Issue of Telecom Egypt Bonds Next September

Cairo - January 18th , 2004

Telecom Egypt (TE) Chairman, Engineer Akil Beshir has signed an agreement assigning HSBC Bank to operate as the company's financial consultant.

HSBC will oversee the issuing of TE's bonds in the local market next September at a value of around Two Billion L.E., to enable the company to widen its prospective investments. TE's Board had approved the initial procedures to issue the company's bonds in the local market ahead of ratification at the general shareholders meeting.

Seven companies bid for the job as TE's Financial Consultant and five passed the initial evaluation.

The different technical and financial bids were then evaluated and HSBC was selected and an agreement was signed today between TE and HSBC, following negotiations.

For more information contact:
Mr. Rami Sameh
press.release@telecomegypt.com.eg