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To: waitwatchwander who wrote (123765)	9/17/2002 7:19:04 AM
From: waitwatchwander	Read Replies (1) \| Respond to of 152472

UTStarcom signs $34 mln in new China Netcom deals forbes.com Reuters, 09.16.02, 5:20 PM ET ALAMEDA, Calif., Sept 16 (Reuters) - UTStarcom Inc. (nasdaq: UTSI - news - people), a supplier of communications network gear for Asian markets, on Monday said it had inked another contract with China Netcom, further boosting its fourth-quarter backlog of deals. The company, which was founded by Chinese entrepreneurs but is based near San Francisco, said it had new deals valued at about $34 million with China Netcom for wireless equimpment in the provinces of Henan and Inner Mongolia in northern China. A spokeswoman for UTStarcom said that the latest contract represented additional backlog that has yet to be counted in any of the forecasts the company has made about its forthcoming results. In July, at the company's second-quarter conference call, UTStarcom officials said that its backlog of new contracts already covered its forecasts for the third quarter and 50 percent to 70 percent of its fourth-quarter revenue guidance. "The latest contracts represent upside to our guidance regarding backlog," said Chesha Kamieniecki, UTStarcom investor relations chief, adding that revenue from these deals may appear in either fourth-quarter or first-quarter 2003 results. The contracts cover the company's Personal Access System, an alternative wireless system that connects to the local fixed-line telephone system and allows users to place and receive calls throughout a citywide calling area. The system is a low-cost alternative to nationwide wireless systems based on mobile phone technologies known as GSM and CDMA. The agreements cover primarily new deployments in a few sizable cities in those two provinces. Together with these new contracts, UTStarcom has announced about $52 million in new business with China Netcom in the month of September alone. China Netcom Communications Group Corp. is China's newly created fixed-line communications giant created by the breakup of state-monopoly China Telecom in May into competing regional firms -- Netcom in the north and China Telecom in the south. "These contracts in the new cities clearly indicate accelerated adoption of PAS and IP-based PAS in northern and inland provinces of China after the split of the former single China Telecom entity," said Simon Le, senior vice president of UTStarcom (China). Shares of UTStarcom closed down slightly at $14.32, off 9 cents on the day, in Nasdaq regular session trade ahead of the announcement. Copyright 2002, Reuters News Service