Ann: GENERAL: SPK: Spark New Zealand moving ahead in 4G network build

• Release Date: 19/12/14 09:39
• Summary: GENERAL: SPK: Spark New Zealand moving ahead in 4G network build
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					SPK
19/12/2014 09:39
GENERAL
NOT PRICE SENSITIVE
REL: 0939 HRS Spark New Zealand Limited

GENERAL: SPK: Spark New Zealand moving ahead in 4G network build

MARKET RELEASE

19 December 2014

SPARK NEW ZEALAND MOVING AHEAD IN 4G NETWORK BUILD

Spark New Zealand said today it believes it is overtaking its rivals in
respect of 4G mobile data services, after making rapid strides in its network
build over recent months.
Spark New Zealand now has 4G mobile data services available in more than 70
cities, towns and other locations around New Zealand, covering roughly
two-thirds of the population.

"Since we launched 4G just over a year ago, we've frankly been playing
catch-up with our main competitor, who had a head start on us with their 4G
build," said David Havercroft, Chief Operating Officer, Spark Connect.

"We've now closed that gap. Based on our projected build over the next few
months, we're confident that if we're not already in a leadership position in
terms of coverage, we will be any time soon."

Havercroft said he believed the improving quality of 4G services over the
Spark Network was also beginning to leave competitors behind, as the company
rapidly rolls out 4G services throughout New Zealand utilising the 1800MHz
and newly-acquired 700MHz spectrum bands, as well as the introduction of
Carrier Aggregation into Auckland.

"A quality mobile data network is crucial to New Zealand's economic growth,
and as New Zealand's digital services company we are determined to deliver
the best. We are forging a leadership position on 4G and the Spark Network is
only going to keep getting better in the coming months."

Spark New Zealand is also surging ahead when it comes to building 4G coverage
over the 700MHz spectrum band - which is crucial for providing mobile data
coverage in rural areas.

"The lower the radio spectrum frequency, the further its signal travels -
which means in rural areas with low populations the 700MHz spectrum band is
ideal because it can deliver great coverage from fewer cell sites. It will
allow us to bring high-speed mobile broadband coverage to communities where
previously it would have been uneconomic," said Havercroft.

A 700 MHz cell site covers an area four to six times greater, and provides
more effective coverage within buildings, than an equivalent 1800 MHz cell
site delivering 4G services.
Spark New Zealand launched commercial 4G services over 700MHz in August, with
an initial focus in the Waikato region. The 700 MHz rollout will be a key
focus of the company's mobile network improvements through 2015.

Earlier this year, Spark New Zealand invested $158 million - more than double
its competitors - to acquire the maximum amount of 700MHz radio spectrum as
part of a Government auction process.

Havercroft said Spark New Zealand was also investing in new 4G technologies
that will drive improved experiences for mobile customers using the Spark
Network.

"All of our 4G cell sites are 'category 4' capable, which means they can give
speeds up to 50% faster than other 4G cell sites.
"We have also installed a technology called "Carrier Aggregation" on some of
our cell sites in Auckland, with plans to roll it out further over time -
this essentially doubles data speeds, by using two spectrum bands at the same
time."

"It's about future proofing," Havercroft commented. "As our customers upgrade
to newer and more sophisticated devices that can capitalise on these new 4G
technologies - and we know the average high end mobile device owner now
upgrades their device every 18 months or so - they are going to notice a big
improvement in speeds on the Spark Network."

Havercroft said the partnership with global technology company Huawei - which
has more than 70,000 staff worldwide focussed just on research and
development -- was giving the Spark Network a competitive edge. Last month,
Spark New Zealand and Huawei signed a memorandum of understanding to
collaborate further on ways to underpin New Zealand's mobile future.

The demand on New Zealand's mobile networks has accelerated over the past few
years, with around 70% of New Zealanders now owning a data-capable
smartphone.

Spark New Zealand currently provides 3G mobile services to approximately 97%
of populated areas across the country and Havercroft said he expected 4G
coverage would grow over time to similar levels.

- ENDS -

For media queries, please contact:

Richard Llewellyn
Head of Corporate Communications
+64 27 523 2362

For investor relations queries, please contact:

Chante Mueller
Treasury Dealer and Investor Relations Coordinator
+64 27 469 3062
End CA:00259158 For:SPK    Type:GENERAL    Time:2014-12-19 09:39:11