Mergers, Acquisitions and Financial Results

CEO of Ghana Telecom, Oystein Bjorge has said that although the company is making profits, customers owe about ¢400million.

The company also complained about the current interconnectivity regime that does not favour it, as charges of other network operators are on the high side.

Bjorge said payment in respect of interconnection in other parts of the world is so balanced that net payments shift from one operator to another depending on the volume of traffic.

"In the case of GT, net payment regularly come from GT to other operators." He said the reason for that is the fixed to mobile charges are so low that it is very attractive to use fixed lines to call mobile numbers and very expensive to use mobile numbers to call fixed lines.

He added that GT pays on average, about ¢27billion, the equivalent of US$3 million a month to other operators. Bjorge said his company owes Scancom company, operators of Areeba, ¢200billion and they are in consultation with the company and the National Communication Authority (NCA) over how to spread payment.

Gross revenues increased by 49% from 2002 to 2003 and 56% from 2003 to 2004 with a revenue increase from 2002 to 2004 corresponding to 133%.

From 2002 to 2003 the EBITDA increased with 742% from 2003 to 2004 with 20% and the corresponding figures for EBITDA are 118% and 19% and for Net income 145%and 37%.

Ghanaian Chronicle