FORTHnet P. Tzortzakis President of Board of Directors, Chief Executive Officer

1
FORTHnetP. TzortzakisPresident of Board of
Directors, Chief Executive Officer
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FORTHnets lead

• FORTHnet is a pioneer in the internet and
  telecommunications sector in Greece
• 1984 FORTHnet started as an activity in FORTH
• The first email service in Greece
• 1989 Connects Greece with global internet
• 1995 Becomes a spin-off company
• 2000 Successfully floats on the Athens Stock
  Exchange
• 2002 Enters the liberalized telecommunications
  market

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Balancing growth with financial health
70,0
64,0
60,0
50,0
40,0
m
32,0
30,0
23,5
18,6
20,0
12,7
10,0
10,0
5,6
3,4
4,0
3,1
2,6
1,5
1,2
1,3
1,1
0,4
0,7
0,1
0,2
0,0
1997
1998
1999
2000
2003
2002
2001
-3,9
-10,0
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Macroeconomic view of the Greek market
(mEuro)
1999
2000
2001
2002
Fixed LineTelephony
2,520
2,647
2,743
2,831
MobileTelephony
1,235
1,744
2,089
2,223
DataLL
134
152
168
174
Total
3,889
4,543
5,000
5,228
source EITO
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TELCO and VAS Greek market
Total fixed-line Greek market
3.500.000.000
3.000.000.000
2.500.000.000
2.000.000.000
Data and Internet
Fixed Voice
1.500.000.000
Total TELCO
1.000.000.000
500.000.000
0
2001
2002
2003
2004
2005
2006

• Source Gartner Data Quest 2001, Forrester 2001,
  FORTHnet estimation

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Telco and VAS Greek market
Data and Internet Greek market
800.000.000
700.000.000
600.000.000
500.000.000
Data andIP connectivity
400.000.000
DIAL up
300.000.000
ADSL
Total dataand Internet
200.000.000
100.000.000
0
2001
2002
2003
2004
2005
2006

• Source Gartner Data Quest 2001, Forrester 2001,
  FORTHnet estimation

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FORTHnets strategy

• To become anIntegrated Telecommunication
  Services Provider

• Services (Broadband, Internet, Data, Voice)
• Integrated network of data and voice
• Commercial network distribution channel
• Last mile connectivity

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Portfolio of services

• Network services
• Internet services (dial-up, VISP, Internet plug)
• Telecom services(Frame Relay, Data VPN, Voice
  VPN, LMDS)
• Fixed voice services(residential and business
  customers)
• Value added services
• Financial services (WebSMART, on-line trading)
• Web services (applications, hosting services)
• CRS services (booking/ticket distribution
  services)

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Continuous investment
30.000.000
25.000.000
20.000.000
15.000.000
10.000.000
5.000.000
0
1996
1997
1998
1999
2000
2001
2002
Total investment reached 90 million euros by the
end of 2002
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Last mile connectivity

• Leased lines
• Over 2,200 business customers have leased-line
  accessto FORTHnet network
• Wireless Local Loop (WLL)
• Creation of broadband network in large cities
• Athens Piraeus, Thessalonica, etc.
• Over 80 coverage of business customers in Greece

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Voice network

• FORTHnet chose the
• SURPASS technology from SIEMENS
• for the implementation of its voice network

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FORTHnets voice network
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FORTHnets network before SURPASS

• Services offered
• Access to Internet
• Data services for business customers

Global Internet
Internet Dial Up
PRI
Existing IP - ATM Backbone
LX (OTE)
LX (OTE)
RAS
CPE
PBX

• OTE Greek Telecommunication Organization

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FORTHnetsnetwork architecture with SURPASS
Services offered - Residential /
SOHOCall-by-Call and Prepaid - H.323 for
business customers
hiQ9200
hiQ20
NetManager
International network
OTE STP
Incl. CLI Prepaid
ISUP
ISUP
hiG INT
hiG 2
CS CarrierSelection CPS Carrier Preselection
hiG 1
CS Carrier Selection CPS Carrier Preselection
Existing IP - ATM Backbone
.... hiG 11
CS Carrier Selection CPS Carrier Preselection
VoIP (H.323)
Leased line or wireless
CPE GW
Talkgem (H.323)
PBX
IP Phones
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Customer base for data and VAS

Telco business customers 1900 leased-line
customers (mostly ULL) 350 WLL customers -- and
rising fast (one-month average) VAS business
customers 2900 hosting, collocation and
streaming customers 200 Web construction and
development customers 150 SMART
customers Retail customers 95,000 dial up
users 115,000 Internet Prepaid Cards 400 SMART
customers
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Voice customers September 2003
Telephony connections
250000
222.000

• Over 222,000 lines
• Monthly volume (9M)exceeds 74,000,000minutes

200000
150000
110.000
100000
Greece hasapproximately6.000.000 lines
50000
0
1/3/02
1/5/02
1/7/02
1/9/02
1/1/03
1/3/03
1/5/03
1/7/03
1/9/03
1/11/02
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Target

• FORTHnet aspires to be the largest integrated
  alternative fixed line operator in Greece

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P. TzortzakisPresident of Board of Directors,
Chief Executive Officer