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 Company Profile 
 Milestones  
 Financial and Business Overview 
 Chairman's Statement 
 Shareholding Structure 
 Corporate Social Responsibility 
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A sound corporate internal management system is the basis for performing corporate social responsibility. In 2009, the Company further strengthened fundamental management, enhanced refined operation and progressively improved the corporate management mechanism incorporating social responsibility.

Improving communication quality, ensuring communication security

With the objective of "high quality, innovation", the Company succeeded in providing communication support to activities celebrating the 60th anniversary of the founding of the PRC and the 11th National Games to ensure the safe operation of the communication networks, winning recognition and praise from all sectors of the society. The Company also carried out emergency communication repairs under adverse weather conditions to ensure communication in places such as Hulun Buir and Shijiazhuang which were attacked by cold snap and
snowstorms.

The Company did not encounter any major interconnection communication obstacles and accidents throughout the year. The interconnection outgoing call connection rate increased while maintaining stable. The quality of interconnection mutual access improved substantially. Interconnection time delay and the call-drop rate further declined.

Purifying the network environment

To fight against illegal acts such as disseminating erotic and obscene information through the mobile Internet, the Company has adopted a series of rectification measures and joined hands with cooperation partners to provide green and healthy information services to users. The Company has terminated those unregistered and illegal web sites and also the services provided by those WAP service access providers who failed to make any security commitment. As a result, the web site registration rate has reached 99.69%.

Such series of measures have effectively contained the dissemination of obscene, erotic and pulp contents through the mobile Internet. The Company will continue to shoulder its responsibility in various special rectification activities to join hands with all sectors of the society to purify the network environment.

Providing general services for rural areas

The Company has made positive efforts in propelling the "Extension of Phone Coverage to Every Village" project and has provided phone coverage to a total of 4,692 natural villages. The Company has also endeavoured to construct high-quality, highly effective and convenient rural information networks to drive the informationization of villages. In particular, the "three rural service hotline 12316" has addressed the actual problems encountered by farmers in production and life. The "safety and mutual aid" service has addressed the needs of farmers in safety precautions and emergency relief.

Reducing energy consumption

The Company achieved satisfactory results in promoting and improving energy consumption statistical analysis and the energy consumption target performance appraisal system. The Company has undertaken 14 specific tasks such as the procurement of energy saving equipment, the adoption of energy saving designs, the application of energy saving technology and enhancing energy saving promotion. As at the end of 2009, the Company invested energy saving funds representing approximately RMB140 million in total and undertook more than 700 energy saving, consumption reduction and technological reform projects, reducing various energy consumption expenses by approximately RMB220 million.

The Company has been continuously strengthening its energy saving and discharge reduction efforts in the construction of communication projects and has conscientiously fulfilled its corporate social responsibility, thus realizing the double advantages of social benefits and corporate operating costs.

Active participation in social community Activities

In 2009, the Company sponsored the "childhood in snowy land" education activity, drawing attention of the community to the education undertaking and the spiritual growth of children in the western region. The Company also assisted in constructing the "Chunlei Primary School", raised funds for constructing the "Unicom Bridge" in underdeveloped regions; constructed ancillary facilities such as breeding bases and water facilities for impoverished villages and speeded up agricultural production management in poverty-stricken areas, thus facilitating the sustainable development of areas in need of aid. Meanwhile, the Company established "U-Power
Charity Foundation" to offer subsidies to poor university students and paid attention to social and economic development in Tibet as before.

In addition, the Company continued to make positive contribution to the society. The Company offered aids to Guyuan County and Kangbao County of Zhangjiakou City in Hebei Province by providing funds of RMB2.2 million and assisting in 14 projects; offered aids to Kashi region of Xinjiang by making total investments of RMB7 million and assisting in 5 projects; donated RMB10 million to Xinjiang Uygur Autonomous Region "National Unity Mutual Fund" for supporting efforts in promoting ethnic harmony in Xinjiang; donated RMB8 million to areas hit by Typhoon Morakot in Taiwan and provided humanitarian assistance to Taiwan compatriots for disaster relief and post-disaster reconstruction.

In 2010, the Company will further move forward with its corporate social responsibility efforts and strive to create a healthy internal and external environment for the enterprise and promote the sustainable development of the society as a whole.


Updated on 12 April, 2010