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China Telecom Corporation Limited
(A joint stock limited company incorporated in the People's Republic of China with limited liability)

Operating Data       

Monthly Local Access Lines in Services


Δ start to include 320,000 Local Access Lines in Services and 90,000 Broadband Subscribers of Beijing Telecom, acquisition of which was completed in June 2008.
* include Wireless Local Access Lines
# Due to intensified market competition and our strengthened control on sales initiatives for low-end subscribers to enhance profitable development, there were net decreases in local access lines in services.

Monthly Broadband Subscribers


Mobile Subscribers


* Determined in accordance with China Telecom's subscriber calculation policy (based on subscribers' payment condition)


Quarterly

Selected Quarterly Unaudited Key Performance Indicators


Net profit for 2007 was arrived at excluding deficit on revaluation of property, plant and equipment (RMB2,755 million) and related tax impact arising from across-the-board revaluation which was conducted every 3 years.

* The data included the impact of Beijing Telecom, acquisition of which was completed in June 2008.

# For the third quarter of 2008, despite facing the challenges from the intense market competition and the increased diversity in communication means, the Group had successfully maintained its solid fundamentals. The Group grasped the opportunities brought by informatisation to tackle various challenges, and promoted the scale development of transformation businesses to drive revenue growth. Additionally, capitalizing on the customer brands operation and effective packaged sales of voice and transformation businesses, the Group endeavored to foster customer loyalty and mitigate the loss in voice revenue, progressively transforming voice usage value to integrated information services.

Due to the intense market competition, the Group continued to record negative growth in its local access lines in service for the third quarter. The Group emphasized the principle of profitable development of its voice business. The Group concentrated its sales resources and tilted its resource allocation towards the key customer segments of government and enterprise as well as mid-to-high-end household while strictly controlling sales initiatives for the low-end customers. Businesses like Internet and data services, value-added and integrated information application services continued its robust growth momentum. The broadband subscribers reached 42.18 million, representing a net increase of 2.23 million.


Full Year

Selected Full Year Unaudited Key Performance Indicators


updated 20th November, 2008


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