T E L K O M S E L

T E L K O M S E L
Winning Hearts, Gaining Trust

On its seventh anniversary, May 26, 2002, Telkomsel reaffirmed
its leadership of Indonesia's cellular operators by already
achieving a market share of more than 50 percent, or more than
four million subscribers. Based on current progress, the target
of five million subscribers will be reached easily before the end
of this year.

One of the reasons customers turn to Telkomsel is that it is a
truly nationwide operator, with network coverage in every
provincial capital, plus 400 major and small cities. On the
international scale, through 142 operators, Telkomsel's services
are available in 60 countries on all five continents: Asia,
Europe, America, Australia and Africa.

To anticipate customer growth and demand, Telkomsel has
continuously enhanced its existing and set up new Base
Transceiver Stations (BTSs), as it correctly understands that the
backbone of the cellular industry is the availability of a high
network quality and capacity with a wide coverage and
transmission security for easier, fast and uninterrupted
communications for subscribers, wherever they may be.

Today Telkomsel's BTSs number 2,400, spreading from Aceh to
Jayapura. Recently its coverage also included Ternate, where
Telkomsel is the only operator serving the area. In line with its
nationwide commitment, by the end of this year BTSs will be
increased to 3,500 and spread to strategic locations.

To develop this network, Telkomsel is working jointly with
four strategic partners -- Ericsson, Motorola, Nokia and Siemens
-- through its Tinem (Tender for Infrastructure in the New
Millennium) Project. Believing in investing ahead of growth, to
give seven million subscribers targeted by 2003 its most
comprehensive coverage and quality of service, Telkomsel and its
four global partners will base their network development on
customer forecasting, traffic pattern and roadmap technology.
This way Telkomsel will provide the most up-to-date innovations
in cellular communications technology.

The GPRS technology, obviously with Multi Media Services
(MMS), is also slated to be launched in the very near future,
when most of the cellular manufacturers are expected to have
compatible standards, while Wireless Application Protocol (WAP)
has been available for quite some time.

Other supporting infrastructure to maintain the excellent
performance of the network includes: Combat, Superman, Dream
Racer and Ring Protection.

To overcome any possible problems or to expand a new network,
Compact Mobile BTS (COMBAT), a specially designed mobile BTS
vehicle, is often used.

SUPERMAN, short for Supervisory and Monitoring Network, as the
name indicates, watches over a widespread network.

To get an objective evaluation of its own and others' network,
specially equipped smaller vehicles -- called Dream Racers -- are
used.

Ring Protection ensures subscribers excellent transmission
signals, wherever they might be, even if the local BTS suffers a
temporary problem.

"There's another breakthrough. It's on the financial side. We
have prepared US$1.5 billion for investment for the next three
years ... averaging $500 million every year," said Leong Shin
Loong, Telkomsel's Director of Planning and Development.

The amount, considered huge in terms of the country's cellular
operator industry, is quite a significant investment and only
further indicates the company's strong commitment to give its
nationwide customers world-class services and anticipate their
increasing and various demands.

Widely known for its steady growth even during Indonesia's
economic crisis, Telkomsel again performed another feat. Through
the bonds recently issued it was able to raise $150 million. The
bonds were instantly well received in the national and
international markets and acquired a remarkably high rating.
Reflecting the confidence and trust in the company was the fact
that many of the purchasers were first-time investors in
Indonesia and also first-time investors since the country's
economic crisis.

A dual band GSM 900/1800 service provider, Telkomsel has even
developed its DCS-1800 technology to a wider frequency spectrum
of 15 MHz, all of which makes it possible for the leading
operator to build an integrated cellular network and thus provide
convenience and versatility for subscribers.

Singapore's SingTel, one of its shareholders and an
experienced operator for fixed, wireless and Internet platforms,
has provided Telkomsel with vast professionalism for development
in technology and new products and services, as well as marketing
know-how.

"We have learned a lot from SingTel. This combination gives us
the leverage to get better prices from our vendors, which we pass
on to our customers in the form of lower prices," added Leong
Shin Loong.

That is another feature that has acted like a magnet in
winning customers' hearts, while, based on its solid performance
year by year, it is only natural that Telkomsel has gained the
trust of investors.