Vodafone Continues Focus On Higher Value Customers

4 October 2001

Vodafone Continues Focus On Higher Value Customers

Vodafone Group Plc ("Vodafone”) today announces an increase of 2.5 million in its worldwide proportionate registered customer base during the quarter ended September 2001. Overall, 2.6 million proportionate registered customers were gained during the quarter offset by a reduction of 0.1 million due to the increased stake in Japan outweighed by the disposal of the stake held in Korea. Vodafone’s worldwide total proportionate base is now over 95.6 million registered customers. The venture base is now over 210 million registered customers.

In the Northern Europe, Middle East and Africa region, over 0.7 million proportionate customers were added during the period. The total proportionate customer base is now 24.9 million. The UK recorded a total of 251,000 new customers bringing the total UK base to 12.8 million customers. Contract net additions in the UK were more than 100,000 above the previous quarter, continuing the focus on higher value customers. The total contract base in the UK is now over 4.6 million customers.

The Central Europe region recorded proportionate net additions of 252,000 in the quarter bringing the total base to 23.5 million proportionate customers. D2 Vodafone added 147,000 proportionate net customers in the quarter resulting in a total proportionate customer base of 21.8 million. Contract net additions represented 73% of the total compared to 28% last quarter.

Proportionate net additions of over 0.7 million were added in the Southern Europe region in the period, resulting in a proportionate customer base of over 22.8 million. Omnitel Vodafone recorded a total of over 0.3 million new customers bringing the total proportionate base to over 12.7 million customers.

The total proportionate customer base in the Americas and Asia region increased to 21.4 million, having added over 0.8 million proportionate new customers. In the US, Verizon Wireless added over 0.3 million proportionate new customers bringing the total proportionate base to 12.7 million customers. The proportionate customer base increased by over 0.6 million in Japan, including 0.3 million from stake increases that occurred in the period. The 11.7% stake in the Korean operator Shinsegi was sold during the quarter and Vodafone’s proportionate share of the customer base has been eliminated from the Group total.

Sir Christopher Gent, Chief Executive of Vodafone said; “The anticipated churn from prepay growth last year in the UK and Germany was not as high as we expected and we have therefore come through this quarter in a better position and on track to achieve 20% customer growth this year. The mix of new customers continues to improve as we have moved our strategy from increasing customer numbers to a more targeted approach, focusing on the highest revenue and profit contributors.”

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For further information contact:
Vodafone Group Plc
Tim Brown, Group Corporate Affairs Director
Melissa Stimpson, Head of Group Investor Relations
Darren Jones, Senior Investor Relations Manager
Jon Earl, Investor Relations Manager
Tel: +44 (0) 1635 673310

Tavistock Communications
Lulu Bridges
John West
Tel: +44 (0) 20 7600 2288

NOTES TO EDITORS:

1. With effect from the quarter ended 31 December 2001, Vodafone will no longer announce registered customer numbers in the first week following completion of the quarter. These numbers will be included in the KPI release at the end of the month following completion of the quarter.

2001/131 - Page 3

VODAFONE GROUP PLC

1 JULY 2001 TO 30 SEPTEMBER 2001 QUARTERLY PROPORTIONATE NET CUSTOMER ADDITIONS

OPERATOR CUSTOMER BASE AT START OF PERIOD
(thousands) NET ADDITIONS
IN THE PERIOD
(thousands) NET CHANGES THROUGH STAKE INCREASES AND DISPOSALS (thousands) CUSTOMER BASE AT END OF PERIOD
(thousands)
NORTHERN EUROPE, MIDDLE
EAST AND AFRICA
UK 12,548 251 12,799
Middle East and Africa 2,515 208 2,723
Others 9,088 254 9,342
TOTAL 24,151 713 24,864

CENTRAL EUROPE
D2 Vodafone 21,640 147 21,787
Others 1,562 105 1,667
TOTAL 23,202 252 23,454

SOUTHERN EUROPE
Omnitel Vodafone 12,400 338 12,738
Others 9,685 392 10,077
TOTAL 22,085 730 22,815

AMERICAS AND ASIA
Verizon Wireless 12,330 328 12,658
J-Phone 6,092 352 282 6,726
Others 2,191 147 (345) 1,993
TOTAL 20,613 827 (63) 21,377

PACIFIC 3,052 52 3,104

GROUP TOTAL 93,103 2,574 (63) 95,614

Represents the disposal of 11.7% interest in Shinsegi in Korea which closed in August 2001

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