19 March 2007
|
Type |
Reply to query |
| Reply to Bursa Malaysia's Query Letter - Reference ID | NS-070316-39447 |
| Subject | Article Entitled: "TM SEEKS TO EXPAND OVERSEAS AS HOME EARNINGS SLOW" AND "TM EXPLORING INDOCHINA OPPORTUNITIES" |
“TM is interested in Vietnam Military Telecom Corp….”
“…memorandum of understanding (MOU) with Verizon Business to explore the development of a Malaysian-based Internet Protocol (IP) hub.”
We wish to clarify to the Securities Exchange as follows:
1. Telekom Malaysia Berhad’s (TM's) strategy is to invest in countries closer to home and the Indochina region is of particular interest to us, including Vietnam. However, TM is currently not engaged in any negotiations with Vietnam Military Electronics Telecommunications Corporation (VIETTEL) or any other companies in Vietnam.
2. TM entered into the Memorandum of Understanding (MOU) with Verizon in the ordinary course of business, to establish the Joint TM-Verizon IP Network in Cyberjaya. By such an establishment, it is expected to reduce TM’s cost of international IP transit bandwidth for its Internet services. In addition, customers of TM and Verizon would have better content accessing experience as a result of improved exchange of traffic. The MOU is not expected to have any material financial impact on TM in the current financial year, but it is expected to contribute positively to the earnings of TM Group in the future. None of the Directors and major shareholders of TM and/or persons connected to them have any interest direct or indirect in this MOU.
We refer to the above news articles appearing in The New Straits Times, Page
36 and TheSun, TheEdgeDaily Section, Page 24 on Friday, 16 March 2007, a copy
each of which is enclosed for your reference.
In particular, we would like to draw your attention to the underlined sentences
which are reproduced as follows:
"TM is interested in Vietnam Military Telecom Corp...."
"...memorandum of understanding (MOU) with Verizon Business to explore the
development of a Malaysian-based Internet Protocol (IP) hub."
In accordance with the Exchange's Corporate Disclosure Policy, you are
requested to furnish the Exchange with an announcement for public release
confirming or denying the above reported articles and in particular the
underlined sentences after due and diligent enquiry with all the directors,
major shareholders and all such persons reasonably familiar with the matter
about which the disclosure is to be made in this respect. In the event you deny
the above sentences or any other part of the above reported articles, you are
required to set forth facts sufficient to clarify any misleading aspects of the
same. In the event you confirm the above sentences or any other part of the
above reported articles, you are required to set forth facts sufficient to
support the same.
Please furnish the Exchange with your reply within one (1) market day from the
date hereof.
Yours faithfully
JOHAN ABDULLAH
Head
Listing Division
Group Regulations
TYE/NZ
Copy to: Securities Commission (via fax)
| Company Name | TELEKOM MALAYSIA BERHAD |
| Stock Name | TM |
| Date Announced | 19 Mar 2007 |
| Category | General Announcement |
| Reference No | TM-070319-62031 |