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Freenet Meets Annual Target In First Three Weeks

MEDIACOM-RELEASE-COMPASS-COMMUNICATIONS

FREENET MEETS ANNUAL TARGET IN FIRST THREE WEEKS

Freenet, New Zealand's first free ISP has reached its first year target for customers in just three weeks. "We have just topped 10,000 customers and they are still signing on at a phenomenal rate", says freenet general manager Julio Coelho. "We are absolutely amazed at the response. To support the demand we have already purchased extra equipment and we have received excellent feedback that our system is maintaining better service levels than that of rival ISP's - but its free."

Freenet, a fully owned subsidiary of Compass Communications Ltd, has just brought Hamilton, Rotorua, Tauranga and Whangarei on line with Dunedin going on- line shortly. "We will also be launching another new product next week," says Julio Coelho, "but we want to tell our customers about it first - naturally it will be a totally free service."

Freenet's introductory offer of "no-strings free access" concludes at the end of May, when customers automatically transfer to 10 hours free access per month, with the option of paying $1.50 per hour for usage after that or a flat rate of $19.95. "We are not at all concerned about retaining customers", says Julio Coelho. "All our figures back the research we have received that nearly 60% of Internet users are only on-line for 10 hours or less per month. We are still offering a more than competitive service for those whose usage extends beyond that, with a number of other free services still to be rolled out before the end of May."


ENDS....

MEDIA RELEASE FROM COMPASS COMMUNICATIONS

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