and this is $2 million..for the first year only...watch from...

and this is $2 million..for the first year only...watch from next year on..


PRESS RELEASE: Sydney June 3:

QUADTEL SIGNS EXCLUSIVE BROADBAND SUPPLY CONTRACT WITH OZEMAIL

Listed Broadband specialist Quadtel Limited (ASX:QTL) announced today it had landed the plum ADSL supply and logistical support contract for Australia's second largest ISP Ozemail's Broadband rollout. (see today's ASX Announcement below).

MEDIA CONTACTS: Rodney Orrock Quadtel CEO 02 9899 5888 or Terry Quinn New Media Strategies 0439 710 418

The contract to supply thousands of ADSL modems, associated logistics and support services is anticipated to be worth at least $2 Million in the first year but expected to increase dramatically in value as Ozemail's consumer broadband use grows.

The strategically important deal consolidates Quadtel's position as the leading broadband supplier in the region and follows several recently announced contracts with iPrimus, Flow Communications, Motorola Cable Modems, the retail launch of "Broadband in a Box" with Harvey Norman - and a Mainland China agreement to supply up to 200,000 businesses with broadband products via the Ningho GWT Network in which Quadtel has acquired a 7.5% equity.

"I think you can say that Quadtel is on something of a roll," CEO Rodney Orrock said today."We are very excited about the future of Ozemail Broadband and we are certain they will be at least as successful in Broadband as they have been in narrowband ISP where they have more than 600,000 subscribers," he said.

"The more successful they are - the more successful we are," he said. "And we intend to help them be very successful indeed."


ASX ANNOUNCEMENT: Sydney, June 3, 2002

QUADTEL SIGNS EXCLUSIVE BROADBAND SUPPLY CONTRACT WITH OZEMAIL

The Major ADSL Modem Supply Coup will be worth "in excess of $2 Million in first year" according to Quadtel CEO.

Quadtel Limited (ASX: QTL) today announced that they have signed an exclusive supply contract with OzEmail Pty Ltd.

The deal will support OzEmail, Australia’s second largest ISP with over 600,000 subscribers, as they launch OzEdsl.

The contract is to supply ADSL modems and associated logistics and support services. "We believe the contract will be worth in excess of $2 Million to Quadtel in the initial 12-month period," CEO Rodney Orrock said in Sydney today.

"Winning this OzEmail contract cements our position as Australia’s leading supplier of ADSL equipment to ISPs. While the revenue will be a welcome addition to our business, it also an endorsement of our corporate strategy from one of Australia’s leading brand names" Mr. Orrock, said.

"Quadtel is very excited about the future of OzEdsl, and we are confident OzEmail will be at least as successful in Broadband as they have been as a narrowband ISP to date," he said.

Orrock said that while the initial contract period was for 12 months, the relationship would automatically continue past this period unless one of the parties decides to withdraw.

"Both sides have entered into what we both feel will be a long term and mutually rewarding association, he said.

If the contract does continue as expected, the year to year value of the contract is projected to increase significantly as the OzEdsl subscriber base expands.

Justin Milne, OzEmail CEO, said today that Quadtel was a great choice of distributor to handle the ADSL modem supply and installation component of OzEmail’s new broadband offering – "OzEdsl".

"They are a proven distribution organisation with a solid track record in servicing ISPs, so we are confident that they are the right partners to assist our successful entry to the ADSL market," he said. "One of the key reasons OzEmail selected Quadtel was their direct subscriber logistics capability," Milne said.

"The OzEmail contract will send a strong signal to the market that Quadtel’s original business strategy is well on track and even ahead of schedule," Quadtel Chairman David Ramsay said today.

"With the Broadband market obviously heating up and our retail distribution capacity in place through our fully owned subsidiary Marketing Results, we are in a prime position to add significant value to our ISP customers. Coupled with the recent Motorola contract for cable modems and our developments in China as highlighted in the most recent China update, Quadtel is definitely performing ahead of our projections," Ramsay said.

For further information contact Denis Orrock (02) 8852 4600

About Quadtel Limited

Sydney-based Quadtel Limited is a leading distributor of broadband products and services to the corporate, government and SME sectors. Through the company’s fully owned subsidiary Marketing Results Pty Ltd, Quadtel is also Australia’s premier distributor of home and business technology products to the retail and mass merchandise markets. With a focus on best-of-breed product lines, Quadtel has formed enduring distribution relationships with many of the world’s leading technology vendors including Symantec, Alcatel, D-Link, Australian Windows Publishing, Network Associates, Intuit, Scan-Soft, ACCO, PowerQuest, Castlewood Systems and Maxtor.

Quadtel is listed on the Australian Stock Exchange (ASX: QTL) and the Canadian Venture Exchange (CDNX: QTL) and has offices in Australia, Singapore, Malaysia and Canada. For further information visit www.quadtel.com or phone Quadtel’s head office on +61 2 9899 5888.

About Ozemail

OzEmail, Australia's Favourite Internet Service Provider, has been providing a reliable, secure and private service to all Australians for ten years. OzEmail continuously strives to provide outstanding customer support, secure e-commerce platforms and compelling online content.

Repeatedly voted Best Overall ISP, OzEmail is well recognised by the Australian Internet and Telecommunications Industry as a deservedly high profile, award winning Internet Service Provider. This is a result of a dedicated commitment to offering a comprehensive range of value-added benefits for Australians to easily access and understand the full potential of the Internet, and the provision of a robust network, designed to ensure reliability, flexibility and high-speed connectivity.

The first Australian high tech company to list on the NASDAQ, OzEmail has built a strong brand identity, successfully positioned as a leader in Internet services and technologies.

Known as a market leader for having a strong customer focus and using innovative technologies, OzEmail has experienced phenomenal growth in the last decade.

Contact:
Denis Orrock
Quadtel Limited
Ph +61 2 8852 4600
[email protected]