Investment Capital for Internet Hall S/C Ltda.,
an Internet Service Provider in Brazil

1997-001 January 7, 1997



Today, KDD has agreed to provide investment capital of approximately 45 million yen, or 57.1%, to Internet Hall S/C Ltda., an Internet Service Provider (ISP) based in Sao Paulo, Brazil.

Internet Hall S/C Ltda., was established in April 1996 by a group of mainly Japanese Brazilians as the first ISP in Brazil to provide Internet service in the Japanese language.
Since service was started in August 1996, the company has been serving a growing number of businesses related to Japan.

The Internet business in Brazil has just recently started, and Internet Hall S/C Ltda., is one of the pioneering providers to be established.

The capital investment from KDD represents an increase in Internet Hall's capitalization and is made in response to a request by the company for additional investment.

Internet Hall S/C Ltda., plans to use the new capital to expand and diversify its Internet-related services to meet the growing needs of firms in Brazil engaged in business activities with Japan. KDD also hopes to contribute to the globalization of the Internet.

[Reference]

Outline of Internet Hall S/C Ltda.

(1) Company name:Internet Hall S/C Ltda.
(2) Establishment:April 1996
(3) Location:Rua Maria Janoni Novazzi, 12-A-Centro-Poa, Sao Paulo, S.P., Brazil
(4) Capitalization:700,000 Reals (approx. 79 million yen)
(5) Main investors:* KDD (57.1%)
* Universal System Organize Co. LTD., (14.3%)
* Others (28.6%)