 Presentation |
The legal status of JSC
"KyrgyzTelekom"
JSC "KyrgyzTelecom" was registered by
Ministry of Justice of Kyrgyz Republic on 19th
June 1997 in the legal form of an open joint-stock
company. KyrgyzTelecom controls an important communication
network as the national operator of the Kyrgyz
Republic and provides telephone and telegraph
services throughout the territory of Kyrgyzstan.
KyrgyzTelecom operates:
- trunk switches capable of providing service
to any city or town within Kyrgyzstan and CIS
countries as well as all countries around the
world, 24 hours per day;
- local and rural exchanges;
- well developed cable, microwave and satellite
transmission networks.
Corporate management
The supreme management body in JSC "KyrgyzTelecom"
is a general meeting of shareholders.
According to the charter of JSC "KyrgyzTelecom",
the management structrue of "KyrgyzTelecom"
looks as follows:
· General meeting of shareholders;
· Board of Directors (supervisory body
of 7 persons was elected on the shareholders'
meeting):
· Management Board (executive body of 5
persons was elected by general meeting of shareholders
of JSC "KyrgyzTelecom). The Management Board
is headed by chairperson of Board - President
of JSC "KyrgyzTelecom who is appointed (released)
in accordance with the charter of JSC "KyrgyzTelecom"
on the general meeting of shareholders \.
· Audit committee (controlling body):
Ownership structure
Government 77,84%
Social Fund 12,51%
Physical and legal entities 9,65%
Number of employees - more than 7000.
Our mission
The main type of Company's activities is providing
state bodies, economic entities, legal and private
people on the territory of Kyrgyz Republic with
telecommunication services.
Our core mission is to provide communication services
on the world level, to develop and serve the communication
network in a way they could:
· Meet needs of our clients;
· To provide the growth of incomes for
the favor of our shareholder;
· To act not only within the interests
of company but within the interests of state and
society as well.
| History
of KyrgyzTelecom |
Development of telecommunication in our Republic
starts from XIX century. In 1863, the northern part
of Kyrgyzstan joined Russia and according to archive
documents, in May 1873, the first telegraph station
started to operated in Tokmak. Communication networks
in the Republic were developing very slowly. In
April 1921, there were only 19 post offices and
departments under management of Pishpek office.
The second period of fast growth of communication
networks in the Republic was the period from 1926
to 1940 when 20 mln. Roubles were directed for development
of communications and the number of communication
enterprises were increased 27 times. The length
of telephone-telegraph lines made up 3353 km.
In the 1950s, the automation of telegraph communication
sector had been started. In 1964, the first automated
telegraph station was introduced into exploitation
in Frunze city (Bishkek).
Thus, in the 80-s the automation of intertown telephone-telegraph,
town and village telephone communications was finished,
and became the basis for electric communication
in our republic, in order to introduce the automated
communications system of USSR. All towns and regional
centers of the Republic were connected to the Intercity
Automated Communications System. During a quarter
of century one managed to overcome great lagging
in development of electric communication and several
indicators in order to take the leading place among
other Republics of former USSR.
When the Kyrgyz Republic obtained its independence,
the state enterprise of communications "KyrgyzTelecom"
was created in 1993 in order to further develop
the telecommunication infrastructure. In May 1997,
"?yrgyzTelecom" is reorganized into joint-stock
company with complete corporate management structure.
"KyrgyzTelecom" company (hereinafter JSC
KT) had rather powerless transport telecommunications
network in the beginning of its formation which
was quite far from the requirements of telecommunications.
Our Republic could connect with international telephone
communications network till 1992 only through Moscow
International telephone station which worked on
the old analogue equipment.
The geographical location of the country determined
the development of the most important economy sectors
- mining, hydropower energy, and agriculture as
well. But most strong, dynamically developing sector
became the telecommunications sector during the
last years. Different from other sectors, telecommunications
does not have borders and make up unite global telecommunication
space. The major further ways of development will
be global introduction of new integral types of
communication services (Internet, Multimedia, tele-medicine,
etc.) on the base of newest communication technologies,
emphasizing on introduction of mobile communication
services, extension of communication lines on the
base of optical fiber. One of the chief strategic
goals of JSC KT is participation in development
in all these directions.
The telecommunications sector is decisive for successful
development of any economy. The effectiveness of
the whole state mechanism's work depends on how
the communication and information transmissions
functions. It means the wealth of society, increase
its scientific-economic potential and increasing
its role in the world production and international
trade. Communication and information are considered
as an important mean of intellectual growth of the
country, development of its culture.
| Future
development |
In the beginning of ??I century, the increased flows
of information in the form of telephone talks, facsimile
information, e-mail, data masses and television
broadcasting show how the world is becoming more
dependent on electron communications changing business,
life style, society in the whole.
Communication plays especial and important role
in development of Kyrgyz Economy. It serves as a
chain between industrial sphere, services area and
consumers and between remote territories and economic
centers as well. Stimulating communications between
people by modern telecommunication means are a necessary
condition for social uniting and cultural development
of Kyrgyz people.
Today JSC KyrgyzTelecom is a highly developed enterprise:
the areas of activities cover different services
both traditional like telephone, telegraph, channels
rent, broadcasting, and completely new like plastic
card telephones and Internet.
JSC KyrgyzTelecom is not very big, but powerful
and dynamically develops. The Company has enormous
possibilities and is fully adapting itself to the
operations in new economic conditions.
Company's potential
· Unique services range - providing telephone
communications and data transmissions within the
interests of modern business and immediate connection
with any location worldwide.
· Human resources - compliance to high professional
standards, corporate spirit in collective, democratic
style, based on the interests of all employees in
general success of organization.
· Advanced technologies - usage of scientific-technical
achievements of leading world producers of telecommunication
equipment.
· Management under conditions of high development
rates - operative and effective management of enterprise
and branches in regions, strict control over current
expenses.
· Acting not only within the interests of
Company, but within the interests of state and society
as well.
· Large experience of successful work - knowledge
of clients needs.
· Wide geography of presence - providing
services throughout the whole territory of Kyrgyzstan.
· Cooperation with all national communication
operators worldwide.
· Participant of international telecommunications
market.
We see future development in development of services,
i.e. further updating telecommunication networks,
which allows to provide transfer of any kind of
information with maximally high speed, and also
development of new communication services. One could
say without exaggeration that the results of these
actions would be qualitative overturn in communication
network in Kyrgyz Republic.
Simultaneously we work on improving customer servicing.
Of course, the market conditions require from the
enterprise to change organizational structure, sales,
payments collection. The feedback with our subscribers
is very important for us. For more complete informing
of clients and feedback with them, we plan to create
our own newspaper. All these means that we are working
for our client, for the whole people of Kyrgyzstan.
Further development of JSC KT we see also in improving
quality. Development of network will go by the line
of reliability: creating circle structures, second
tethers to transit joints, etc. JSC KT will start
planned withdrawal from exploitation of an old analogue
transmission system that considerably increase exploitation
and maintenance expenses.
Also we see the future of the company in our personnel.
Intensive introduction of new techniques on the
telecommunication networks, appearing of new types
of services requires specialists skilled in all
modern technologies. Therefore special attention
will given on training and retraining the technical
personnel and managers. |
To implement
these tasks, JSC KT will focus his potential, energy
to reforming organizational structure for the consumer
needs. We developed our own complex concept of JSC
KT reorganization, precisely formulating the rules
of how to achieve advantages before the competitors
and strengthen it. JSC KT should use strategy for
accumulating high technological equipment with aggressive
management.
This will allow to achieve more profit under low
capital investments, for example, improving quality
of service will considerably increase traffic; new
types of services will increase number of users.
Simultaneously, such an approach to work organization
is considered as a guarantee of stable and confident
activities of the enterprise in modern conditions.
The experience and traditions in the sphere of communication
of the enterprise, the personnel qualification,
the reserves of modern technologies of communication
equipment in combination with investments, management
and marketing, all in all, are able to provide good
results.
Special importance is given to skills to find non-ordinary
solutions. The enterprise is always in search and
especially here one can see the basis of forward
development and security of future successes of
JSC KyrgyzTelecom.
| Partners |
Kyrgyztelecom was responsible for laying 184 kilometers
(114 miles) of Trans-Asian-European fiber-optic
line within Chui province of Kyrgyzstan for the
Shanghai-Frankfurt connection. This connection was
completed in 1998. This fiber-optic line will prepare
the way for a telecommunication modernization project
in Chui province which will be financed by the Korean
fund of economic development and cooperation. According
to the project, a digital telecommunication network
would be created in Chui province totaling 43,784
subscriber lines.
First project implementation
The first telecommunication project with total cost
USD 27.4 million (USD 18 million from the World
Bank (WB) and USD 9.4 million from European Bank)
was completed in 1997. Kyrgyztelecom was responsible
for the project from the Kyrgyz side. The telecommunication
services provided through this project follow international
standards.
This project covered the following areas:
1. Satellite standard "A" earth station
installation. This contract was concluded with Comsat
RSI, USA. Direct satellite links were established
with many countries upon completion of the installation
and commencement of operation. The "A"
standard was established by Intelsat, USA, and means
that the dish of the satellite is 16.5 meters (55')
in diameter.
2. Switching equipment. This contract was signed
with Ericsson, Sweden. State of the art digital
switches capable of providing the most up-to-date
facilities available were installed in seven cities
of the Republic namely Bishkek, Osh, Jalal-Abad,
Cholpon-Ata, Karakol, Naryn, and Talas totaling
50,000 subscriber lines.
3. Digital microwave equipment. This contract was
concluded with Nera telecommunications, Norway.
23 digital mountain microwave stations were put
into operation in all regional centers of the Kyrgyz
Republic.
4. Outside plant and fiber optic transmission. This
contract was signed with HT cable (Israel). 45 kilometers
(28 miles) of fiber optic cable were installed with
associated SDH (synchronized digital hierarchy)
transmission equipment in a circular structure for
exchanges and RSU (remote switching unit) connections.
355.5 kilometers (221 miles) of copper cable and
348 new distribution cabinets were installed to
offer subscribers connections to a new switch.
Currently JSC "KyrgyzTelecom" has monopoly
on all international connections. According to the
requirement of the World Bank, the company must
hold its monopoly position until 2003, when all
credit funding must be returned to the WB by the
company. At the same time, one of the requirements
for the Kyrgyz Republic to obtain membership in
the world trade organization is de-monopoly of KyrgyzTelecom.
In this situation, the Kyrgyz NAC is responsible
for monitoring KyrgyzTelecom to ensure that the
company does not exploit its monopoly position.
For example, KyrgyzTelecom may not invest its international
profits to finance other telecommunication services.
For mobile connections, there is the following competition:
- Paging services are offered by 4 - 5 companies
(Areopag, Smartcom, Geliopage, Katel, etc.). Most
of which are joint ventures with US partners;
- Cellular services are offered by Katel (joint
venture KyrgyzTelecom with US partner) which operates
according to the American standard ("AMPS");
- Trunk connection is offered by Smartcom;
- Satellite connections are not offered by any licensed
company in Kyrgyzstan. Currently, only Kazakhstan
companies serve this sector of the Kyrgyz market.
Looking ahead
In the Kyrgyz Republic, there are opportunities
for foreign investors to develop telecommunication
services. The potential cost to develop adequate
telecommunication services in Kyrgyzstan was estimated
at USD 0.5 billion by Kyrgyz experts in 1995. The
WB has agreed to allocate USD 20 million for a telecommunication
project in Kyrgyzstan. It will provide digital connections
for all rayon (county) centers and rural areas of
Kyrgyzstan. At high level meetings, President Akayev
has frequently announced his plan to obtain the
first Kyrgyz satellite called "silk satellite".
The department of communication is looking for a
grant of USD 3.6 million to modernize the postal
service in Kyrgyzstan.
"Kyrgyztelecom", with exclusive right
for long distance and international communications
services until the year 2003, is working on creation
of an integrated network for data transmission and
on the construction of new radio relay lines for
phone communication with China.
The Government and Parliament of the Kyrgyz Republic
have both passed decrees approving privatization
of Kyrgyztelecom. The majority of shares of Kyrgyztelecom
are held in trust by the State Property Fund. Through
an international tender process, the Austrian bank
"Raiffeisen Investment Ag" was selected
as the advisor for the privatization process. It
was expected that privatization of approximately
40% of the shares of Kyrgyztelecom would be completed
in the fall of 1999. However, that privatization
process did not go further due to different reasons.
Nowadays, KyrgyzTelecom started to prepare for new
privatization phase and announced a new tender.
Invitation for tender - Strategic privatization
of KyrgyzTelecom
The Tender Committee invites the qualified Bidders
to tender as Strategic Privatization Adviser for
Joint Stock Company "Kyrgyztelecom".
JSC Kyrgyztelecom is the National Telecommunications
Company of the Kyrgyz Republic, located in Central
Asia. State Committee on state property and direct
investments of the Kyrgyz Republic is a government
body, which have control packet of shares of JSC
"Kyrgyztelecom". The Government of Kyrgyz
Republic intends to sell 51% of shares of JSC "Kyrgyztelecom"
to Strategic Partner, which would be declared as
a winner of the investment bid. The immediate objective
is to recruit the services of a specialist adviser
to assist with the work of selecting the right strategic
investor.
Interested parties with extensive relative international
experience may obtain copies of the Tender Documentation
from Chairmen of Tender Committee upon payment of
a USD 300 non-refundable fee by cash, certified
check or bank draft at the address shown below:
Anatoly Makarov, Chairmen of Tender Committee
Prospect Erkindik 57, 720002 Bishkek, Kyrgyz Republic
Phone: (996-312) 227706, 228346. Fax: (996-312)
66036, 227954
| Products
|
Functions of JSC "KyrgyzTelecom"
JSC "KyrgyzTelecom" according to the license
issued by Kyrgyz National Agency on Communication
has an exclusive right for providing services in
the sphere of electrocommunications. According to
the license the following functions are imposed
to JSC KT:
· Implementation of national telecommunications
operator's functions;
· Exploitation, planning, development and
management of all communications networks;
· providing state bodies, economic entities,
legal entities and private people on the territory
of Kyrgyz Republic with telecommunication services;
· ensuring unite management of telecommunication
networks in Kyrgyz Republic;
· conducting military-mobilization work and
implementing civil defense arrangements;
· creating staff retraining system.
JSC KyrgyzTelecom implements its own activities
through 7 province branches and city branches -
Bishkek telephone network, Bishkek city radio joint,
productional-construction commercial company "Sergek"
and RPO RMTR.
Networks in the disposal of JSC "KyrgyzTelecom"
At the present moment the following is within the
disposal of JSC KyrgyzTelecom:
· Local telephone network - includes city
and village analogue and digital stations with corresponding
line equipments;
· Telegraph network - implemented according
to the system of messages commutation and channels
commutation;
· Intercity network - implemented by cable,
radio relay and air communication lines, packed
by different equipment of transfer systems and with
usage of quasi-electron, electron, electron-mechanical
stations;
· Wire broadcasting network - implements
translation of broadcasting programs from 13 two
programs stations UKV-CM range and 16 stations in
the range of long and middle waves, as well as air
and relay communication lines. There are 10 radio
broadcasting programs on the territory of our country.
Main services to provide
- local, intercity and international telephone communication
- data transmission;
- telegraph;
- telex;
- broadcasting television and radio;
- channels rent;
- access to global networks of data transmission;
- access to Internet;
- plastic cards for using telephone;
- services provided by digital telephone stations. |
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