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Kalimantan to get 300,000 phone lines

| Source: JP

Kalimantan to get 300,000 phone lines

BALIKPAPAN, East Kalimantan (JP): State telecommunications
company PT Telkom will begin control of Kalimantan's operations
from here early next year.

PT Telkom will be moving its local office from Banjar Baru in
the southern part of the island.

The chief of Telkom's office in Kalimantan, Panut, told The
Jakarta Post that telecommunications in Balikpapan have grown
significantly, making it one of the cities in the country with
the highest rate in phone calls-- an average of 1,200 pulses per
month per person."

He also said that Telkom, which has installed 118,000
telephone lines in Kalimantan this year, will install another
300,000 lines on the island next year.

"Telkom's revenue in Kalimantan is likely to reach Rp 163
billion (US$74.2 million) this year and to increase to Rp 211
billion next year," he said, adding that Telkom has decided to
choose Balikpapan as the head office of its Kalimantan division.

Minister of Tourism, Post and Telecommunications Joop Ave
visited the Telkom complex on Tuesday.

Panut said that the 30-hectare complex includes a head office,
sport center, houses, a warehouse, workshop and other facilities.

Telkom's president, Setyanto P. Santosa, said recently that as
a part of its restructuring program, his company will establish
eight divisions dealing with the company's core business, to
replace the existing 12 chapters now operating throughout the
country.

Setyanto said that the divisions will be located in Medan of
North Sumatra, Jakarta and Bandung of West Java, Semarang of
Central Java, Surabaya of East Java, Balikpapan of East
Kalimantan and Ujungpandang of South Sulawesi.

The other division will focus on satellite, long distance
calls and network businesses, he said.

In a recent hearing with legislators of the House of
Representatives in Jakarta, Setyanto said that Telkom will also
set up three related business divisions -- dealing with cellular
telecommunications, pay-phones and joint ventures -- and five
supporting business divisions which will deal with training,
property, repairing and research.

The restructuring program is part of the company's plan to
offer shares both on domestic and international stock markets.
(icn)

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