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Products & Services

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ANNUAL REPORT 2008

 
 
   
| Chairman's Speech | Message from the Deputy CEO | Board and Management
| Corporate Governance | Corporate Social Responsibility | Management
| Products and Customer Service | Subsidiaries Companies | Network
| Financial Report | Auditor's Report & Financial Statements | Offices and cytashops
 
   
 

 

 

Products and Customer Service

The introduction of Broadband Telephony to Fixed Telephony broadened our customers’ telephony experience. At the same time, the upgrading of the 3G network to Mobile Broadband gave Cytamobile-Vodafone customers access to the fastest Mobile Broadband network in Cyprus.

Cytanet continued to develop its network and upgraded all its DSL Access and NetRunner products, doubling download speeds and increasing upload speeds while maintaining or lowering prices. It also introduced new Internet connection products of up to 4Mbps for home customers and 8Mbps for businesses.

One of our Organisation’s most innovative services is Cytavision, which has established itself as the most popular multi-channel pay TV platform in Cyprus. It improved both its market position and the product it offers with the addition of ten new channels, an upgraded Navigation Area and the chance for customers to make use of a second set-top box for the simultaneous viewing of two different channels on two television sets. The service’s subscriber base increased by 20%.

In the context of harmonisation with the programmes of the European Civil Aviation Organisation EUROCONTROL, we continued to implement the LEFCO project which provides for the replacement of the existing Air Traffic Control Centre by a new generation state-of-the-art system that will contribute significantly to the upgrading of the operational capability of the Department of Civil Aviation.

Fixed Telephony Services
For our Organisation and for our customers, Fixed Telephony continued to be a basic service, providing top quality, reliable telecommunications solutions.

The vast majority of households and businesses in Cyprus continued to make use of basic Fixed Telephony services (analogue and ISDN) and of additional services and facilities. With the aim of satisfying the varied needs of our customers in 2008, we continued to offer six telecommunications packages for national calls (Classic 1 and 2, Home Package and three Business Packages) at especially attractive rates. For international telephony we continued to offer high-quality service at particularly low rates to every country in the world. Moreover, we continued to offer the especially popular “Friends and Family” scheme and to give volume discounts to customers with large monthly bills.

In 2008 we enriched Fixed Telephony with the extremely useful Call Completion to Busy Subscribers facility by which when the number that a customer calls is busy, the call is returned as soon as the number is free, without the customer having to redial the number.

An important innovation in Fixed Telephony in 2008 was the introduction of Broadband Telephony with the aim of enhancing our customers’ traditional telephony experience at a very attractive price. This new service can be used by many people within the same household and it enables each member of the family to have his/her own number. Broadband Telephony also enables voice and video calls and offers a range of useful facilities that can be managed over the web. Video calls are possible among customers using an IP videophone or a PC connected to a webcam and microphone headset.

Mobile Communications
In summer 2008 we took another significant step in the development and provision of integrated electronic communications. In the framework of our commitment to respond to the needs of modern society, we upgraded the 3G network to Mobile Broadband (HSDPA), giving Cytamobile-Vodafone customers access to the fastest Mobile Broadband network in Cyprus.

Our main objective was to provide customers with the fastest, most reliable wireless network access on the market, either by computer via Vodafone Mobile Connect or by mobile phones supporting HSDPA technology in Cyprus and abroad.

During 2008, in the framework of Cyta’s rebranding project, we also proceeded to renew the image of the Cytamobile-Vodafone brand. Under the new slogan "Make the most of now"”, which we support actively via reliable products and services, we are renewing and strengthening our relationship with all those who have shown confidence in us and choose us to live, enjoy, share and, indeed, make the most of now.

Cytamobile-Vodafone
As we operate in this dynamic environment in a serious, responsible manner, aware of our responsibility to the Cypriot public, we are in a state of constant alert and development. As the leader in integrated electronic communications, we aim to help our customers to make better use of their time by giving them memorable experiences through the reliable, innovative, user-friendly services and solutions that we provide.

The basic parameters of our plan remain the same: to carry on upgrading our network, introducing new, advanced services, making constant improvements to existing services and customer assistance, and playing an active role in society.

In 2008, the number of International Roaming Agreements with foreign networks increased to 350 in 154 countries, enabling our customers to make even greater use of their mobile telephones while abroad through the constant addition of new destinations.

At the same time, International Roaming Agreements with foreign networks for direct calls by customers of the soeasy pay as you go service rose to 96 in 59 countries. For other countries and networks with which we have agreements, customers can make calls by using the code *111*. Prepaid customers of 102 foreign networks in 56 countries may also make direct calls when visiting Cyprus.

We further expanded the services that our customers can access while abroad to include those enabling data transfer. Customers have easy access to the Internet and e-mail via their mobile phone and they can also use Vodafone Mobile Connect, Blackberry from Vodafone and Windows Mobile Email to keep in constant contact with their office and associates, benefitting from special rates for data transfer via selected Vodafone networks while abroad. By the end of 2008, the number of International Roaming Agreements for 3G/GPRS with foreign networks had risen to 166 in 77 countries. This facility is also offered to inbound roamers of 173 foreign networks in 78 countries when visiting Cyprus.

In the framework of our compliance with the European Regulation on International Roaming, on 30 August 2008 we introduced new regulated International Roaming charges for customers travelling within the European Union. The purpose of the European Regulation is to regulate wholesale and retail International Roaming charges for all mobile telephony service providers in the countries of the EU and certain other countries whose rates are regulated by the EU. Cytamobile-Vodafone also successfully applies all the provisions of the Regulation on keeping its customers properly informed. Moreover, the new International Roaming rates are the same for customers of both the Pay Monthly and soeasy pay as you go services, as part of our simple, easy to understand charging policy.

By combining Vodafone’s global knowledge and experience with our own, we are constantly enriching our portfolio of services, developing and providing important, tried and tested services which Vodafone offers in other countries. Today we can offer customers a complete portfolio of voice, content and data products and services designed to support their business ambitions and to improve their quality of life, through a combination of high quality and competitive pricing. During the year our portfolio was further enriched with new and upgraded services:

Business 300 & Business 600 Company Pay Monthly plans exclusively for companies and their personnel:
The plans enable companies to exercise better management of their communications needs and to achieve more effective cost control. With a fixed monthly subscription to one of Cytamobile-Vodafone’s Company Pay Monthly plans, companies can connect five or more mobile phones and receive a significant amount of talk time and text messaging for each mobile phone participating in the plan at special prices. The Business 300 & Business 600 plans come with a connection charge and a monthly subscription.

soeasy pay as you go:
In the context of our continuous effort to provide facilities that will improve the experience of soeasy pay as you go customers, we introduced four new soeasy top-up cards, with a face value of €5, €10, €20 and €35. They replaced the old top-up cards (£5, £10 and £20) as part of the transition to the euro.

At the same time, we gave soeasy pay as you go customers the opportunity to make calls to the audiotex services (900××××× and 909×××××).

Vodafone live!:
We enriched the content and developed new services under the Vodafone live! umbrella. To this end, important new agreements were signed for the provision of sports, entertainment and informative content.

True to our commitment to respond to the communications needs of contemporary society, in summer 2008 we gave our customers access to the fastest Mobile Broadband network in Cyprus, that of Cytamobile-Vodafone, with the main aim of satisfying their increased demands and expectations.

The upgrade of the 3G network to Mobile Broadband (HSDPA) gives our customers the fastest and most reliable wireless Internet access on the market:
• from a computer via the Vodafone Mobile Connect service
• from a mobile phone supporting HSDPA technology.

Our customers can enjoy faster Internet at Mobile Broadband speeds not only in areas covered by Cytamobile-Vodafone’s 3G/HSDPA network but also while abroad in a significant number of countries via networks with which a 3G/GPRS International Roaming agreement is in place. Moreover, with the packages and plans that we offer, Internet access from a computer or mobile phone is more economical.

In the framework of Cyta’s policy of frequently reviewing its rates and charges, we made significant reductions to charges for our services in Cyprus and abroad.

As an integral part of the society in which we operate, we engage in transparent cooperation with those around us. We are committed to continuous development and to the provision of the greatest possible value to those who place their confidence in us: our customers, our associates, our personnel and society as a whole. In 2008 we designed and implemented a dynamic, innovative and important plan which included:

• Advertising and information campaigns for products, services and promotions.
• A dynamic presence in key points of sale and in our Sales Network stores.
• Our participation in exhibitions and events and the optimisation of international and local sponsorships (UEFA Champions League, a concert by Sakis Rouvas, free concerts by Onirama, etc.)
• A range of activities concerning our Corporate Social Responsibility.

Internet
Cytanet, the biggest Internet Service Provider in Cyprus, continued to flourish in 2008, thanks to the constant development of its network and the provision ïf improved services at more attractive rates to home and business customers. With the aim of providing integrated electronic communications solutions with quality, reliability and professional service, as well as promoting greater use of the Internet and the services it provides, we completed the following projects:  
The upgrading of all DSL Access and NetRunner products by doubling download speeds and increasing upload speeds, thereby giving Cytanet customers faster speeds at the same or lower prices.
Significant reductions to the rates for DSL Access and NetRunner broadband products for both home and business customers. At the same time, for three months Cytanet offered free installation of DSL Access Home products.
The introduction of new Internet connection products with speeds up to 4Mbps for home customers and up to 8Mbps for businesses.
The conformance of Cytanet with the Organisation’s renewed corporate identity.
The introduction of Live Streaming, a service that enables sports fans abroad to watch live and recorded Cyprus football matches and other sporting highlights online when these are transmitted by Cytavision. Moreover, a number of selected sporting events broadcast by Cytavision are also available for online viewing in Cyprus.
The expansion of the Cytanet Wireless Zone’s WiFi network with the installation of 28 new Hot Spots and the provision of specialist solutions for specific customer groups.
The provision of special prices for students in Cyprus.

With the aim of constantly improving the quality and reliability of the network and of the services we provide, we further developed the Cytanet network with the installation of a large number of new STM-4 (622Mbps) connections for access to the global Internet, while establishing direct connections with Greek Internet Service Providers for faster access to Greek content. The total global Internet capacity of these connections is in excess of 5Gbps.

Additionally, as a further social contribution and with the aim of making the best and safest use of electronic communications in education, Cytanet continued to offer its Safe Internet service free to all primary schools in Cyprus to protect pupils from illegal and harmful online content. We also continued to organise free seminars on the use and potential of the Internet for primary, secondary and technical school pupils and for Parents’ Associations and other organisations. From 2001 until the end of the 2007-2008 school year, visits were carried out to more than 330 schools and more than 35.500 pupils and teachers attended the presentations.

Through Cytanet presentations at various exhibitions and fairs in Cyprus, our customers had an opportunity to learn about the latest Internet developments and to benefit from various special offers.

During 2008, with the aim of extending broadband use to more areas so as to satisfy our customers’ requirements, we proceeded to further expand our network to semi-urban and rural areas, exceeding 95% population coverage and significantly increasing our customer base.

At the same time, we continued to study the possibility of integrating DSL Access and NetRunner Internet access products in order to enhance the customer experience.

Cytavision Pay TV Platform
Cytavision has an important place in our portfolio of services.

Cytavision offers digital video and audio transmission via a copper telephone line, a modem and a set-top box.

The service uses the DSL and IP Core networks, which have been developed to form the infrastructure for the provision of television services, fast Internet and interactive services through multimedia and other convergence services.

Cytavision is one of our Organisation’s most innovative services. Cyta was one of the first telecommunications organisations in the world to introduce such a service. It offers television channels, video on demand, games on demand, TV mail and an information portal.

The platform has an interactive capacity which currently operates in the provision of content on demand (video, games, TV programmes). In the near future, this interactive feature will be further extended to give customers more services, greater choice and flexibility.

Cytavision has established itself as the most popular multi-channel pay TV platform in Cyprus. Customers have access to more than 40 thematic channels and all Cypriot national channels, they can connect to premium channels for sport, movies and adult content and watch exclusive live transmissions of major sporting events. Also, via the movies on demand service, Cytavision customers have access to hundreds of movies from all the major Hollywood studios.

In 2008, Cytavision improved both its market position and the product it offers since:
• Its subscriber base increased by 20%.
• Ten new channels were added to the Basic Package, including our own Cytavision Nature.
• Customers were given the chance to make use of a second set-top box for the simultaneous viewing of two different channels on two television sets.
• The Navigation Area was upgraded to offer more to customers, including an enhanced electronic programme guide and the ability to watch time-shifted programmes from the Cypriot channels.

Global Products and Services
The following Global Product and Service Portfolios serve the needs of both internal and external customers. External customers comprise for the most part national and international providers, associates and corporate clients.

Wholesale International Telephony Portfolio
The portfolio includes products for termination of outgoing traffic to most fixed and mobile telephony networks worldwide, as well as termination of incoming traffic to all fixed and mobile telephony networks in Cyprus.

CytaWorld.Net Portfolio
The CytaWorld.Net platform is based on the MPLS protocol and has nodes in Lefkosia (Nicosia), Athens and London which are interconnected via an independent submarine cable ring and other international extensions. Via the CytaWorld.Net platform, total end-to-end solutions are provided, including international virtual private networks, international leased line circuit emulation and broadband Internet access.

Cable and Satellite Connections Portfolio
The portfolio includes products for the resale of space segment capacity on various satellite systems, the provision of satellite links and associated co-location services, international television broadcasting and products for the provision, lease, interconnection or access of global cable capacity.

Private Leased Lines and Signalling Portfolio
The portfolio contains products for the provision of international private leased circuits, global Frame Relay and Asynchronous Transfer Mode (ATM) connections, as well as common channel signalling transfer facilities.

Services Portfolio
Specialised and personalised products add value and support to the broad range of international telecommunications products. Services include corporate customer support consultancy services, international telephone traffic statistics and predictions, national media restoration services, freephone services, consultancy services for the administration of submarine cable systems and international roaming facilities for GSM mobile telephony.

National Private Leased Lines
Via the national television broadcasting service, TV stations are able to cover a variety of events with reception and transmission in Cyprus.

The service enables live broadcasts from a venue and the transmission of recorded highlights, by providing part or all of the telecommunications link with the TV station.

Hosting/Co-Location Service
The hosting/co-location service enables third parties to house their equipment on Cyta’s premises.

Where Cyta customers wish to install equipment in areas where they do not own buildings, Cyta is able to host their equipment on its premises, providing at the same time a broad range of telecommunications services.

Ethernet Services
In autumn 2008 we enriched our Business Networking services with the introduction of Ethernet services for high-speed, cost effective solutions. The two new services (E-Line and EVPN) are aimed at business customers for telecommunications traffic transmission (voice, data and image) between two or more points of an enterprise.

The main advantages of the new services over other networking options are their high connection speeds of up to 1Gbps, their lower cost and easier installation. They offer alternative pricing models depending on the combination of three service quality levels (Gold, Silver and Bronze) for data transmission, according to each business customer’s particular requirements. These new services are expected to gradually replace the traditional networking technologies such as leased circuits and the ÁÔÌ and Frame Relay services.

E-Line and EVPN services have Cyta’s new Ethernet/IP network as a common infrastructure. The main characteristics of the network, which was designed in accordance with international specifications and provides wide geographical coverage, are its reliability, security and the ease with which it can be extended and centrally managed. Monitoring by Cyta of all network equipment and the infrastructure guarantees the most efficient operation of end-to-end security mechanisms and consequently, the reliability of the services provided. 

Cardphones and Emergency Telephones
Our Organisation’s cardphones continue to enjoy widespread public use, mainly by tourists and foreign workers. At the end of 2008, a total of 2.145 cardphones were in operation (1.800 in public spaces and 345 in private spaces) for the best possible service to customers. Some 80 of the 1.800 cardphones have been especially adapted for use by people with impaired mobility.

In 2008, the Telecard Collectors Service continued to support collectors in Cyprus and abroad, by issuing special collector’s cards and special informative literature and assisting them to obtain telecards/phonecards from old and new series.

Cyta continued its successful operation of emergency call systems on highways on behalf of the Government. The network of 268 telephones covers all Cyprus’ biggest main roads and highways.

Customer Service
Cyta creates new situations and opportunities for greater development, enhanced prosperity and a better quality of life. Firmly focused on the customer, we are highly adaptable so as to provide the best possible service via updated systems and methods. Through regular market surveys and with the help of specialised systems such as Customer Relationship Management and Next Best Offer, we stay informed and develop an understanding of our customers’ needs and expectations, with the main aim of continuously improving the top quality, personalised service that we provide.

Through our sales network we continue to offer personal service to customers, proposing the most suitable solutions according to their particular needs and budget. The upgrading of the Cytashop network continued in 2008 with the opening of the new Cytashop at Dherynia where, in a comfortable, modern space, customers have the opportunity to try out our services.

Our Corporate Customer Sales Network continues to support special and corporate customers as well as Small and Medium Enterprises with an upgraded personal service. Business clients receive expert advice and personal service from our telecommunications consultants on issues of concern to them. We began the project to expand the sales network by having specialist consultants approach smaller enterprises and self-employed professionals by telephone. Our aim is to provide total solutions which arm them with autonomy and flexibility in their chosen sector. The Sales Network’s aspiration continues to be that of establishing, reinforcing and maintaining mutually beneficial long-term relations with customers: "Close to business and next to the professional in order to touch the world together."

Via the Cyta Call Centre we offer high quality telephone assistance via the islandwide number 132. Customers can obtain information about our products, place orders, report possible faults in their services and receive technical support. Navigation of the Call Centre’s service menu is via the advanced Interactive Voice Response (IVR) system by which customers can easily obtain the complete service they require. In an effort to improve service, in 2008 we increased the number of Call Centre assistants by 15% over the previous year.

The Directory Enquiries Service 11892, operating in a highly competitive environment, remains the leading service of its kind in Cyprus. Through simple and practical facilities it gives customers fast, reliable and inexpensive information relating to directory enquiries.

For technology buffs, we offer 24-hour service via our online portal www.cyta.com.cy. The portal provides easy and instant information on Cyta’s products and services, enables online ordering (of selected products) and purchases of telephones and accessories. Recently we also integrated the ebill service into the portal, enabling customers to obtain billing information and to settle their bills.

We continued to make our products and services available from a large number of stores on our Dealer Network. In 2008, two new chains of stores joined the network. We place special emphasis on enhancing the range of products offered through our Dealer Network, which includes subscriber and prepaid mobile telephony services such as Cytamobile-Vodafone, DSL Access and Cytavision, as well as the opportunity to switch from other mobile telephony service providers to Cyta and keep the same number. Through our associates we also offer top-up talk time for the soeasy pay as you go service and, for better customer service, we signed agreements in 2008 with two new associates especially for this.

Regarding the installation of services ordered via Cyta’s various service channels, our experienced, trained staff visits customers at their premises, providing the necessary equipment and all possible assistance in order to familiarise them with the operation of the services that we provide.

With the aim of raising customer satisfaction and confidence in us, we encourage customers not to hesitate in making any complaint and we promise to respond with the best possible solution as quickly as possible.

With a new design and appearance, the 2008 printed versions of the Yellow Pages, the White Pages, the Business to Business Directory and the Cyprus Visitors’ Guide were published.

All the directories are available online at www.cytayellowpages.com.cy. Featuring a user-friendly interface and with data refreshed daily, the upgraded directory website is a unique information search tool and, at the same time, an effective vehicle via which businesses and professionals can promote their products and services.

Wholesale Products
During 2008 we continued to supply the alternative providers of telecommunications services with high quality wholesale products in a free market environment, in the context of the regulatory framework and in accordance with the regulatory principles of transparency, non-discrimination and cost-orientation.

We managed contracts and offered wholesale products for:
• Interconnection
• Carrier Selection and Pre-selection
• Wholesale Line Rental
• Local Loop Unbundling
• Wholesale Broadband Access
• Wholesale Leased Lines
• Building Co-location
• Antenna System Co-location
• Ducting System Co-location
• Number Portability
• Access to the Cyprus Telephone Directory Database
• National Roaming

For the above agreements and wholesale products, we provide the necessary support to the alternative providers.

In 2008 we revised our reference offers and agreements for wholesale products. We also continued to develop support systems for the provision and management of wholesale products.

Facilities to Third Parties
In 2008 we continued to provide services to the Departments of Civil Aviation, Merchant Shipping, and Meteorology.

Services to the Department of Civil Aviation
Cyta provides technical support (the provision and maintenance of equipment) to the Department of Civil Aviation, which is responsible for the smooth, safe, effective and efficient management of air traffic within the Lefkosia (Nicosia) Flight Information Region (FIR).

The support provided serves the needs of the Department of Civil Aviation and is based on the international standards and recommendations of the International Civil Aviation Organisation (ICAO), and in compliance with the programmes of the European Civil Aviation Organisation EUROCONTROL.

The broad range of support services includes corrective and preventive maintenance to such a standard as to guarantee reliable and high quality communications between air traffic controllers and aircraft, the monitoring of aircraft movements via radar facilities, the retransmission and exchange of aeronautical information and meteorological announcements. The equipment being maintained includes navigational aids such as VOR, DME and DF at Larnaka and Pafos airports.

In the context of harmonisation with the programmes of the European Civil Aviation Organisation EUROCONTROL, implementation of the LEFCO project continued with the installation of equipment in customised premises leased for the purpose. Acceptance testing is due to begin in the first half of 2009. The project foresees the replacement of the existing Air Traffic Control Centre by a state-of-the-art, new generation one which will contribute significantly to the upgrading of the operational capability and the quality of services provided by the Department of Civil Aviation.

Additionally, procedures continued on the replacement of the radar system at Kionia.

Services to the Department of Merchant Shipping
Cyta continued to operate the Cyprus Radio Maritime Station, which serves seafarers and ships at sea.

The main mission of the station is to monitor safety and distress frequencies for ships travelling within the allocated region of the Republic of Cyprus. All relevant messages are transferred to the National Coordination Centre for Search and Rescue for operational handling. In addition, weather reports and other data are transmitted, covering seafarers’ needs for communications of a social and/or other nature.

Services to the Meteorological Service
We continued to provide telecommunications facilities to the Department of Meteorology, including technical support for the operation and maintenance of the Doppler-type meteorological radar system, which enables the study of meteorological phenomena over Cyprus and in the broader Eastern Mediterranean region.

 
 
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