Agreement for delivery of fiber optic lines

Current report 77/2007 dated 24.12.2007

The Management Board of ATM S.A. inform to have concluded today an agreement for fiber optic line delivery in the cities of Warsaw, Lodz, Lublin, Katowice, and Poznan, with the total length of 399 km of fiber optic pairs, with PBT Hawe Sp. z o.o. seated in Legnica. The value of the agreement, including service fees for maintaining the lines is PLN 12,123,455.

The agreement does not include provisions on liquidated damages exceeding an equivalent of 10% of the agreement value or an equivalent of EUR 200,000. There are no stipulations on the term or time limit in the agreement.

The agreement was considered significant as over 12 months ATM S.A. has concluded agreements with the same entity for a total value of PLN 25.5 million, which exceeds 10% of the Issuer’s capital.

The other agreements concluded in the last 12 months refer to e.g. purchase and long-term lease of inter-city fiber optics from PBT Hawe Sp. z o.o. which will allow to reduce the costs of data transmission services provided by ATM S.A., and make the ATM S.A. offer of providing domestic and international broadband data transmission services more attractive. Thanks to those investments, ATM S.A. will have the so called “northern ring” consisting of its own fiber optics (without limiting the tele-transmission band) which complements the “southern ring” built based on the leased tele-transmission band and the leased fiber optics, which consolidates the position of ATM S.A. as one of the major domestic broadband transmission operators in Poland.

ATM S.A. also concluded agreements with PBT Hawe Sp. z o.o. for leasing a broadband tele-transmission line, and for providing services with respect to co-location and access to the Internet.

Roman Szwed — President of the Management Board,
Tadeusz Czichon — Vice-President of the Management Board