Telkom-AT&T telecom deal

Telkom-AT&T telecom deal

JAKARTA (JP): The state owned domestic telecommunications
company, PT Telkom, has awarded four contracts to American
Telephone and Telegraph (AT&T) for the supply and installation of
digital switching and transmission equipment, fiber optic cables
and operation systems throughout the country.

AT&T said in a statement made available here yesterday that
the contracts, worth more than US$110 million, call for the
supply of a comprehensive package of telecommunications equipment
and associated services for the development of phase two of
Telkom's STDI II direct dialing telecommunication project --
Indonesia's long range development program to expand and
modernize its telecommunication networks -- as well as for the
creation of a multi-exchange area on Batam Island.

The development of phase two of the STDI II project was partly
financed by the U.S. Exim Bank, which has allocated over $600
million for the procurement of some two million telephone lines
and associated infrastructure for the next five years, the
statement said. (fhp)