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UPC: Some clients can no longer afford cable TV even at 18 RON per month

09.05.2010, 23:05 8

Residents of smaller cities, which are experiencing a steepslide in purchasing power amid rising unemployment, have startedslashing inclusively expenses related to services seen asindispensable, such as TV ones, say the officials of UPC, a companythat in the first quarter lost 31,900 clients on the segment ofcable TV. The company ranking second on the TV market cut tariffsseveral times, coming to be, in some cases, by cumulating somepromotions, cheaper than the most aggressive operator on themarket, RCS&RDS. However, some clients can no longer affordeven a monthly subscription of 18 RON per month for analogue TV,says Severina Pascu, chief financial officer of UPC Romania. On theother hand, the number of clients on the segment of digitaltelevision rose by almost 100,000 to 245,600 from last year and thecompany further increased its client base on the segment ofInternet services and satellite television. The higher number ofclients for more expensive services helped the company keep its RONrevenues at the level of last year despite tariff cuts and feweranalogue TV clients.

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