Deutsche Telekom and Infonet Services Corp. Finalise Global Communications Services Agreement.Business Editors EL SEGUNDO El Segundo (ĕl sēgŭn`dō), industrial city (1990 pop. 15,223), Los Angeles co., S Calif., on Santa Monica Bay; inc. 1917. Its products include navigation and computer systems, aircraft parts, office machines, telephone apparatus, and , Calif., and BONN, Germany--(BUSINESS WIRE)-- May 9, 2000 Revenues Estimated at $1 Billion by Infonet; Deutsche Telekom to Sell Infonet's Full Portfolio of Global Communications Services Infonet Services Corp. (ISC (1) (Internet Systems Consortium, Redwood City, CA www.isc.org) An organization founded by Paul Vixie, Carl Malamud and Rick Adams in 1994 and later sponsored by UUNET and other Internet companies. ) (NYSE NYSE See: New York Stock Exchange :IN) (FSE FSE 1. feline spongiform encephalopathy. 2. focal symmetrical encephalomalacia. :IN) and Deutsche Telekom (NYSE:DT) have finalised an agreement which allows Deutsche Telekom to sell Infonet's full portfolio of global voice and data communications services worldwide. Infonet values the agreement at $1 billion dollars in incremental revenues over the expected duration of the agreement(a). The agreement will enable Deutsche Telekom, already the world's third-largest telecommunications company, to extend its existing offering into the fast expanding market for global data services. Deutsche Telekom will sell Infonet's full range of communications services under its own brand, with ISC's services being part of customized solutions Deutsche Telekom is offering to customers. Deutsche Telekom chose Infonet as the only company able to meet its stringent product and service requirements. Infonet offers the most comprehensive global communications services product portfolio currently available as well as the full service, consultancy and support needed to maintain Deutsche Telekom's high level of customer service. Peter Kahl, senior executive vice president for Data Communications at Deutsche Telekom, commented: "We're pleased to have finalised this agreement with Infonet as it will accelerate Deutsche Telekom's strategic expansion into the market for global data services. "Our customers are increasingly requiring a converged voice and data offering, and this agreement with Infonet will ensure that we will continue to be able to meet their needs. Deutsche Telekom has long been a major player in the telecommunications world. This agreement shows our commitment to our multinational customers." Jose Collazo, Infonet's chairman and president, commented: "This agreement with Deutsche Telekom further anchors Infonet's position as a leading provider of global communications services to multinational corporations. "We're pleased that Deutsche Telekom has chosen Infonet as its preferred partner for their strategic initiative, and look forward to helping the company realise its ambitions." The agreement with Deutsche Telekom is for an initial 3-year period and is effective worldwide immediately. About Infonet Infonet, with expected value Expected value The weighted average of a probability distribution. Also known as the mean value. added service revenues of approximately $780 million in fiscal year ending 03/31/01, is a world leader in providing value added Value Added The enhancement a company gives its product or service before offering the product to customers. Notes: This can either increase the products price or value. global communications services to multinational enterprises. A total of two million remote access customers make Infonet a world leader in Dial IP services. The company numbers more than 2,600 multinational corporations among its customer list. Infonet provides Internet, Intranet, ATM, remote access, electronic commerce enabling services and integrated voice/data solutions plus a full suite of messaging and collaborative products and services. Infonet's services are supported locally in more than 60 countries and territories around the world. The World Network from Infonet is accessible terrestrially from more than 180 countries and via satellite worldwide. Infonet trades publicly on the New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of and Frankfurt stock exchanges Frankfurt Stock Exchange The largest of Germany's eight securities exchanges, operated by Deutsche Borse AS. under the ticker symbol Ticker Symbol An arrangement of characters (usually letters) representing a particular security listed on an exchange or otherwise traded publicly. When a company issues securities to the public marketplace, it selects an available ticker symbol for its securities which investors IN. News and information are available at www.infonet.com. About Deutsche Telekom Deutsche Telekom, with revenues of EUR EUR In currencies, this is the abbreviation for the Euro. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 35.5 billion in 1999, is Europe's largest telecommunications company and the third-largest carrier worldwide. A total of more than 14 million marketed ISDN ISDN in full Integrated Services Digital Network Digital telecommunications network that operates over standard copper telephone wires or other media. channels make Deutsche Telekom the world leader in ISDN, and, with more than 5 million T-Online customers, the company is Europe's largest Internet provider. Offering a complete range of products and services, Deutsche Telekom has more than 48 million telephone lines in service and more than 21 million mobile telephony customers (including majority and minority shareholdings). Visit the Deutsche Telekom Web site at www.telekom.de/international. Safe-Harbor Statement invoking the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and . Some of the statements in this release are forward-looking, based on the best information available to the company. Specific risks that might affect the outcome of projections referred to in this release include: risk of contract cancellation; risks involving the legal consequences of non-performance; or business consequences of breach and the revenue impact thereof. General risks involved in investing in Infonet are listed in the company's Registration Statement on Form S-1, filed with the U.S. Securities and Exchange Commission and available through EDGAR Edgar or Eadgar (both: ĕd`gər), 943?–975, king of the English (959–75), son of Edmund, king of Wessex. In 957 the Mercians and Northumbrians rebelled against Edgar's brother Edwy and chose Edgar as their king. online or through the investor relations Investor relations The process by which the corporation communicates with its investors. portion of the company's Web site, www.infonet.com. (a) Infonet's expected sales projections are based on current market conditions and assumptions about contract performance. Due to issues of sales force training, length of the sales process, and customer ramp-up, Infonet does not expect revenue from this contract to impact fiscal year 2001 revenues materially. Infonet's expected revenue assumptions are based on an initial three-year contract and two one-year renewals. |
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