News Release

June 28, 2001

Rate Reduction for FLET'SISDN and

Nippon Telegraph and Telephone East Corporation (NTT East), responding to customer wishes, has announced a new lower rate structure for FLET'SISDN and FLET'SADSL* services, effective Monday, July 16, 2001, and has today issued notification to the Minister of Public Management, Home Affairs, Posts and Telecommunications concerning the change. These services, currently being offered, are always-on, fixed-rate Internet services.
At the same time the company has announced plans for a further expansion of the service areas for the two FLET'S services, making them available to many more customers than before.
* Asymmetric Digital Subscriber Line

1. Lowering of Monthly Use Charges

(1) New rates

New rates

In addition to the above charges, the monthly use charges for ADSL Connection Service are being lowered to 3,000 yen (Type 1 service, shared with telephone line; currently 3,250 yen) and 4,650 yen (Type 2 service, separate line; currently 4,900 yen).
The special rate plan for schools remains unchanged at this time.

Notes: 1. This charge is in addition to the basic monthly connection charge for INS-Net service. Use of the line for other services is subject to the usual INS-Net charges.
2. This charge is in addition to the basic monthly connection charge for analog service. Use of the line for analog telephone services is subject to the usual dialup charges.

* Note that the use of these services requires, in addition to the monthly charges above, payment of contract and installation charges, Internet service provider (ISP) fees, and other such charges.
* There are no changes in contract and installation charges, equipment usage charges, and premises wiring usage charges.
* No new procedures are required by customers currently using these services.

(2) Date of effect

Monday, July 16, 2001

(3) Customer service inquiries

Phone 116 (9:00 a.m. to 5:00 p.m. year around, except at the turn of the year)

Apply from the Web site below:

2. Expansion of Service Provision Areas

The areas in which these services are offered will be expanded to all major cities of the NTT East service area in keeping with demand. The target dates are the second quarter of fiscal 2001 for FLET'SISDN, and by year end for FLET'SADSL.
As a result of the area expansion, both services will become available to approximately 85 percent of customers in the NTT East service area.

3. Applications for FLET'S Services

Applications for FLET'SISDN and FLET'SADSL services have exceeded initial expectations, so much so that customers have been forced to wait lengthy periods for service to begin. NTT East has been taking measures to improve this situation, such as streamlining the procedures and adding more staff, as a result of which new orders are now being processed smoothly.
Further efforts will continue to be made in this direction, with the goal of achieving an average time from application to service start of three weeks in July and around two weeks by September.
The number of applications since the start of service provision is summarized in Attachment 1.

- Attachment 1 Applications and Subscriptions to NTT East FLET'S Services
- (For Reference) Trends in ADSL Use Charges(comparison with the United States)

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