Advance Info Service Plc. (ADVANC) reported that it has successfully negotiated an amendment to the concession contract with the Telephone Organization of Thailand (TOT). Both parties signed the amended contract on September 20, 1996. The highlights are as follows: 1. ADVANC's request, for an extension of the contract for its Cellular Mobile Telephone service under the NMP 900 and GSM network, was approved. The contract, for both systems, will be extended from 20 years to 25 years from the day the business was approved. 2. With prior notification to TOT, ADVANC has the right to invest in constructing any necessary networks for signal intermediary systems. 2.1 ADVANC has the right to make use of the signal intermediary system or any assets that the company constructs free of charge and the TOT may benefit from the surplus of networks or assets. The agreement on the service fee and returns will be made prior to each operation. 2.2 TOT will have to pay for damages or losses incurred by the company as co-manager of the signal intermediary system. 2.3 TOT has no right to sell, transfer, lease, allow usage, or mortgage the network as well as to consent to others to cause damage or increase the maintenance burden of the network. 3. In case TOTs other private entities operate a mobile telephone service, ADVANC will be compensated as agreed upon between the two to be fair to the company. 4. TOT will allot telephone lines for the NMT900 and GSM networks following the system is in line with the technology of the mentioned systems. 5. In case TOT cannot provide a signal intermediary system for lease to ADVANC, the company has the right to rent the system from other agencies. If TOT can provide the system, the company will rent the system from TOT only. 6. ADVANC will proceed with the following issue: 6.1 Beginning from the 21st-25th year, ADVANC will pay a minimum return of either Bt1,460,160,000 per annum or 30% of the income before expenses and taxes, depending on which is higher. 6.2 The calculation of the returns will be based on the income from services. The company's sales promotions will be deducted from the figure and the VAT will not be excluded. The agreement is effective from the contract date. 7. In case of changes in the technology of either TOT's or ADVANC's networks that lead to it being impossible to service the system, ADVANC has the right to adjust its network to be compatable with the new technology. If ADVANC wants to give additional mobile telephone services, it will make an agreement with TOT. 8. If the service is lower than standard due to ADVANC's equipment, the company will be responsible for expenses that incur. If the low quality is not caused by the company's equipment, it will not have to be responsible for the expenses. 9. ADVANC will ask for no charges from producers, importers, and distributors in the activities to facilitate the telephone sets for use under the company's network. 10. TOT allow ADVANC to link its mobile telephone network directly to the international telephone network of the Communications Authority of Thailand (CAT). 11. TOT will give ADVANC all the income for international calls that are made directly from ADVANC's and CAT's networks. 12. This amended contract will not affect previous operations of ADVANC before it is effective. 13. This amended contract takes precedence over the original. The parts that are not covered in this contract will be covered by the main contract.