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CARRIERS COMBINE TO PROVIDE DIGITAL UNITED STATES-GUANGDONG COMMUNICATIONS LINK

 GUANGDONG, China, Dec. 1 ~PRNewswire~ -- Three international telecommunication carriers have announced a cooperative effort that will extend international digital telecommunications circuits to business with facilities in the Guangdong province of China. A high-capacity digital circuit linking the U.S.A. and China's Guangdong Province has been inaugurated in a co-operative venture between MCI International, Inc. (NASDAQ-NMS: MCIC) (MCI), Hongkong Telecom (HKT) and Guangdong Posts and Telecom Administrative Bureau (GPTB).
 Woolworth Corporation, a major multinational retailer with extensive operations in the United States, and a MCI customers, has just extended a 64 kbps circuit from their Hong Kong network hub to Guangzhou. MCI designed the network and coordinated with GPTB and HKT for circuin?gineering, in allation and testing. The 64 kbps circuit is one of the first fiber circuits installed between the Guangzhou and Hong Kong. Woolworth also uses fiber between the United States and Hong Kong. This new arrangement provides them with high quality, reliable all fiber connectivity between their United States and Guangzhou offices.
 "With this joint cooperation," said Mr. Seymour Scharff, director, Far East of MCI International, "MCI now can effectively design and engineer the telecommunications network and then work together with HKT and GPTB to successfully build and implement a global network. Customers will enjoy the benefits of greater efficiency using the latest technology available and premiere customer service."
 Andrew Mutch, Hongkong Telecom's manager of Private Networks and Data Communications, said, "This three-way partnership is a natural extension of our role as Asia's leading communications hub. It builds on our strong business links with GPTB and takes advantage of the first- class infrastructure that GPTB and Hong Kong Telecom have established between Hong Kong and the chief cities of Guangdong Province."
 Mr. Chen Lan Zhou, Telecom division chief of GPTB said, "The opening of the Guangzhou-Hong Kong-USA high speed circuit is a result of friendly co-operation of GPTB, HK Telecom and MCI-USA, I hope we will co-operate on other telecommunications establishment in the future. The provision of such remarkable telecommunications facilities and services will further enhance the economic development of the three regions."
 MCI the largest provider of overseas private lines with Unites States, together with the Guangdong Posts & Telecom Bureau (GPTB) in China and Hongkong Telecom (HKT), today announced their joint support of MCI Global Private Network Services. This agreement offers significant assistance to U.S. corporations that need to establish communications networks linking their plants in Guangzhou -- or neighboring cities ih?e Guand on province -- and their Hong Kong offices to a U.S. headquarters or other facilities.
 According to a report published by the International Institute of Communications (ICIT), MCI is the fastest growing international carrier in the world today. MCI provides premiere customer service to its customers on a global basis with its communication partners including HKTI and GTPD. MCI currently offers digital connections into Southern China through its fiberlike fiber optic service. MCI has also invested in the new Japan-China cable which will provide direct network connections into Beijing and Shanghai in 1993. These terrestrial high- speed services will for the first time complement MCI's existing satellite offerings to these locations, and offer MCI customers diverse routing options to China.
 MCI Communications Corporation, headquarter in Washington, offers a full range of long distance and international communications services, including "dial 1" service, MCI Card, International 800 service, MCI fax, telex, MCI Mail electronic mail, and private lines. In addition to International Vnet, business services include Global Communications Service (GCS), worldwide calling to over 250 countries and places. MCI CALL USA, packet switching, private voice and data networks, and television transmission. The company, with revenues of nearly $10 billion, is the second largest long distance provider in the United State and has 69 subsidiary and representative offices in 53 countries, Guam and Puerto Rico are positioned to support the full range of global telecommunications services.
 GPTB has made great achievements in their 10 year plan drawn in 1985 and they look forward to meeting the following targets by 1995.
 Telephone exchange capacity in Guangdong will reach six million lines as compared to the 26 million target set for the whole country. Telephone penetration in Guangdong province will reach 8 percent of population as compared to the 2 percent average set for all the provinces in China. Telephone penetration in Guangzhou city will reach 30 percent as compared to the average 20 percent in other cities. Long distance exchange capacity for Guangdong will reach 200,000 while the whole of China is expected to have 1.2 million.. Long distance trunk in Guangdong will reach 80,000 circuits as compared to the 520,000 circuits for the whole nation.
 The industrialization in Guandong will increase the demand for digital fiber connectivity to overseas locations for an increasing variety of applications, including computer data transfer, digital voice, digital fax and digitized video signals. Through this three-way cooperation, a Guandong customer can also extend their private network to any city in the United States via the Hong Kong hub site.
 GPTB has one of the most modernized telecommunications networks in China. Due to Guangdong's strategic location in the southern part of China, it has become one of the main gates in China. HKTI, with its well established fiber circuits to Guangdong province has now become MCI's partner to serve as gateway to China.
 Hongkong Telecom is the leading telecommunications company in Hong Kong and Asia. The company enjoys the exclusive rights to provide domestic and international services in Hong Kong until 1995 and 2006 respectively. Hongkong Telecom reported earnings of HK$5.6 billion for the year ended March 31, 1992 and in Hong Kong's largest private sector employer.
 Hong Kong has one on the highest telephone densities in the world, with more than 1.5 lines for every household and is second only to Tokyo in the penetration of fax. With direct links to more than 220 destinations and highly competitive rates, Hong Kong has become the telecommunications center for business in Asia. The diversity of international routes, from the eight satellite dishes at the Stanley Earth Station to fiber optic submarine cables, makes Hong Kong an excellent choice for international gateway services as well as a natural telecommunications hub for the region.
 To ensure that Hong Kong maintains its efficient and cost-effective telecommunications infrastructure, Hongkong Telecom has been investing in the development of new technology and services. One if the major capital investment programs is network digitalization, which is now 97 percent complete. Full digitalization by mid-1993 will give Hong Kong one of the world's most advanced telecommunications networks.
 Hongkong Telecom enjoys close relationship eight the Chinese telecommunications authorizes. The second, high-speed optical fiber cable to Shenzhen and Guangzhou was commissioned in October 1992, and the first digital private circuit to Pudong was also inaugurated. Hongkong Telecom is also the only international carrier to offer "One- stop-shopping" for international private leased circuits in all three international gateway cities in China.
 -0- 12~1~92
 ~CONTACT: Jane Levene of MCI, 914-934-6480, or Virginia Chi of Hongkong Telecom, 852-883-3224, or Yan Jian Guo of GPTB, 86-20-776-5579~
 (MCIC)


CO: MCI International, Inc. ST: District of Columbia IN: TLS SU: JVN

LD-SM -- NY088 -- 2659 12~01~92 18:10 EST
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Date:Nov 30, 1992
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