Press-release

16 May 2008, Kyiv. VOLIA is marking its 6th anniversary June 1. Summing up the results of the last half year, VOLIA arranged an Open Doors Day for mass media representatives to present plans for the second half of the year. Special emphasis was placed on digital conversion.

Mass media representatives visited the company’s main operation offices:

• Data-centre;
• Call-centre;
• Contact-centers, as well as specially constructed information tents providing information and consultation help for subscribers;
• Print-centre, where accounts as well as information materials for subscribers are printed.

Reporters had a chance to ask questions about company business they were interested in and to speak with chief company executives in person: S. Boyko, President, A. Metelskyi, Marketing Director, V. Yanitskyi, Chief Customer Officer, and N. Bash, Head of the PR Department.

Over the past year VOLIA enforced its leadership positions in the field of setting high customer service standards

Call-Centre, Contact-Centers.
Up to date the “front line” of subscriber servicing includes 400 employees: (250 call-centre operators and more than 150 employees of contact-centers). The bandwidth of incoming lines was doubled. The number of telephone lines of the company call-centre was increased up to 270. In addition to enlarging the staff, the company is increasing the operator proficiency training. At the moment the call-centre serves more than 500,000 of incoming calls and makes nearly 80,000 of outgoing calls every month.

In order to provide operational and high-quality communication with customers, new contact-centers were constructed, and the existing ones were modernized and extended. Eight contact-centers are located in places with convenient traffic interchange. The ninth contact-centre is to be constructed at Prospekt Mira and the 10th one at Prospekt Komarova at the end of summer. Thus, every district of Kyiv will have its contact center.

At present, according to experts’ evaluation, the quality of customer service at the company call-centre is higher than that of other services providers (not only in telecommunications).

Interactive Customer Service System

This year VOLIA continues to modernize and make interactive systems more comfortable for customer service. This kind of additional services is unique for telecommunication providers in Ukraine. Easy and independent service management is possible for VOLIA subscribers only.

Given the current rate of subscriber base growth, the user-friendliness and speed of interaction (for instance, changing your services package or receiving information about services use for the last days, weeks, and months), interactive services are the ones that will be demanded most by subscribers.

The IVR service (service management via the telephone), introduced last year, is very popular among customers. Every user can change their package, obtain information about his/her personal account, suspend or activate subscription anytime without having to hold for the operator.

According to our statistics, there are four to five thousand of VOLIA subscribers using the additional IVR service every month. Their amount is growing steadily.

The Subscriber Website (already known to our users) is integrated into the portal for convenience. To get access to the functional possibilities of both resources a subscriber just needs to log in (gain access) at the subscriber’s portal.

Subscriber’s portal http://portal.volia.com, a quick and efficient tool of subscriber support and service management via the Internet, has been improved significantly. This is an innovative project: a resource with such a set of functional possibilities (support service, useful programs, knowledge base, polls, and bonus programs) has been offered to customers for the first time. The possibilities of the portal are being constantly enhanced and improved.

There are ten to fifteen thousand subscribers that visit the portal every day (depending on the day of month) to obtain necessary information and qualified help. This has increased considerably the efficiency of settling issues and receiving information for company subscribers. The traffic on the portal as well as on the other two company websites is not chargeable. The resource as well as the personal subscriber website (the statistics site) is available to subscribers even when the Internet service is temporarily inactive.

Moreover, the company gives subscribers an opportunity to use e-payment systems (the most popular of them is http://www.portmone.com.ua. In order to make payment for services as comfortable and efficient as possible, VOLIA created an opportunity to pay for services via IBOX payment terminals in 2008. Payment via terminals is very easy and convenient. However, they exist almost in all supermarkets and stores of our city.

New

New Tariffs and TV packages

The Ukraina (Ukraine) social digital package has been introduced, which includes over 30 Ukrainian and a few Russian TV programs. Cost of package is just UAH 18/month.

Three new add-on packages have been created:

• “Planeta Znan” (Planet of Knowledge) (8 channels) at UAH 20.00;
• “Meloman” (Audiophile) (8 channels) at UAH 10.00;
• “Styl Zhyttia” (Lifestyle) (10 channels) at UAH 15.00.

New tariff plan Zirkovyi+TV has been added for users of both types of services, with the largest traffic volume (40,000 MB). It is in great demand among Volia Premium TV users.

Today the company offers the following Internet service tariff plans for users of digital television:

Tariff Plans	Monthly Subscription Fee including VAT, UAH	Amount of mixed traffic included in Monthly Subscription Fee, MB	The Cost of mixed traffic, extra volume, included in the Monthly Subscription Fee including VAT, UAH/1MB
Zirkovyi+TV (new!)	155	40000	0,004
MegaHit+TV	105	15000	0,007
Svitovyi+TV	85	8500	0,01
Klasychnyi+TV	65	3000	0,022
Startovyi+TV	45	1000	0,045

Additional service “Near Video On Demand” (home theatre, NVoD).

A new additional service from VOLIA – Near Video On Demand – has become immensely popular in 2008 (NVоD – New-Video-on-Demand). Two cinema halls are engaged for the subscribers’ convenience, making it possible for them to watch one movie per week.

The latest developments in the field of technology were introduced specially for this service, which has significantly improved the quality of video. Multi-channel sound, known as home theatre 5.1, which has been eagerly awaited by many subscribers, is finally available. Use of modern technology allows not only for watching movies with the traditional Russian (and Ukrainian – depending on distributor’s availability) soundtrack, but also with original soundtracks, such as English, French, etc.

To order a movie, VOLIA subscribers make use of the interactive tools for service management they are so well familiar with: via the personal subscriber’s site and by phone (IVR).

Subscribers using recording Handan BK1000-DVR TV-tuners can record any movies they like to hard disc (160 Gb) and create their own collection of premieres and block-busters.

Data-Centre

VOLIA data-centre is the largest Ukrainian data-centre in terms of the number of subscribers and the volume of services rendered. It gained the leading position in the end of 2007, a year and a half after the official opening.

Since launch date, the VOLIA data-centre has showed the highest growth rates among Ukrainian data-centers. The introduction of VOLIA data-centre was very successful: the existing capacities were used ahead of schedule, half a year prior to the scheduled term.
Currently nearly 1,000 subscribers are served here

The existent area is almost filled up. That is why a second area is going to be opened in the end of summer, which will be the largest one in Ukraine. It will be equipped with state-of-the-art equipment.

A new service was launched In the first quarter of 2008: virtually dedicated servers. As in the case with the launch of the data centre, which set new standards on the Ukrainian market of dedicated servers, this time revolutionary conditions for rendering virtual servers were offered.

Subsidiaries

At the beginning of 2008 network capacity was significantly increased in Lviv. As a result, the number of subscribers grew considerably as well. The digital head end was upgraded. Launching CATV service in digital format (digital packages) is to happen in Lviv by the end of this year.

At present, we are actively exploring the options of providing broadband Internet access in Alchevsk and Chernivtsi. This service is gaining more popularity among our subscribers.

HDTV

A series of tests of several types of equipment from various producers has been held since the beginning of the year in view of the introduction of HDTV (High Definition Television). A project to launch this service by the end of 2008 is currently being developed.

New Offer for Corporate Internet Customers

The company constantly applies new and innovative technologies. Thus, in 2008 VOLIA started testing the GEPON (Gigabit Ethernet Passive Optical Network) technology. It is one of the most advanced methods of transmission network construction, providing high-speed information transmission (up to 1.2 Gbps). The main advantage of the GEPON technology is the ability to use FO cable resource to the fullest extent. For instance, using a single optical-fiber segment will be enough to switch 64 subscribers within a 20 km radius.

The first customers and, first of all, business users, will soon be able to enjoy the advantages of the latest technology and the new commercial offer of the company.

Results of the First Half -Year 2008

Digital Conversion

Alongside European capitals, such as Berlin and London, which started using digital technology in 2003-2004, and even entire countries, which have switched fully to digital format (Sweden, Holland, and Finland), VOLIA is promoting full digital conversion for cable television in Kyiv by 2008.

As reported earlier, in accordance with stage-by-stage digital conversion of the entire VOLIA telecommunications network, the process of phasing down out-of-date analogue equipment is being done in 3 stages:

I stage (started in 2007): Obolnskyi, Desnianskyi, Darnytskyi, Dniprovskyi districts;
II stage (2-3 quarter of 2008): Pecherskyi, Shevchenkivskyi, Solomianskyi, Podilskyi districts;
III stage (3- 4 quarter of 2008): Golosiivskyi and Sviatoshynskyi districts.

The first stage of digital conversion for cable television service is approaching completion. Problems and defects identified during the first stage of the conversion process (in the end of 2007) were taken into account. Now the number of subscribers who get the service exclusively in digital format is growing at an impressive rate. This is more than half of all subscribers passed by the provider (half of VOLIA’s homes passed!). The critical point has been passed: by the end of the year the remaining part of VOLIA network will be successfully switched to the contemporary digital format of cable television.

In particular, technical works on putting out of operation out-of-date analogue equipment in Darnytsia district network area (Kharkivskyi, Osokorky, and Pozniaky residential areas) will be finished in May 2008. Complete transition to digital technology in this network segment will be accomplished by the end of the current month. Soon after that works in Obolonskyi and Desnianskyi districts will be finished in June.

The subscribers can get all necessary documents and equipment at one of the Volia contact centers. To enhance subscribers‘ convenience further, the company has constructed more information tents, where any subscriber can get all necessary information and draw up an application and supplements to the agreement.

It is also possible to make a call and order equipment delivery to your home. To give maximum attention to every subscriber at premises undergoing digitalization, mobile service teams are available. VOLIA employees give advice to Kyiv residents on any issues concerning connection, accept applications from tenants, and are ready to come and connect the equipment.

To get the information or have the service connected at your home, subscribers can use a telephone hotline, which is going to be available up to the last subscriber connected to the VOLIA network.

In the course of digital conversion, subscribers will have an opportunity to watch packages including from 35 to 123 TV-channels. As reported earlier, the cost of the minimum must-carry digital package Ukraina which includes more than 30 Ukrainian and a few Russian TV programs, will be just UAH 18 per month, i.e. almost UAH 10 less than the cost of the analogue must-carry package. In addition, the company gave its subscribers an opportunity to rent rather than buy equipment. It is now possible to rent a digital TV-tuner at just UAH 9.90 per month.

Plans by End of 2008

• Complete digital conversion, i.e. the introduction of contemporary standards in rendering CATV service in Kyiv.
• Offer new TV-channels and add-on packages in digital quality, tailored to meet the tastes and needs of our subscribers and their family members.
• Develop further business processes directed at enhancing the convenience of Volia services, such as SMS and interactive services.
• Develop the additional service “Near-Video on Demand”: the plan is to launch at least two virtual cinema halls by the end of 2008.
• Launch High Definition Television (HDTV).
• Test and launch additional DOCSIS 3.0. signaling to increase the speed of Internet access for those working with large volumes of data (such kind of signaling makes it possible to reach information transmission speed of 120 Mbps).
• Upgrade and expand the networks in Kyiv.

It also worth mentioning the company’s social and charitable activity.

VOLIA Social Projects

VOLIA continues to adhere to the approved principles of social responsibility. Part of such work is to provide support for charitable and social projects, which were started earlier, and to promote the development and improvement of new ones.

Help Project for Children with Cancer

This year VOLIA continues cooperation with the charitable organization Krab Children Cancer Aid Fund. The direct goal of the project is to provide multi-faceted support for the pediatric branch of the Oncology Institute of the MSAU (Academy of Medical Sciences of Ukraine) by improving living conditions in the branch, supporting families financially and with information, as well as by informing the public about the issues of pediatric oncology.

The long-term charitable fund for children with cancer Give a Smile to a Child will be launched this May. The aim of the project is to support little patients in their fight for life. Toys, parties, presents, and fun time, these simple things are so natural for every child and can make yet another day of a long hospital stay a little brighter. A few pediatric oncology branches of Kyiv are going to have some special treatment in May-June: a puppet theatre, a professional clown, art-therapy experts, a portable game room, a trip to the zoo, and that is not the end of the scheduled list of fun activities.

You can participate in the project directly either by buying presents (fruits, juices, toys) for children with cancer or by sponsoring any event or activity. The methods through which you can participate are described on the company website.

All we have to do is unite our efforts, and these children’s chances of survival will be increased a hundred times!
Do not stay indifferent!

Help a Certain Person Charity Action

Since January 2008, VOLIA has been participating in an unlimited series of events held by the Kyiv City Administration. The purpose is to render necessary charitable assistance to lower-income families, members of which are people with special needs, underage children, and elderly people. Since the start of the program, VOLIA has helped a few lower-income families in Kyiv. And this is just the beginning.

Child Abandonment Prevention Project

VOLIA has been one of the patrons of the Prevention of Child Abandonment Project for about a year. The aim of the project is to provide social and educational aid and food for needy children to prevent financial and social crises in their families.

Leadership Clubs Project

January 2008 marked the start of a new joint project between VOLIA and the Kyiv Representative Office for the AIESEC International Students Organization (www.aiesec.org), the Leadership Clubs Project directed at developing leadership qualities in 8th-10th grade school students. A series of seminars and games for communication skill development were held by students in Japan, China, Brazil, and Germany. VOLIA employees also took part in several of these trainings. The topics included Leader and Leadership, Goals and Values, Time Management, Efficient Communication and Oratory Skills, Working in a Team, Conflicts and their Settlement, Creativity, etc. Aside from receiving theoretical materials, the children put their knowledge into practice during communicative games and training sessions.

‘Invak.Info’ Information Agency Project

In March 2008, VOLIA supported a new project of ADP (Association of Disabled Programmers), the creation of the Invak.info informational portal. The aim of the project is to broaden access of the disabled to information about benefits they are entitled to under the law, events and services available from public organizations, scholarships, and different kinds of rehabilitation programs. A database of legal documents, news about events and activities in the field of movement in support of people with disability, information about organizations of the disabled, and library will be available from the website.

2008 is the year of the Olympic Games. That is why VOLIA is going to be a sponsor of the Ukrainian National Paralympics Team

Paralympics deserve special attention from the international community, since the achievements of Paralympics athletes inspire others not to surrender when faced by ordinary problems. The results of the Paralympics show that human abilities are unlimited, and every healthy person should think how easily small problems can sometimes stop us from reaching our goals. Red, blue, and green semi-spheres symbolizing intellect, body, and unbroken spirit became the graphic symbol of the Paralympics movement.

Now the International Paralympics Committee includes 162 countries. A group of athletes with spinal injuries was joined by those with other kinds of injuries. The number of Paralympics sports grows all the time, and the number of Olympic athletes with disabilities has reached a few hundred thousand people by now.

Being an official sponsor for the National Paralympics Team of Ukraine for VOLIA is a great honor!

You can become familiar with other VOLIA social projects at http://www.volia.com/about/social.

Natalia Bash
Head of VOLIA PR Department
info@volia.com