iesy Repository GmbH - Irish Stock Exchange

Lease of space for
broadband cable
technology
Term Sheet Service Duration
Energy for broadband
Equipment
Lease of space of
DTAG’s premises
which are used for
broadband equipment
such as transmission
equipment, satellite
receivers, antennas,
AMTV directive radio
technology and other
equipment.
Purchase of electrical
power from DTAG
required for the
operation of our
network equipment.
Unlimited The aggregate amount
was €3.3 million for the
year ended December
With respect to
installations not
rented under Term
Sheet 4: unlimited;
with respect to
installations rented
under Term Sheet 4:
the term follows the
term of Term Sheet
4.
164
Approximate annual
cost (based on 2003
figures, unless
otherwise stated) Termination rights
31, 2004; fixed fee until
December 31, 2004;
after an adjustment on
the basis of a mutual
review of the leased
areas actually in use, no
longer a fixed fee, but
remuneration equals the
payments made by
DTAG to its landlord
plus a handling fee of
5%. As of January
2003, antenna space is
charged at 85% of the
amount DTAG pays to
a third party. This will
be taken into
consideration in the
mutual review.
€2.2 million per
calendar year for the
years 2003 and 2004;
fixed fee until
December 31, 2004;
after an adjustment on
the basis of a mutual
review of the energy
installations actually in
use, no longer a fixed
fee, but remuneration
equals the payments
made by DTAG to its
supplier plus a handling
fee of 5%.
iesy can terminate the
Term Sheet upon 24
months notice to the end
of a calendar year. iesy
can also terminate the
Term Sheet partially for
certain locations upon 24
months notice to the end
of each calendar month.
DTAG cannot terminate
the Term Sheet unless for
good cause (wichtiger
Grund). DTAG can cease
to operate the premises
but only to a limited
extent and only upon a
notice period of 12 to 18
months.
The termination of the
rental of the spaces for
network equipment
automatically terminates
the corresponding power
supply; any separate
termination of power
supply for installation
rented under Term Sheet
4 is prohibited. For
power supply to other
installations, iesy can
terminate upon six
months notice to the end
of a calendar month (also
partially for individual
locations upon six
months notice period)
and DTAG can terminate
upon 24 months notice to
the end of a calendar
month.
Under the SLAs, iesy leased the Diamant fiber optical transmission system, serving 56.2% of iesy’s total subscribers in
Frankfurt and southern Hesse. Furthermore, iesy operated AMTV radio links and for this operation leased space and
purchased energy from DTAG under the SLAs.
iesy is replacing both technologies with newer technology, which should allow an easier upgrade to a capacity of 630
MHz and which should also allow iesy to reduce operating costs. As a consequence in October 2004, iesy gave notice to
DTAG to partially terminate Term Sheet 4 (Lease of spaces for broadband cable technology) and Term Sheet 5 (Energy for
broadband equipment) in respect of several microwave (AMTV) stations located in DTAG locations and towers. In
December 2004, iesy cancelled the remainder of the microwave stations and several receiving stations which will be replaced