Asia's Leading Communications Company

SingTel: Asia’s Leading Communications Company 8th January 2008

Francis Heng Group CFO Forward looking statements - important note

The following presentation contains forward looking statements by the management of Singapore Telecommunications Limited ("SingTel"), relating to financial trends for future periods, compared to the results for previous periods.

Some of the statements contained in this presentation that are not historical facts are statements of future expectations with respect to the financial conditions, results of operations and businesses, and related plans and objectives. Forward looking information is based on management's current views and assumptions including, but not limited to, prevailing economic and market conditions. These statements involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those in the statements as originally made. Such statements are not, and should not be construed as a representation as to future performance of SingTel. In particular, such targets should not be regarded as a forecast or projection of future performance of SingTel. It should be noted that the actual performance of SingTel may vary significantly from such targets.

“S$” means Singapore dollars and "A$" means Australian dollars unless otherwise indicated. Any discrepancies between individual amounts and totals are due to rounding.

2 Agenda

• SingTel Group introduction

• Singapore – SingTel

• Australia – Optus

• Regional Mobile

• SingTel Group investment strategy & capital structure

3 SingTel Group introduction SingTel Group: Asia’s Leading Communications Company

• Largest company in Singapore by revenues, earnings and market capitalisation (~S$64 billion1 on SGX)

• Asia’s largest multi-market mobile operator with operations in emerging & mature markets

• Strong cash flow and track record of high cash returns to shareholders

SingTel • leader in Singapore telco market

Optus • leading challenger in Australia

Regional • driving growth in Asia mobile

5 1. As at 31Dec 2007 SingTel Group: successful transformation

Proportionate revenue Proportionate EBITDA 76% 74% outside Singapore1 outside Singapore2

1% Others 1% Others Australia Australia Regional Mobile 27% 35%30% 43% Regional 48% Mobile

24% 26% Singapore

Singapore

1. Consolidated revenue plus proportionate share of associates – 6 months to Sep 07 2. Consolidated EBITDA plus proportionate share of associates – 6 months to Sep 07 6 SingTel Group: major mobile operator in Asia

SingTel Group’s Asian footprint Total mobile subscribers 158m

30%

CITYCELL ) CAGR: 40% m (

45% s r

21% e b i r

c 158 s b

45% u s

e l i 101 b o 74 M 56 41 30%

100% 'Sep-03 Sep-04 Sep-05 Sep-06 Sep-07 35%

100% 7 Numbers denote ownership status as at Sep 07 SingTel Group: strong track record

Improving returns on invested Sustained profit growth capital

1 l ) Underlying Net Profit After Tax a Returns on Invested Capital t i m p S a $ (

d 18.3% A 3,556 e P t s N

e g v

n 3,295 17.2% i n I y l r n e o

d s 16.2% n 3,060 n r U u t e R

FY05 FY06 FY07 FY05 FY06 FY07

1. Excluding exceptionals and IDA compensation 8 Singapore - SingTel SingTel : leading and shaping the market in Singapore

Revenue composition Integrated telecom operator

Mobile Comms IT & 27% Engineering • No. 1 mobile service provider

13% • No. 1 broadband service provider

• No. 1 national telephone service Data & 14% 29% International provider Internet telephone

8% 9% • Full range of voice, data, Internet and National ICT solutions for corporates Others1 telephone

1H FY08

10 1. Mio TV, maritime & land mobile revenue, lease of satellite transponders, paging services and other misc revenue 10 Mobile: strong growth in new subscribers

Strong market share 1H FY08 mobile subscribers 25%

Mobile subscriber market share 2.1 ) l

i Prepaid subs

m 1.7

Starhub (

SingTel s r 348K

31.9% e b

40.3% i r c s b u s

Postpaid subs e l i

M1 b

o 83K 27.8% M

Sep 07 1H FY07 1H FY08

Key Mobile Drivers: • Postpaid : Stimulate usage of data services • Prepaid : Address growing population and foreign worker segment

11 Data & Internet: enhancing value proposition

Corporate Data: Consumer Broadband: Grow IP and Managed Services Maintain leadership

30 Subscribers market share1 - 1H FY08

25 IP-VPN 34% growth YOY 20 Starhub l i 46%

m 15

$ SingTel S Managed Services & Hosting 54% 10 30% growth YOY 5

0 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 Key Drivers Key Drivers • leverage on SingTel’s extensive • no frill plans for lower speeds coverage, and 37 global offices worldwide • upsell applications from basic Internet to integrated service • deliver data security, scalable bundle (mio) network on cost-effective terms 12 1. Total subscribers data from Infocomm Development Authority of Singapore Fixed line: rejuvenating fixed services

mio mio TV • bundles mobile, broadband, • leverages our leadership in telephony entertainment & telephone services and broadband • transforms the home telephone • maximises value of existing socket into gateway to a world of: infrastructure • communication • provides flexibility and greater value to consumers • infotainment • other possibilities

Number of mio Number of mio TV 42K 1 10K customers1 customers

Capex in first year S$30m DEL market share1 95%

1. As at Sep 2007 13 Australia - Optus Optus : leading challenger in Australia

Revenue composition1 Only integrated scale challenger

Consumer & Strong overall position SMB Fixed • No. 2 national mobile service provider No.1 in metro – opportunity in regional 21% • No. 2 fixed line / broadband service provider 24% Accelerating fixed on–net share to improve Business & Mobile scale & profitability 55% Wholesale Fixed • No. 2 in Corporate market Gaining share in rapidly growing Data & IP- VPN segment, expansion of ICT & managed 1H FY08 services

• No.1 Satellite provider Two of three new D-series now in orbit

1. Excluding inter-divisional elimination 15 Optus Mobile: build on and exploit mobile scale

Mobile subscriber market share1 Disruptive product offerings • Optus strong no 2 position

Hutch, 7% • stimulate mobile usage

Voda, - ‘yes time’ 18% Telstra, - Capped plans 43% • launch of Australia’s first fixed telephony & broadband bundled product - over 3G network • re-launching Optus Wireless Broadband plans - to capture the fast growing wireless broadband Optus, 33% market

Drivers • Continue to exploit incumbent’s dilemma with disruptive offerings • Extending 3G HSPA network to cover 96% of Australia population (by end 2008)

1. JPMorgan Australian Mobile market report 10th Sep 07 16 Optus Fixed: On net expansion to improve scale and profitability

1 Broadband subscriber market share Attack incumbent’s fixed profit pool • Optus strong No 2 position

EBITDA FY06/07 Others, 100% Optus & others 24% Optus & 80% others AAPT/ Telstra, 60% Powertel, 47% 4% 40% Telstra Primus, 3% 20% Telstra iiNet, 4% Optus, 0% 18% Mobile Fixed Voice & Data

Drivers • On-net expansion to improve scale and profitability • Leverage new products and new technologies - “disruptive” products •Innovative fixed line “caps” – Australia’s 1st home phone and broadband cap (Fusion) •compete vigorously in Australia’s fast growing wireless broadband market

17 1. JPMorgan Australian Broadband market report 5th Sep 07 Regional Mobile Regional Mobile: world’s fastest growing mobile markets

Sept 2007 PBTL

Country India Bangladesh Indonesia Pakistan Philippines Thailand Effective stake (%) 30.5% 45.0% 35.0% 30.0% 44.5% 21.4% Market #1 #5 #1 #4 #2 #1 position Market 23% 4% 53% 17% 38% 48% share (%) 77%

55% 44% 35% 23% Mobile 18% penetration Mobile subs 48.9m 1.3m 44.5m 11.9m 19.2m 23.2m & y-o-y (+81%) (+75%) (+37%) (+100%) (+33%) (+31%) growth (%)

19 Regional Mobile: increasing earnings & dividends

Net profits1 26% Dividends as % of profits2 55%

2nd instalment of Telkomsel’s FY2006 final dividends expected in Dec 2007 quarter 713 910 ) m

$ Telkomsel 497 S 722 ( 3

) Telkomsel x a m t

$ r S e ( t

f s a

d s n t

i Bharti f e o d

r AIS i v p i

t D e AIS

N Globe Globe

H1 FY07 H1 FY08 H1 FY07 H1 FY08

1. YoY comparison between H1 FY08 and H1 FY07, excluding exceptionals 2. Based on share of regional mobile post tax earnings for 6 months to Sep 07 20 3. Net of withholding taxes SingTel Group investment strategy & capital structure SingTel Group: investment strategy

Case study: Investment strategy Warid Telecom Pakistan

Focus in Asia while exploring new markets Country • Up stake in existing associates Pakistan has large population • Assess large under-penetrated markets  base of over 160m and low cellular penetration

Long term, pragmatic approach Strong partner • Strong partner Abu Dhabi Group is one of the • Governance rights & board rep  largest foreign investor in Pakistan • Shareholder agreements

Add value Add value • Strategic telco partner Synergistic partnership leveraging • Cross-sharing of ideas  on SingTel’s expertise in emerging • Procurement & other synergies markets

22 SingTel Group: high cash returns to shareholders

Interim dividend up 52%2 5.6¢ Capital structure1 • 50% payout ratio

28% To be paid in Jan 2008 Net gearing ) n b $ S (

t Net debt:EBITDA 1.2x u

o 2.3 y 3.0 1.5 a p

r e d l 1.9 0.8 EBITDA:net interest o 1.2 h 1.1 22x e expense r

a 1.7 h

S 1.3 1.0 1.0 1.1 0.8 0.9 0.7 0.9

2000 2001 2002 2003 2004 2005 2006 2007 2008 S&P’s Moody’s A+ Aa2 rating rating

1. As at Sep 2007 2. Compared to the net interim dividend of 3.69 cents per share last year (4.5 cents less tax at 18%) 23 SingTel Asia’s Leading Communications Company