Hutchison Whampoa Limited

10 August 2001 - Guandong Telecom and Hutchison Global Crossing (HGC) announced that they are cooperating to strengthen the development of the Guangdong-Hong Kong International Private Leased Circuit Service (Guangdong-Hong Kong IPLC Service) in their jointly organised promotional event. They aim to provide an improved communications network and quality, efficient and reliable inter-regional communication solutions for the many businesses and multinational companies in the two regions, while also enhancing Guangdong-Hong Kong communications development.

The Guangdong-Hong Kong IPLC Service jointly launched by HGC and Guangdong Telecom provides point-to-point dedicated communication solutions for customers. It not only enhances communications between Guangdong and Hong Kong, enabling resource planning and sharing between corporations and partners, it also allows concentrated database processing for remote inter-regional management of production and services, maximising operational efficiencies and enhancing business competitiveness. HGC also offers total customer solutions, with services ranging from professional consultancy and networking, line application and equipment procurement, to installation and maintenance, allowing customers to enjoy worry-free services. Additionally, HGC provides arrangements for terminal equipment and related systems, as well as professional advice and consultancy if it is needed. At the same time, the round-the-clock Network Monitoring Centre provides 24-hours-a-day, 7-days-a-week network monitoring operations and fault handling services, ensuring that any faults are handled immediately. Customers therefore benefit from a stable and top-quality IPLC service.

In Hong Kong, HGC owns and operates its own self-built fibre-optic network and infrastructure, as well as the East Asia Crossing (EAC) and Pacific Crossing-1 (PC-1) undersea cables, which are owned by its parent company, Asia Global Crossing (AGC). These submarine cables connect Hong Kong, America, Europe and the Asian region. Last year, HGC completed the 80-kilometre Synchronous Digital Hierarchy (SDH) Network with China Telecom. It links different locations in Mainland China, including major cities such as Beijing, Shanghai, Shenzhen and Dongguan through China Telecom's network and also links the Mainland to Hong Kong and to different global locations through HGC's network. The partnership with Guangdong Telecom will further promote the Guangdong-Hong Kong IPLC Service with the 20G Asia-Europe and 80G China-US international undersea telecommunication cables, which will bring truly smooth and uninterrupted global communications to customers.

As the largest wholly-owned subsidiary of China Telecom Group, Guangdong Telecom has built a modern multi-dimensional communications network with high efficiencies and large capacities, the largest in scale and technology applications in China. Currently, the company's optic-fibre network consists of a fibre-core length of 1.3 million kilometres in total. Its Broadband Transmission Network, which uses advanced technologies such as Synchronous Digital Hierarchy (SDH) and Dense Wavelength Division Multiplexing (DWDM), and its Broadband Information Network, which builds on new technologies such as ATM and IP, now fully covers the Zhujiang Delta, and is rapidly spreading throughout the entire province. The network bandwidth linking the different cities in Guangdong has increased to 2.5 Gbps on average, ensuring full broadband applications. At the same time, Guangzhou, as CHINANET's international gateway, has outgoing bandwidth accommodating up to 1000Mbps, linking into the 2.5 Gbps broadband network in Beijing and Shanghai.

At the event, Ms. Chen Chang Juan, Vice President of Guangdong Telecom expressed the belief that Guangdong Telecom's information network will provide rock solid foundations for the Guangdong-Hong Kong IPLC Service. Mr. Peter Yip, Chief Operating Officer of HGC, also said that there will be a multifold increase in demand for international communications on the Mainland in view of the rapidly growing economic and trade activities between Guangdong and Hong Kong as well as China's imminent entry into the World Trade Organisation(WTO). Thus, the two partners have every confidence in the development of the Guangdong-Hong Kong IPLC Service in view of the huge market potential.

Mr. Rex Chang, Principal Assistant Secretary, Information Technology and Broadcasting Bureau of the Hong Kong Special Administrative Region (HKSAR), was guest-of-honour at the seminar. He pointed out that China's entry into WTO must bring tremendous business opportunities to both Guangdong and Hong Kong and that it would also create a boom in e-commerce development between the two regions. The HKSAR government is currently working closely with the [Department of Information Industry, Guangdong Province] to promote Guangdong-Hong Kong e-commerce development. He also added that he would like to see the organization of more seminars to enhance e-commerce activities between Guangdong and Hong Kong.

Media inquiries
Hutchison Global Crossing
Sally Tsang
Tel: (852) 2128 6708
Fax: (852) 2187 2055
E-mail: sallyt@hgc.com.hk

Notes to Editors:

1. Hutchison Global Crossing (HGC), established in January 2000, is a 50/50 joint venture between Hutchison Whampoa and Asia Global Crossing.

Combining the strengths of Hutchison Whampoa's fibre-optic network, which is the largest in Hong Kong, and Asia Global Crossing's international fibre optic broadband capacity and global connectivity, HGC offers an array of excellent telecommunication and multimedia services, including ultra-high speed data / voice transmission and integrated business solutions, with an objective to create reliable and effective business environment and enjoyable lifestyle for customers. With its unique Ethernet-based two-way broadband Internet access, HGC provides its business and individual customers with brand new experience in high-speed communication. HGC also dedicates to the development of its network infrastructure and wholesale service so as to provide its customers with a quality local and global communication network, as well as other complementary facilities.

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