson will be a long-term strategic partner of Hi3G and I am confident that we together can create the leading 3G service in Sweden," says Chris Bannister, CEO of Hi3G.

The letter of intent deals with the supply of Hi3G's complete Core Network, including 3G mobile switches, and a major part of Hi3G's Radio Access Network, including Radio Node Controllers and Radio Node B (base stations). Hi3G is in the final stages of selecting suppliers for the remaining part of the Radio Access Network.

Hi3G is aiming to provide attractive and innovative services with a full population coverage in Sweden before the end of 2003. Hi3G will build and operate its own UMTS infrastructure in the metropolitan areas of Stockholm, Gothenburg, Malm and Karlskrona. Outside these areas, Hi3G will provide its services using UMTS infrastructure built, owned and operated by 3G Infrastructure Services AB, a company jointly owned by Hi3G and Europolitan Vodafone. This letter of intent with Ericsson concerns infrastructure for Hi3G's own network.

Invitation to press meeting 25 June 3:30 p.m.

Chris Bannister, CEO for Hi3G and Mats Dahlin, President of Ericsson Radio Systems and head of Ericsson Mobile Systems Division will be available for comments and questions from 3:30 p.m. at the Ingeborg conference room, Biblioteksgatan 29, Stockholm (at the corner of Humlegdsgatan and Biblioteteksgatan).

For further information:

Niclas Lilja, Director Communications, Hi3G, e-mail: niclas.lilja@hi3gaccess.se Telephone: +46 708 45 70 90

Chris Bannister, CEO, Hi3G, e-mail: chris.bannister@hi3gaccess.se Telephone: +46 8 50 56 7000 or visit www.hi3gaccess.se

Josphine Edwall-Bjrklund, Director of Communications, Ericsson Sverige AB, e-mail: josephine.edwall@ese.ericsson.se, Telephone: +46 70 519 16 98

Hi3G is the holder of a Swedish national UMTS licence and is aiming to become Sweden's leading 3G operator with innovative services and a high quality network. The company's strength lies in the fact that it is a pure 3G company, with no baggage from old technologies such as GSM. Hi3G is expanding its operations in Sweden rapidly with the support of its owners, Hutchison Whampoa Ltd. (60%) and Investor AB (40%), who have a strong commitment to Hi3G and the development of 3G in Sweden and a solid network and industry track record worldwide. Hi3G is cooperating with other Hutchison Whampoa group companies that hold 3G licences in other countries, including Australia, Austria, Italy, and the United Kingdom. Hi3G will provide services with a full population coverage in Sweden by the end of 2003. Please stay in touch and visit our site at www.hi3gaccess.se.

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