STOCKHOLM, Sweden, Aug. 27, 2002 (PRIMEZONE) -- Song Networks AB, the Swedish subsidiary of Song Networks Holding AB (Nasdaq:SONW) (Stockholmsborsen:SONW) has been entrusted with supplying data capacity to Fritidsresegruppen's head offices, shops and offices at airports in the Nordic countries. The contract runs for 3 years and its value for Song Networks is around SEK 7 million. Fritidsresegruppen is migrating to Song Network's communication solution, and in Song Network's IP/VPN service (a network in Song Network's own backbone and access network) it is acquiring a fixed connection between around 45 locations in the Nordic countries. The complete undertaking of the solution means that in addition to more capacity and availability Fritidsresegruppen is getting a high level of security in its data communication.
In addition to the requirements for greater capacity and availability and a high level of security, Fritidsresegruppen wanted a supplier which was able to provide a complete undertaking. Fritidsresegruppen also wished to reduce the number of servers - there used to be one communication server per office, which meant expenses for hardware, programs and support. The new, more direct communication solution provides a better and simpler structure with fewer points to troubleshoot. The new solution is easier to administrate and expand when more capacity is needed and new services are introduced. Overall this means a more flexible and cost-effective solution is now being acquired.
"One in three journeys sold is now booked via the Internet. Communication between Fritidsresegruppen's offices and between the company and its customers is greatly increasing, thus a modern communication solution is one of the most important tools for a modern travel operator. With the Song Networks solution we are now acquiring a high-quality and cost-effective Nordic communication solution. As traffic increases and new services are introduced we can now simply increase the capacity, and at the same time we are getting simpler administration," said Mats O. Eklund, Fritidsresegruppen's IT Director.
"The contract was preceded by a thorough assessment to which all the major operators were invited. In the assessment Fritidsresegruppen found our solution to be the best in every respect. The major investment we have made in our own backbone and access network in the Nordic countries is once again proving to have been a good investment for our customers," said Mats Almgren, Song Networks AB's sales director.
For further information, please contact: Song Networks AB Song Networks Holding AB Mats Almgren, Sales director Jenny Moquist, Investor Relation Manager Phone: +46 8 5631 0240 Phone: +46 8 5631 0219 Mobile: +46 701 810 240 Mobile: +46 701 810 219 mats.almgren@songnetworks.se jenny.moquist@songnetworks.net
About Song Networks, formerly Tele1 Europe, (Nasdaq:SONW) (Stockholmsborsen:SONW):
Song Networks is a data and telecommunications operator with activities in Sweden, Finland, Norway and Denmark. The Company's business concept is to offer the best broadband solution for data communication, internet and voice to businesses in the Nordic region. This means that Song Networks supplies communication solutions that are attractively customized for each corporate customer. Song Networks is currently the only pan Nordic operator investing in local access networks with broadband capacity. The Company has built local access networks in the largest cities in the Nordic region. The access networks, which are linked by a long-distance network is one of the fastest data and internet super-highways in Europe, with an initial capacity for customers of up to one gigabit. The Company was founded in 1995 in Sweden and has approximately 1,000 employees. The head office is located in Stockholm and there are an additional 34 offices located in the Nordic region. For further information, please visit our website at www.songnetworks.net
About Fritidsresegruppen
Fritidsresegruppen offers charter travel from Sweden, Norway, Denmark and Finland. The main operator is Fritidsresor/Star Tour/Finnmatkat, the Nordic countries' biggest travel operator. The group also provides travel through TEMA, Sportresor and Seniorresor. The group also includes the Norwegian company Prisma and the charter-flight company Britannia Nordic. The number of travellers in 2001 was 1.6 million. Turnover was SEK 9 billion and the number of employees was 2,300. Since 2000 Fritidsresegruppen has formed part of a network of successful travel companies in Europe which are owned by the German company TUI AG, Europe's leading group in the field of travel and travel-related services. Together, TUI's travel operators have over 22 million travellers a year and a market share of over 37 percent of the European market.
Certain statements contained in this press release contain "forward- looking statements" within the meaning of the U.S. federal securities law. Such statements are based on the current expectations of the management of Song Networks Holding AB only, and performance is subject to risks, uncertainties and other factors that could cause actual results to differ materially from these statements. Such risks include, but are not limited to, adverse regulatory, technological or competitive developments; decline in demand for the company's services or products; inability to timely develop, introduce and market new technologies, products and services; pricing pressures resulting from competition; unforeseen construction delays; and the inability to successfully manage systems failures or shutdowns and service interruptions or reduced services to customers. For a more detailed discussion of such risks and uncertainties affecting the company, please refer to Song Networks Holding AB's reports that are filed from time to time with the U.S. Securities and Exchange Commission, including the company's annual report on Form 20-F and reports on Form 6-K.
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