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

China Telecom 2020 Annual Work Conference Highlights

On 27 December 2019, China Telecom held its 2020 annual work conference in Beijing. The conference summed up the work of 2019, analyzed the new situation and planned for key missions in 2020. The conference united all staff, boosted their confidence and raised their sense of responsibility to deepen reform, accelerate development and promote high-quality development of the Company, taking a solid step to become a leading integrated intelligent information service provider. Mr. Chen Zhaoxiong, Vice Minister of Ministry of Industry and Information Technology (MIIT) attended the conference and made pronouncements. Leaders from MIIT, National Audit Office and State-owned Assets Supervision and Administration Commission (SASAC) attended the conference. Mr. Ke Ruiwen, Chairman, Chief Executive Officer, President and Chief Operating Officer of China Telecom, presented the work report.

Mr. Chen introduced the industry development of information and communications in 2019, outlined work arrangements of the industry in 2020 and strongly acknowledged China Telecom's achievements in various aspects in 2019. He pointed out that, facing challenging and complex situation and missions, China Telecom continued to deepen transformation, promote reform and innovation. As a result, business development made new progress, network construction attained new achievements, reform and innovation stimulated new vitality, and service quality reached a new level, making significant contributions to the high-quality development of the information and communications industry.

Mr. Chen expressed expectations on China Telecom to maintain the strategic focus, support digital transformation through network upgrade, improve the quality and return of development through reform and innovation, improve customers' sense of fulfillment with quality service, achieve win-win development of the industry through co-building and co-sharing, so as to make new contributions that supported the high-quality development of the economy and society.

The conference stated that, in 2019, China telecom proactively implemented the strategy of building Cyberpower, safeguarded network and information security, accelerated scale development, deepened reform and innovation, enhanced service quality. As a result, the high-quality development of the Company achieved new results.

Promoted development. Adhering to the customer-oriented approach, the Company continuously enhanced service quality and expanded business scale. Service satisfaction rate maintained industry-leading, while prominent results were achieved in the campaign against spam messages, harassing calls and arbitrary charges. Adhering to the standards of “hassle-free porting, speedy porting, well-served porting”, the Company launched mobile number portability service on time. The Company carried out 5G experience program and let users have "the final say". Significant progress was made in expanding key areas. On personal informatization, privilege program structure was basically constructed, applications development was accelerated, and the sales mode of 5G+privilege+applications has started to take shape. On family informatization, applications such as whole-home WiFi, e-Surfing Webcam, and e-surfing Housekeeper were available, with the scale of smart home offering achieving initial results. On government and corporate informatization, with focus on key areas such as smart city, digital government and industrial Internet, reform started to bear fruit. Cloud became a new growth driver, with the branding of e-surfing Cloud continuously enhanced and the capability to master core technologies further improved.

Solidified foundation. Network construction was strengthened, with network capability continuously enhanced. 5G deployment was steadily proceeded, while prominent results in communications assurance as well as network and information security were achieved. Persisting in the belief that talents are the primary resource, the Company enhanced team building and promoted corporate strength through talents, accelerated team building of professional talents and frontline staff, further cemented the foundation for the high-quality development of the Company.

Strengthened management. The Company innovated product supply, strengthened channel operation, and optimized operational analysis. The Company also strengthened intelligent operation and capital management, carried out "4+2" resource efficiency initiative, dynamically optimized resources allocation, further promoted centralized procurement, and strengthened risk management and control. As a result, operation management level continued to enhance.

Stimulated vitality. The Company resolutely promoted the reform of the enterprise business arm, continued to reform its research and development system, steadily advanced the reform of headquarters, and proactively carried out mixed-ownership reform, with vitality and intrinsic momentum of the Company continuously stimulated.

Built image. The Company fulfilled its corporate responsibilities, further established its corporate image of being responsible and accountable its responsible corporate image. The Company proactively implemented the new development philosophy. Through the collective efforts of the entire company, remarkable results in poverty reduction have been achieved. The Company also implemented the requirements of Speed Upgrade and Tariff Reduction and strengthened work safety.

The conference stated that, over the years, all staff of China Telecom remained true to their original aspiration and mission, and worked tirelessly. As a result, the long-term healthy development of the Company was sustained while prominent results have been achieved. There are six key edges: (1) the original aspiration and mission have not changed; (2) network foundation has not changed; (3) the team base has not changed; (4) the dual-driven development model via technology and market has not changed; (5) the positioning of the telecommunications industry as a sunrise industry has not changed; (6) the good reputation of China Telecom has not changed.

The conference pointed out that the internal and external landscape should be precisely comprehended: information and communications technologies are ever changing, while enterprises are in urgent needs of accelerating their transformation; customer demand is constantly upgrading, while integrated information services show vast potential; the industrial situation are changing dramatically, while ecological cooperation becomes mainstream; the macro environment is complicated and must be clearly understood and accurately comprehended; the Company has to constantly optimize and adjust in order to adapt to the changing situation.

The conference emphasized that 2020 will be a crucial and decisive year for the high-quality development of China Telecom. The entire company should firmly promote the building of Cyberpower, safeguard network and information security, deepen the corporate reform, expand external cooperation, enhance service quality, expand subscriber scale, promote the high-quality development of the Company, and take a solid step towards becoming a leading integrated intelligent information service provider.

The conference set out major tasks: to focus on customer need and strengthen information service; to promote cloud-network integration and consolidate foundation for development; to carry forward good tradition, safeguard network and information security; to strengthen operation management and enhance corporate efficiency; to deepen reform and innovation and expand ecological cooperation.

Source: China Telecom Corporation Limited
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