Saunalahti Group Oyj


The group?s revenue in 2005 totalled EUR 225 (161) million. The group had 257 (263) employees at the end of the year. Elisa Corporation owned 97.4 per cent of Saunalahti Group Oyj shares at the end of 2005. Saunalahti has been consolidated in the Elisa Corporation as of 1 December 2005.

Saunalahti

Saunalahti is an Internet and telecom operator that offers services to consumers and small companies. Saunalahti produces and markets its services in a cost-efficient manner. Thus the price/quality ratio of our services is competitive from the customer?s perspective. Saunalahti quickly responds to changes on the market and has rapidly introduced new products in line with its strategy on the market. The group?s main distribution channel is the Internet, which is augmented by telephone services and a cost-effective retailer network.

Saunalahti?s business operations are divided into four product lines: Internet services, GSM services, telecom services, and domain and hosting services. Saunalahti?s core business is supported by functions such as Marketing, Helpdesk, Sales and Customer Service.

Towards the end of 2004 the group initiated a reform, which resulted in a transition from the previous service operator model to the Mobile Virtual Network Operator (MVNO) model by the end of the first quarter in 2005. With the reform Saunalahti significantly improved its capacity to respond to the price competition and develop its own products. In 2005 the group launched a number of additional GSM services, including 3G video call, push-to-talk (Pikayhteys), navigation service (Kartturi) and ring back tones (Tunnari).

EUnet Finland

EUnet Finland is a business unit of Saunalahti Group Oyj, which provides high-quality data communications and telecommunications solutions for mid-sized and large enterprises and organisations. EUnet?s services include high-quality Internet connections, private network solutions for voice and data communications, data centre and hosting services, comprehensive voice solutions from mobile calls to landline subscriptions, and data security services built on a high level of expertise. EUnet ensures the high quality of its services with Service Level Agreements that specify strict criteria for the availability of connections and services supplied by EUnet.

In 2005, EUnet further reinforced its market share as a supplier of corporate network solutions. For example, EUnet has supplied networks to a significant number of Finnish fuel distribution stations. Other important customer groups in the private network services business include companies that offer expert services, IT companies and the financial sector.

The price competition in Internet connections remains fierce and demand is focusing on connections offering a higher capacity. In voice services the demand is shifting from traditional switchboard solutions to IP-based and wholly mobile solutions. Year 2006 seems set to become the breakthrough year for VoIP calls and wireless switchboard solutions.