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NEC Wins Contract for Submarine Cable System to Bridge India & Sri Lanka.

Tokyo, Japan, Oct 17, 2005 - (JCN Newswire) - NEC Corporation (TSE: 6701; NASDAQ: NIPNY) today announced that it has signed a turnkey contract with Sri Lanka Telecom ("SLT") and Bharat Sanchar Nigam Limited ("BSNL") in India for the supply of the Bharat Lanka Cable System. The contract consists of the provision of a comprehensive set of equipment and services including marine installation, commissioning and integration on a full turnkey basis. The system will serve as the broadband backbone network between India and Sri Lanka on its completion in the second quarter of 2006.

The Bharat Lanka Cable System will boast 320 km of submarine cable and transmission systems, signifying one of the longest ultra-long haul non-repeated DWDM optical submarine cable systems based on NEC's advanced and reliable technologies. Initially it will have a capacity of 40 Gbit/s that will later be upgraded to 960 Gbit/s.

As most of the international submarine cables in South Asia end at Sri Lanka, which serves as an international gateway, SLT, the leading telecommunications operator in Sri Lanka, expects to support IP services including multimedia contents and global connectivity through the proposed cable system. Further, SLT plans to extend more affordable international private leased circuits and IDD services between India and Sri Lanka.

BSNL, the leading telecommunications operator in India, is currently diversifying its network to address the exponential growth in demand that is being fueled by the increased use of data and Internet in the country.

Upon its completion, the system will play an important role in providing a communication route from India via Sri Lanka to other countries across the globe including those in Asia, Europe and America, offering higher quality and a broader route selection for internet business.

In the past six months, NEC has signed three separate supply contracts for the construction of new submarine cable systems (Indonesia Jasuka project, EAC1 Qingdao Extension project and India - Sri Lanka project).

"Finally, we are beginning to see a recovery in the submarine cable industry, which has been depressed for several years now, particularly in Asia. It is worth noting that two of NEC's most recent wins were for two of the world's fastest emerging markets, China and India. NEC will continue to dedicate its strength to the development of telecommunication infrastructure in these and other countries across the globe." said Mr. Akihito Ohtake, Senior Vice President at NEC Corporation.

Background Information

NEC Corporation has been supplying submarine cable systems for more than 30 years. In particular, it has been involved in the installation of most cable systems constructed in Asia and the Asia Pacific region. This includes involvement in the construction of huge networks such as 19,000km APCN2 (Asia Pacific Cable Network - 2), 11,000km AJC (Australia-Japan Cable), 7,800km EAC2 (East Asia Crossing 2), 1,000km TIS (Thailand-Indonesia-Singapore), 2,500km AUFS-West (Alaska United Fiber System-West), 160km DMCS (Dumai-Melaka), 1,080km JASUKA (Indonesia Domestic) and 350km EAC1 Qingdao Landing Extension.

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Publication:JCN Newswires
Date:Oct 18, 2005
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