In January 2008 we signed a four-year contract with the AAFES to provide wireless internet and VoIP services (transfer rate of 128 kbps upload / 256 kbps download) to US military personnel and eligible civilians residing at the living quarters of Joint Base Balad, Baghdad (market of approximately 50,000 people). To deliver these services, NCMC issued us an exclusive right to use the 2.4 Ghz and the upper 5.7Ghz frequencies on the base. The project is currently under construction; we expect to launch the service by the end of July, 2008.

We will provide service by contracting with IDMI International, the largest ISP in Lebanon, to provide internet services over the network architecture that we designed and installed at Joint Base Balad according to specifications agreed upon in advance with IDMI.. AAFES has contracted with us to provide internet services to military and civilian users for 256/128 Kbps of unlimited bandwidth at a contention ration of 25:1. . The infrastructure we are building at Joint Base Balad will also carry our own VoIP telephony service.

Eventually AAFES plans to offer a customized 'Triple Play' type of services (internet, TV and Voice, both land line and wireless). Under this concept, we would provide all services to AAFES Babtel would provide, install and maintain the network infrastructure. The customers' telephone numbers and email addresses would be portable globally. Any TV services provided would include US programming. Triple Play is to be provided to on-base residents-both in barracks and dorms as well as family housing. Last mile infrastructure is to be provided via copper, coax, or wireless, as needed to reach the customer and is expected to access the fiber optic backbone via our IP network.