HONG KONG, Jan. 11, 2010 (GLOBE NEWSWIRE) -- Hong Kong Broadband Network Ltd ("HKBN"), a wholly owned subsidiary of City Telecom (HK) Limited (HKSE:1137) (Nasdaq:CTEL), is pleased to announce that we have shattered the millionth mark for Fixed Telecom Network Services subscriptions. This achievement is a solid testimonial of our competitive advantages in fibre network technology and customer service.
The launch of "AWESOME SPEED. FOR EVERYONE" program on 1 November 2009, which offers symmetric 100Mbps broadband service at US$13/month (HK$99/month), has brought overwhelming market response. For the two months since launch, we have added net 38,000 broadband subscriptions. This growth rate of net 19,000/month is 3x higher than our net 6,250/month achieved during FY09.
During December 2009, total subscriptions for broadband, voice & IPTV services shattered the millionth mark to reach 1,004,000 with detail breakdown as below:
Fixed Telecom Network Services Subscriptions
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31 Aug 08 31 Aug 09 31 Dec 09
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Broadband 316,000 391,000 443,000
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Voice 329,000 382,000 403,000
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TV 156,000 170,000 158,000
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Total 801,000 943,000 1,004,000
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HKBN's CEO, William Yeung, said, "For the four months to 31 Dec 2009, we added net 52,000 broadband subscriptions which compares with our full financial year 2010 target of adding net 110,000. As such, we are confident on delivering our FY2010 (12 months to 31 Aug 2010) guidance of reaching 500,000 broadband subscriptions, maintaining core EBITDA of HK$478 million, keeping capex below core EBITDA and mild revenue growth."
He added, "There is growing evidence of the market embracement of our ultra-high bandwidth fibre network and superior customer service. For the four months to 31 December 2009, our net additions of 13,000/month far exceeds normal industry growth of 5,100/month[1], which means that existing customers from other broadband providers are switching over to us on mass."
Embracing the support from our fans and to leverage the superiority of our ultra-high bandwidth broadband services, we have launched series of local Pop Concert downloads with full copyrights. Our bb100 subscribers will be able to effortlessly download feature length concerts (a typical DVD is about 5GB) of local pop stars for free in just under 7 minutes.
[1] For full press release, please kindly click the following link : http://reg.hkbn.net/ctigroup_admin/files_upload/PR_MillionMark-E.pdf
About City Telecom/Hong Kong Broadband Network Limited
Established in 1992, City Telecom (H.K.) Limited (HKSE:1137) (Nasdaq:CTEL) provides integrated telecommunications services in Hong Kong. City Telecom's wholly-owned subsidiary, Hong Kong Broadband Network Limited (HKBN), is in the process of expanding its self-built Next Generation fibre network. HKBN has achieved an aggregate Voice, Broadband (symmetric 25Mbps up to 1Gbps) and IP-TV services base in excess of 1,004,000 subscriptions. Additional information on City Telecom can be found at www.ctigroup.com.hk.