Brief Company Profile Overview.
TIM Hellas Telecommunications S.A., formerly known as STET Hellas Telecommunications S.A., was founded in 1992 and has been providing mobile telecommunications services in the Greek market since June 1993. Following its re-branding in early 2004, the company operates under the "TIM" brand name and offers network access and related value-added services in the GSM 900 MHz, DCS 1800 MHz and UMTS MHz bands. One of four operators licensed to provide GSM mobile telecommunication services in Greece, and one of three operators licensed to provide UMTS services, the company focuses on innovation and quality service, and offers various prepaid and contract products and services, covering the needs of all the different market segments.
At year-end 2004, TIM Hellas' customer base dropped to a lower level than that seen at the end 2003, with total customers coming in at 2,323,866, mainly due to an overall lower prepaid customer base and as a result of increased competition in the mature Greek mobile market.
At the end of December, TIM Hellas' customer base was composed of 65% prepaid customers and 35% of contract subscribers.
During 2004, the company strengthened its retention of high-value customers, illustrated by the increase in usage: TIM Hellas' total traffic minutes grew by 13.9% during 2004 to 3,087 million minutes, while average monthly traffic per customer (Blended AMOU=Average Minutes of User) increased by approximately 25.5% to 106.4 minutes in 2004, versus 84.8 minutes in the previous year. More specifically, contract AMOU rose by 18.8% to 238.7 minutes and prepaid AMOU grew to 39.7 minutes, up 12.4% versus last year.
Consequently, blended ARPU (Average Revenue Per User) increased by 13.7% to 27.1, supported by a rise both in contract ARPU that grew by 6.6% to 49.9 in the period, as...