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ZTE Clinches USD378 Million GSM/UMTS Contract in South Africa’s Cell C

Shenzhen, China, 26 January 2009

ZTE Corporation, (“ZTE”) (H share stock code: 0763.HK / A share stock code: 000063.SZ), a leading global provider of telecommunications equipment and network solutions, announced today that the Company, together with its subsidiary ZTE Corporation South Africa (PTY) Limited have entered into the Network Supply Agreement and the Managed Services Agreement (the “Agreements”) with Cell C (PTY) LTD., the mobile telecom operator in South Africa, and its controlling shareholder, OGER TELECOM (SOUTH AFRICA) (PTY) Limited.

Following the Agreements, the Company will supply GSM/UMTS network turn-key solutions and operations services to Cell C (PTY) LTD. at an aggregate sum of USD378 million. The Agreements specify product sales and engineering services in relation to the daily operations. Prior to today’s announcement, the Agreements have already begun to be executed by authorized representatives from both parties.

South Africa is the richest country in Africa with 48,000, 000 population. Its GDP per capita in 2008 was about USD 5500. Cell C (PTY) LTD. is the first in operating GSM 900M/1800M dual mode network in South Africa.

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