Mobile-8 Aims to Double Wireless Users This Year in Indonesia
PT Mobile-8 Telecom, the Indonesian
phone operator that plans to replace its president and two
executives after missing last years subscriber target, expects
to almost double its users in 2008 as it extends its network.
The carriers customers increased 67 percent to 3 million in
2007, Mobile-8 said in an e-mailed statement. That fell short of
its forecast of more than doubling users to 4 million. The
Jakarta-based company, Indonesias worst-performing phone stock
in the last 12 months, didnt provide a figure for 2008.
Mobile-8 plans to offer cheaper wireless services in some
cities this year and spend $140 million to nearly double its
number of transmission towers, mainly outside the nations most
populous island of Java. Mobile-phone users in Indonesia, home to
an estimated 241 million people, may rise 42 percent to 100
million by 2009, according to its Communications Ministry.
Outgoing President Director Hidajat Tjandradjaja said in
December the carrier would miss its subscriber target because it
had failed to expand its network.
The carrier has declined 28 percent over the past year in
Jakarta trading, compared with a 52 percent gain in the benchmark
index. The shares were unchanged at 210 rupiah today.
About half of Indonesias 10 mobile-phone companies are
publicly traded.
The company named Wityasmoro Sih Handayanto as president to
replace Tjandradjaja, while Susanto Sosilo will be the new sales
and marketing director in place of Chee Pok Jin, the statement
said. PT Bhakti Capital President Anthony Chandra Kartawiria will
take the post of chief financial officer.
Moodys Investors Service on Feb. 19 said it may cut the
companys debt rating on concern that the management changes may
have a “negative impact on the credit profile. Moodys rates
the company B2, five levels below investment grade.
