Telemonde Inc. Announces Voice Traffic Agreement Worth $7.2 Million With Spain's Jazztel
NEW YORK--Telemonde Inc. (OTCBB: TLMD) announced today that it has signed an agreement worth $7.2 million with Jazztel S.A., the operating subsidiary of Jazztel plc (NASDAQ: JAZZ; EASDAQ: JAZZ ES) for the termination of substantial volumes of Spanish voice traffic by Telemonde's retail arm, EquiTel Communications Ltd.
Simultaneously the companies have reached conditional agreement on the purchase by Jazztel, for $7.2 million, of a high capacity fiber optic link on the Telemonde network between London and Madrid. This transaction, subject to contract, is anticipated to close before December 31, 1999.
"This deal comes at a great time for both companies," said Telemonde's President Adam Bishop. "At a stroke it will enable Spain's most dynamic carrier to deliver a faster and more cost-effective call service on a highly competitive international route, while making our Spanish call prices internationally competitive."
Telemonde Inc. is a telecommunications business focused on building a global infrastructure network interconnecting the markets of the developed world with regional hubs in the developing world, enabling the latter's populations to participate fully in the global communications community. Over this platform, the Company offers PTTs and other telecommunications operators managed bandwidth, voice and data services through its network of telehouses and switching infrastructure, as well as broadband and connectivity solutions for next generation Internet and multimedia companies.
Jazztel plc is one of the first nationwide competitive local exchange carriers in Spain and was granted a national license to provide facilities-based telecommunications services after the liberalization of the Spanish telecommunications market on December 1, 1999. The Company is building, in high-density business districts, a fiber optic telecommunications network using synchronous digital hierarchy (SDH) technology. The network, known as E1-4U, will offer medium-size businesses enhanced local, national and international voice and data services, including Internet and broadband communications.
Certain statements in this news release may constitute "forward-looking" statements within the meaning of section 21E of the Securities Exchange Act of 1934. Such forward-looking statements involve risks, uncertainties, and other factors, which may cause the actual results, performance, or achievement expressed or implied by such forward-looking statements to differ.
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Telemonde is quoted on the Over-the-Counter Electronic Bulletin Board under the symbol "TLMD."
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