Press Release Back Number(2006)

Transfer of certain telecommunications cable equipment operations and associated areas of operations (fiber-optic cable leasing and FTTH operations)

January 5, 2006
Chubu Electric Power Co., Inc.
Chubu Telecommunications Co., Inc.

Chubu Electric Power Co., Inc. (headquarters: Higashi-ku, Nagoya; President: Fumio Kawaguchi) has spun off and transferred some of its telecommunications cable equipment and associated operations, including fiber-optic cable leasing and fiber-to-the-home (FTTH, marketed under the brand name of commuf@) areas, to Chubu Telecommunications Co., Inc. (CTC; headquarters: Naka-ku, Nagoya; President: Tadashi Morimoto), as outlined below.


1.Overview of the transfer

Seeking to aggressively develop the telecommunications operations of the overall Chubu Electric Group by improving business efficiency and strategically applying management resources, Chubu Electric Power has spun off and transferred part of its telecommunications cable equipment and associated maintenance operations, as well as other related operations (including fiber-optic cable leasing and FTTH operations), to CTC, as of January 1, 2006.

As part of this transfer, Chubu Electric Power and CTC registered this alteration on January 4.


2.Future efforts

Chubu Electric Power plans to sustain efforts to ensure a stable supply of electricity and to improve business efficiency through stable and long-term use of CTC's telecommunications cable equipment for electric power operations.

As a member of the Chubu Electric group, CTC will undertake maintenance and other operations associated with the transferred telecommunications cable equipment and help develop electric power operations.

As of January 1, 2006, the area covered by the ultra-high-speed Internet service provided via fiber-optic cables (the FTTH operations), previously provided within Nagoya City by CTC, expanded to encompass Okazaki City, Ichinomiya City, Kasugai City, and Nisshin City in Aichi prefecture, and Gifu City in Gifu prefecture. We plan to expand this service gradually to cover an even wider region.