Third-generation mobile phone licenses may be available by end of the year

The Sejm has decided that the Telecom Ministry must award licenses for third-generation mobile phones (UMTS) this year. This may be due to the fact that zl. 7 billion of revenue from the sale of the licenses has been included in this year's budget, with a further zl. 7 billion expected in 2002 (successful bidders will pay in two installments). All prospective participants in the tender say the ministry wants too much for the licenses. Netia president Meir Srebernik says, "If we get a license, we will have to decide how to finance it and it will certainly not be made by only increasing our debt. We are planning to take part in the tender with our strategic partner and some financial institutions." Other prospective participants in the tender may need to issue shares. This would means that GSM operators would have to list on the Warsaw Stock Exchange (WSE). (Parkiet, July 22-24, page 1, 6) M.M.