9 January 2008 - Gateway Broadcast Services, an unrestricted subsidiary of Gateway Telecommunications, has raised $60 million to accelerate the roll out of its pan African pay-TV service, GTV.

GTV is Africa’s first widely accessible pay-TV service, providing a choice of high quality television programming at an affordable subscription price. The GTV service includes exclusive coverage of some of Africa’s most desirable programming including the English Premier League and the FA cup.

Gateway is experiencing strong demand for the GTV service and having launched in June 2007, the company has sold more than 50,000 decoders and GTV is now available in 12 countries across Africa. This further investment in GTV will allow Gateway to accelerate the roll out of the service, with a view to expanding its footprint to over 30 countries during 2008, while maintaining a fully funded business plan.

The $60 million PIK loan agreement has been entered into with GoldenTree Asset Management, one of the world’s leading relative value investment funds, as the sole lender and follows on from the successful fund raising of $40 million in May 2007.

Julian McIntyre, Managing Director of Gateway Broadcasting Services commented,

"From a standing start 6 months ago, GTV has shown tremendous growth, selling more than 50,000 decoders across 12 countries. We are delighted to be in a position to be able to capitalise on the continued demand for accessible pay-TV in Africa, with geographic expansion into 18 more countries, improved routes to market and an exciting content offering."

ENQUIRIES

About GTV - www.gtv.tv

Africa represents the least penetrated pay-TV region in the world with less than 1% of television-owning households in sub-Saharan Africa currently subscribing to pay-TV services, compared to 15% in Eastern Europe, 36% in Western Europe and 93% in North America. However, with over 46 million TV sets and growing at well over 10% per annum, Africa represents a large and rapidly growing market for subscription television which Gateway’s own independently commissioned research estimates will grow to over $3bn by 2015.

GTV is a dynamic new Pan-African pay-TV service delivering choice, quality and innovation to a new breed of TV viewer. With a balanced and exciting choice of premium content, GTV is redefining pay-TV in Africa by offering it at a price point accessible to the ordinary African. GTV is committed to supporting local content as well as offering major international programming ideal for the whole family.

GTV carries both major international channels as well as a number of in-house channels, including “G Prime”, a general entertainment and movie channel, and “G Sports 1”, “G Sports 2” and “G Xtra” The G Sports channels focus on live sporting events, including the major European football leagues.

The direct-to-home, satellite-based service will deliver the highest quality digital reception across the continent. An advanced and efficient delivery platform will substantially reduce the cost and ease of set-up for customers. GTV is delivered across Gateway Communications’ satellite infrastructure.

GTV is already available in Kenya, Uganda, Tanzania, Botswana, Rwanda, Mauritius, Malawi, Zambia, Ghana, Namibia, Ethiopia and Sierra Leone and is currently proceeding with a phased roll-out across sub-Saharan Africa.