9/19/2005

Poland's TPSA Launching Orange Brand Next Week

Poland's dominant telecommunications operator, Telekomunikacja Polska SA (TPS.WA), Thursday said it will launch France Telecom's (FTE) worldwide Orange mobile brand as of Sept. 19.

The re-branding will allow TPSA's mobile unit, Centertel, now the second-largest mobile operator in Poland, "to become the country's largest mobile operation even faster," TPSA Chief Executive Marek Jozefiak said.

Jozefiak also said he expects Centertel to take over the leading position in 2006.

Centertel, with its current brand Idea, commands one-third of Poland's mobile market, had 8.6 million subscribers at the end of June and is expected to exceed 9 million subscribers by the end of the year.

TPSA has a 66% stake in Centertel and plans to buy the remaining 34% from France Telecom, which is also TPSA's largest shareholder with a 47.5% stake.

"We are working on it, as it has been announced earlier," said Jozefiak. "The details of when TPSA may buy France Telecom's stake in Centertel will be announced when our third-quarter results are released."

TPSA is to release its third-quarter earnings about Oct. 25, he added.

In April, TPSA's mobile unit Centertel announced it had agreed to drop its local Idea brand and take up Orange.

According to a 10-year contract signed with France Telecom's wholly-owned unit, Orange Brand Services Ltd., Centertel agreed to pay an annual fee amounting to 1.6% of its revenue to operate under the Orange brand name.

(Source: Dow Jones Newswires)

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