With reference to a NBC-TV news broadcast on 15 June 2004, Telecom Namibia hereby wish to inform its employees and the general public that there are no retrenchments currently taking place in the Company. The news broadcast in question, cleary misquoted the response sent to the NBC by the company, and created the impression or perception that retrenchments are already taking place in the company.

Telecom Namibia wish to retract the statement and set the record straight, since the NBC-TV news broadcast deviated from the written statement provided by the Company. No employees of Telecom Namibia have been offered any voluntary retrench-ment packages at all . Telecom Namibia sincerely regrets the unfortunate misunderstanding and inconvenience that may have been created by the NBC-TV broadcast among staff and the Namibian public.

Telecom Namibia is currently con-ducting a study on optimal employment levels and general process efficiency in the Company. Some aspects of this study have not yet been finalised. Once the outcome of the completed study is known, this will be communicated to the Company’s internal stakeholders such as Top Management, the Board of Directors and employee repre-sentatives, in accordance with agreed Company procedures.

In view of the ongoing study, Telecom Namibia has no option but to correct certain misinterpreted, inaccurate and incorrect statements made in the NBC-TV broadcast and hope that this action will allay fears of any retrenchments within the Company.