Saturday, November 15 2014

The situation of customer inflow via Mobile Number Portability (MNP) in
the Armenian telecommunication market is as follows: ArmenTel CJSC
(Beeline Armenia)
is in the lead with 6123 subscribers, Orange Armenia CJSC ranks next with 5895 subscribers and K-Telecom
(VivaCell-MTS) is the third with 5389 subscribers.

 In customer outflow via MNP, VivaCell-MTS has taken
the lead with 7230 subscribers, Beeline Armenia ranks next with 5943
subscribers and Orange Armenia is the third with 4234
subscribers.

 The balance of
the inflow/outflow via MNP is positive at ArmenTel CJSC (180 subscribers),
negative at K-Telecom CJSC(1841 subscribers), and positive at Orange Armenia
CJSC (1661 subscribers).

 These data have been provided to ArmInfo by the
"Union of Operators Providing Mobile
Number Portability Services" LEU (UOMNP LEU). The latter has presented the results of the specified
operators' activities for April-October 2014. Mobile Number
Portability was launched in the Armenian telecommunication market in
April 2014. 

 To note, Mobile Number Portability (MNP) enables
mobile telephone users to retain their mobile telephone numbers when
changing from one mobile network operator to another.

 "Union of Operators Providing Mobile Number Portability Services" Legal Entities Union is a non- commercial
organization, founded on 30 July 2013 by Vivacell-MTS, ArmenTel and Orange Armenia,
with the purpose to establish and operate a centralized
database according to the regulation of the RA Public Services Regulatory
Commission for making the mobile number portability service available
in the Republic
of Armenia.

 Armenia Telephone Company, briefly ArmenTel (Beeline
brand), was founded in March 1995 by the decision of the Armenian
Ministry of Communication jointly with Trans-World Telecom (USA).
On 3 November 2006, ArmenTel CJSC joined VimpelCom Group, which is
one of the largest integrated communication operators in the
world.  

 VivaCell (K-Telecom CJSC), a subsidiary of MTS, was
founded on 1 July 2005. The owner of 80% of its shares is Mobile
Telesystems (MTS) OJSC, a major operator in Russia and the CIS. The remaining
20% belongs to Fattouch (Lebanon).  

Orange Armenia
is a 100% subsidiary of France Telecom (Orange brand). It has been operating in the Armenian market since 5
November 2009. 

 According to the Ranking of the Largest Enterprises of
Armenia prepared by the Agency of Rating Marketing Information
(ArmInfo), as of 1 Jan 2014 ArmenTel's own capital amounted to 120
bln AMD (1sr rank in the telecommunication market), VivaCell-MTS's
own capital totaled 87.3 bln AMD (2nd rank), and Orange Armenia's own
capital - 38.2 bln AMD (3rd rank). As of the specified date, the
assets of ArmenTel totaled 131.6 bln AMD, VivaCell-MTS - 103.8
bln AMD, Orange Armenia
- 48.3 bln AMD. In terms of revenue for 2013, VivaCell-MTS was in the lead with 80.2 bln AMD, ArmenTel ranked
next with 59.3 bln AMD, and Orange Armenia was the third with 22.9 bln
AMD. In terms of gross profit for 2013, VivaCell-MTS took the lead with
20.9 bln AMD,  Orange Armenia
was the second with 19.6 bln AMD and ArmenTel was ranked third with 19.2 bln AMD. At the yearend of 2013
VivaCell-MTS and ArmenTel secured a net profit at 16.4 bln AMD and
5.4 bln AMD, respectively, while Orange Armenia's negative profit totaled
3.9 bln AMD (due to the short period of its presence in the
telecom market as compared
with the other operators).