OUTREMER TELECOM : Groupe Outremer Telecom: H1 2011 Revenue: ?94.2m (+3.6%)

Regulatory News:

Groupe Outremer Telecom (FR0010425587 - Paris:OMT), the leading alternative telecom operator in the French Overseas Regions (FOR), today publishes its unaudited revenue for its first half to 30^th June 2011.

(In ?m IFRS)		Quarterly revenue1				Half-year revenue
		Q1 2011		Q2 2011		H1 2010		H1 20111		?
Mobile		29.6		30.5		55.2		60.0		+8.8%
% of total revenue		63%		64%		61%		64%
Residential		12.4		12.4		25.4		24.8		-2.3%
% of total revenue		27%		26%		28%		26%
Professional		3.9		4.0		7.3		7.9		+8.4%
% of total revenue		8%		8%		8%		8%
Other		0.8		0.7		3.0		1.4		-52.2%
% of total revenue		2%		1%		3%		2%
Total		46.7		47.5		90.9		94.2		+3.6%

The Group recorded revenue of ?94.2m over the first half of 2011, up 3.6% on the 1^st half of 2010.

Over the 2^nd quarter of 2011, revenue grew by 0.9%, with a substantial discrepancy with activity growing by 8.7% in the French West Indies and French Guiana zone but falling 7.2% in the Indian Ocean zone. In order to revitalise activity in the Indian Ocean zone, and notably on the island of Reunion, the Group has begun to reorganise the line management across this zone and should complete this process before the end of the year.

At 30^th June 2011, the Group had 585,187 subscribers to its offers, 467,052 of them active.

Mobile activity

Mobile activity recorded revenue of ?60.0m over the 1^st half of 2011, a significant increase of 8.8% compared to the 1^st half of 2010 (+6.0% over the 2^nd quarter of 2011), despite the reduction in call termination tariffs.

Mobile activity has continued to increase its relative share of Group revenue, as it represented 64% of total Group revenue over the 1^st half of 2011 versus 61% over the 1^st half of 2010.

In the French West Indies and French Guiana zone, Mobile revenue totalled ?38.9m (+13.5%) over the 1^st half of 2011, whilst in the Indian Ocean zone the figure was ?21.2m (+1.9%).

The number of Mobile subscribers continued to increase, and totalled 440,767 at the end of the half, 331,849 of them active.

At 30^th June 2011, Mobile ARPU (Average Revenue Per User), calculated using the gross base, was ?23.0 in the French West Indies and French Guiana zone and ?19.4 in the Indian Ocean zone.

Residential activity

Residential activity generated revenue of ?24.8m over the 1^st half of 2011, down 2.3% compared to the 1^st half of 2010. This decrease was notably the result of a weaker sales performance in the Indian Ocean zone, where revenue was down 10.6%, whilst revenue in the French West Indies and French Guiana zone increased by 3.3%.

Internet revenue recorded growth of 10.8% whilst, as expected, fixed-phone revenue continued to decrease (-29.3%).

The number of Internet subscribers saw an upturn, driven by the increase in the number of broadband subscribers over the 1^st half of 2011 (+3,133 net active subscribers). At 30^th June 2011, the Group had 67,170 Internet subscribers.

Professional activity

Professional activity continued to grow over the 1^st half of 2011, with revenue increasing by 8.4% to ?7.9m.

On a geographical level, there was a contrasting performance with growth of 15.6% in the French West Indies and French Guiana zone and growth of just 4.7% in the Indian Ocean zone, with a deterioration over the 2^nd quarter with no growth in the Indian Ocean zone.

Having strengthened the sales structure of Residential activity in the Indian Ocean zone, the Group will turn its attention to strengthening the sales organisation of Professional activity during the 2^nd half of 2011.

Other activity

As anticipated, revenue from Other activity, which is non-strategic, continued to decline and totalled ?1.4m over the 1^st half of 2011, with ?0.7m over the 2^nd quarter.

Number of subscribers by segment of activity at 30^th June 2011

At 30^th June 2011, the Group had 585,187 subscribers to its offers, 467,052 of them active.

		Gross base				Active base
		30/06/2011		31/03/2011		30/06/2011		31/03/2011
Mobile		440,767		429,301		331,849		321,687
Fixed		77,250		76,593		71,934		71,228
Internet		67,170		66,822		63,269		61,841
of which: Broadband		57,802		57,290		55,911		54,409
TOTAL		585,187		572,716		467,052		454,756

General description of Outremer Telecom's financial situation and results

Outremer Telecom recorded buoyant growth over the 1^st half of 2011 in the French West Indies and French Guiana zone, which was offset by a downturn in activity in the Indian Ocean zone.

Over the 1^st half of 2011, Outremer Telecom recruited close to 30,000 net new subscribers, a satisfactory performance, which illustrates the pertinence of the Group's positioning in the French Overseas Regions.

The Group is reaffirming its target of generating EBITDA of over ?54m in 2011.

Lastly, the transaction announced on 27^th June 2011, regarding the divestment by Apax and Jean-Michel Hégésippe of all of their Groupe Outremer Telecom shares (52.26% of the Company's share capital) to OMT Invest (controlled by Axa Private Equity), was finalised today, 28^th July 2011.

This operation was carried out after authorisation was granted by the Competition Authority.

About Outremer Telecom

Founded in 1986, Groupe Outremer Telecom has established itself in the French Overseas Regions (Martinique, Guadeloupe, French Guiana, Reunion and Mayotte) as the leading alternative telecom operator able to offer a full range of fixed line, mobile and Internet access services for both residential and business customers. Groupe Outremer Telecom has developed its own telecom network and has a single brand; Only. The group intends to develop the convergence of its various offers, its business customers and pursue its innovative and competitive services.

2011 first-half results will be published on Wednesday 31^st August 2011

¹ Q1 and Q2 2011 data is unaudited

Groupe Outremer Telecom
Vincent Fabre
Chief Financial and Administrative Officer
[e-mail]
or
NewCap.
Financial Communications Agency
Simon-Laurent Zaks / Pierre Laurent
Tel.: [phone]
Fax: [phone]
[e-mail]