Dear Sir,

RE: PROVISION OF A DEDICATED INTERNET CONNECTION.

With reference to your request for quotation for a dedicated Internet connection, we hereby submit our Proposal for the same.

We hope to give your organization an unparalleled level of service and look forward to a partnership that will be beneficial to both parties and assure you of our best services at all times.

Access Group offers a fully redundant Fiber and wireless Network and we can offer Inter-branch (MPLS WAN), Point 2 Points (P2P), Offsite Backup, Server Collocation and Dedicated Internet connectivity Solutions with a guarantee SLA of 99.8% plus 24/7 support services.

In this regards, we hereby submit our internet proposal.

We hope to give your organization an unparalleled level of service and look forward to a partnership that will be beneficial to both parties and assure you of our best services at all times.

Yours sincerely,

Allan Onacha Business Sales Consultant –Public Relation Access Kenya Group Cell: +254 725774759 [email protected]

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Table of Contents

Company Profile ...... 3 AccessKenya Network ...... 3 Your Requirements ...... 5 AccessKenya’s Proposed Solution ...... 5 Financial Summary ...... 7 Payment Contractual Terms ...... 8

Company Profile Today, AccessKenya Group is the leading Corporate ISP in Kenya providing services to clients in all sectors of the economy with independent research indicating that we control 40% of the Corporate Leased Line market and are the clear market leader. AccessKenya became the only ICT Company to be listed on the Nairobi Stock Exchange (NSE) listing on 4th June 2007

More information on the company is available on request or a copy of our Prospectus can be downloaded from our website www.accesskenya.com

Board of Directors Daniel Ndonye - Chairman of the Board Daniel Ndonye brings to the board vast experience from his tenures having worked with Deloitte East Africa for 20 years, ten of which he served as the Managing/Senior Partner until his retirement in May 2010. During this period he devoted almost all his time to serving clients especially in audit. He is an alumnus of the Alliance High School and University of Nairobi. He is also a Fellow of the Institute of Chartered Accountants in England and Wales. Daniel has held various positions including: Chair of the Institute of Certified Public Accountants of Kenya (ICPAK); the Chair of the Board of Trustees, Kenya Wildlife Service (KWS); Director, Agricultural Finance Corporation (AFC); Chair, Disclosure & Standards Committee of the Capital Markets Authority (CMA); Chair, Registration of Accountants Board; Chair, Syllabuses and Implementation Sub-Committee of the Kenya Accountants and Secretaries National Examination Board (KASNEB) as well as a Member of the Examinations Committee of KASNEB; Chief Examiner (Final) Part III Certified Public Accountants (CPA).

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EXECUTIVE DIRECTORS Jonathan Somen - Co-Founder and Managing Director Jonathan graduated with a degree in Economics and Accounting from Bristol University. He commenced his career in Kenya where he joined Kilimanjaro Mineral Water Ltd as Chief Operating Officer. He later joined the Telecommunications Sector where he worked for a number of companies including Primus Telecommunications Inc. In 1995 he started up Communications Solutions Ltd (Commsol) and thereafter in the year 2000, launched AccessKenya. He has been responsible for the strategic growth, direction and of the company since its inception.

David Somen - Co-Founder and Executive Director With a Law Degree from Oxford University followed by an MBA from Harvard Business School and several years work experience in London and Hong Kong for McKinsey & Co.. He was the Chief Executive Officer of the LCR Telecom Group. David subsequently became Managing Director of PRIMUS Europe. He is currently the Managing Director of Virtual IT, an IT services business in the UK and divides his time between Virtual IT and AccessKenya. David is responsible for working with Jonathan on the strategic direction of the company.

NON-EXECUTIVE DIRECTORS

Titus Naikuni - Director

Titus is Kenya Airways' Group Managing Director & Chief Executive Officer. He holds a Bachelor of Science Degree (Honours) in Mechanical Engineering from the University of Nairobi. He is also a graduate of Harvard Business School's Management Development Programme (PMD71) and was awarded a Doctor of Science in Engineering from the Jomo Kenyatta University of Agriculture and Technology - an honorary award in recognition to his contribution in development. He joined the Magadi Soda Company in 1979 as a trainee engineer and rose to the positions of Managing Director of that company in 1995 and Managing Director of the Magadi Railway Company (a subsidiary of Magadi Soda Company) in 1996. He is currently a board member of Maersk Kenya Ltd, AccessKenya Group Ltd, CFC Bank Kenya Ltd, Deputy Chairman of Magadi Soda Company Ltd and a member of the Unilever Africa Advisory Council.

Nick Reed – Director Nick Reed joined Internet Solutions in early 2012, and is responsible for the Internet Solutions’ Africa businesses outside . Prior to joining IS, Nick held several corporate finance and advisory positions including director at HSBC, Managing Director at Deutsche Bank in SA, and Managing Director of Macquarie in SA. Nick was also the Head of Strategy and Corporate Development for Barclays Africa, and initiated the acquisition of control of ABSA by Barclays.

Paras Shah – Director Paras is a Partner in the Corporate, Commercial and Conveyancing Department at

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Hamilton, Harrison and Mathews. He has an LL.B. from King's College, London. He is a member of the Law Society of England & Wales; the Law Society of Kenya; a Certified Public Secretary as well as an Associate Member of the Chartered Institute of Arbitrators. He specialises in Corporate, Commercial and Conveyancing law and has advised on a number of local, multi-national and cross border transactions, including privatisations and financings as well as mergers and acquisitions. Paras has also advised on capital markets work, including IPOs and Take Over Regulations. He is recognised as one of the leading commercial lawyers in Kenya by Legal 500, IFLR 1000 and Chambers Global.

Julian Sunker – Director Julian joined in 1997 as Financial Manager. During his 16-year career with the Group, he has gained extensive exposure to Dimension Data’s varied and complex business. In 2006 Julian was appointed to the Board as Financial Director, Dimension Data, Middle East & Africa. In October 2012, Julian moved to Internet Solutions where he was appointed COO.

Michael Turner – Director Michael is Partner at Actis, the leading private equity firm in Kenya. He is responsible for the Actis Africa Agribusiness Fund as well as Actis' activities in East Africa. Prior to joining Actis, Michael spent three years in investment banking in London, for Lehman Brothers and Kleinwort Benson, having started his career with Price Waterhouse. He has a first class degree in civil engineering and is also a qualified Chartered Accountant, and sits on the boards of various companies including Grain Bulk Handlers Ltd.

Derek Wilcocks – Director Derek is the current Chief Executive Offer of Dimension Data Middle East & Africa in April 2012, after serving as Managing Director of Internet Solutions from October 2009. He joined the Group in 1995 as founding Managing Director of Trusted Network Solutions, and then joined Internet Solutions a year later, becoming a board member. Derek has held numerous executive positions during his 18 years with the Dimension Data group.

AccessKenya Group Network We have upgraded our internet core network by ten times from 1000mb to 10000mb at a cost of over KES 400 million. This ensures that the internet core network is scaled to handle and best manage the capacities of the international undersea cables and to ensure the core internet network is upgrade proofed for a number of years into the future.

AccessKenya Group International Capacity Additionally, we have purchased a total of 2500mb of capacity on the SEACOM fiber optic cable, which together with a similar amount procured on the TEAMS cable will give us a total of 5000mb of capacity to offer significantly faster speeds to our customers.

AccessKenya today offers the highest speeds for the best value for money in the market, but even so, our average corporate customer enjoys guaranteed download speeds of

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512kbps compared to typical customers in Europe or North America who would have speeds of at least 1mb. With the arrival of the international fiber the Group has integrated 270kms metro fibre Metro Ethernet ring covering 350 buildings and significant upgrade of our core internet and wireless infrastructure which covers Nairobi, Mombasa, Naivasha, Nakuru, Eldoret Thika ,Nyeri, Nanyuki, Kisumu, Athi river and Limuru.

We are delighted that with the lease purchase of the SEACOM capacity we have now puts in place the final piece of the puzzle and are able to confirm that all our customers will enjoy significantly higher speeds once the cable comes into operation in our network we will immediately upgrade all our corporate customers speeds overnight free of charge.

AccessKenya Undersea Fiber Optic Cable Partnerships

AccessKenya Group is among one of the major companies currently implementing fiber in Kenya and we own and manage our own metro Ethernet fiber network in Nairobi and Mombasa which spans over 1500 square kilometers.

 SEACOM which went live on the 27th July 2009 currently linking South Africa, , Madagascar, Tanzania, Kenya and Ethiopia to India and Europe .The cable has a capacity of 1.28 terabytes and AccessKenya Group has invested in a 1.25% stake.

 TEAMS (The East African Marine System) is an initiative spearheaded by the government of Kenya to link the country to the rest of the world through a submarine fiber Optic cable. AccessKenya Group has invested in a 1.25% stake in TEAMS.

INTERNATIONAL AND NATIONAL REDUNDANCY

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Your requirements Reliable and dedicated Internet and data connectivity.

Access Kenya’s Proposed Solution We propose to deploy a wireless link your offices using our Motorola canopy network. The Motorola Canopy system is based on wireless broadband technology that provides high-speed Internet access. The Canopy system was designed to provide cost-effective, "last mile" high-speed data access for residential and business customers who previously were underserved or lived in locations where infrastructure is non-existent.

The Motorola SM is the subscriber termination unit or the Customer Premise Equipment (CPE). It consists of a single module that operates with an integrated 60-degree antenna. Each SM can communicate to a single AP Module at any given time. SM synchronization and control is accomplished via the received AP signal. SMs are typically located outdoor and Line of Sight (LOS) from the APs. Once the SM is initialized, it scans the Radio Frequency (RF) channels and automatically registers with the appropriate AP.

We have 2 wireless networks-Motorola and wimax in addition to our own fiber network which we manage and maintain ourselves. This enables us to give better SLAs to our clients as we have total control of our network as well as all network management systems that we use to monitor our networks.

Wireless Network Reliability - 8 years wireless experience - Largest Motorola Canopy Network in Africa - Thousands of customers have used the network for many years - All base stations have monitoring and alerting systems - Significant power backup in base stations including combinations of batteries, UPSes and generators

National Network Reliability - 8 years wireless experience - Significant power backup in remote sites - All remote sites have monitoring and alerting systems - Remote reboot of sites to allow us to reset equipment remotely without having to travel to site - Highly reliable Motorola technology on our backhaul network.

Service Level Agreement Our Service Level Agreement of 99.8% guaranteed uptime provides you with network availability on AccessKenya’s network, and our international connections out of Kenya thus becoming the first company in Kenya to offer a full end to end SLA.

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Customer Service & Support

We recently automated our helpdesk to ensure our clients receive excellent world class customer service. The customer’s key requirement is to ensure the service remains up as much as possible. Therefore the first requirement for us to deliver excellent service is network reliability. Because of this, we have invested heavily in all aspects of our network to ensure reliability.

This includes investment in - Carrier grade equipment - Proper power backup systems - Redundant connectivity in case of a breakdown - Monitoring and alerting systems to notify us immediately of any issues.

4 ways to reach our customer service - Call as normal - Email [email protected] and get an automatic ticket - Online Chat - Self Service Call and get an automatic ticket

 Call as Normal - Call our customer service number - You will be assisted by our team 24/7/365 - You will receive a ticket reference number for your issue

 Email - Email [email protected] - You will immediately and automatically get a ticket reference number - This ensures your issue is logged and in our ticketing system - The ticket ensures accountability and therefore fast service - Any delays in resolving tickets are escalated automatically within our customer service team

 Online Chat - open a chat session with our customer service team - they will try to resolve your issue on chat - they will give you a ticket in our ticketing system - the ticket ensures accountability and therefore fast service - Any delays in resolving tickets are escalated automatically within our customer service team - You can also chat with our client relations team, sales team and billing team.

 Self Service call - Call our customer service number - Give a brief description of your issue and leave your name, company name and number

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- You will immediately and automatically get a ticket reference number - This ensures your issue is logged and in our ticketing system - The ticket ensures accountability and therefore fast service - Our client service representatives should get back to you within 20 minutes

OTHER PRODUCTS AND SERVICES WE OFFER:

 Off site back-up: Secure back up of data enabling seamless and easy recovery in case of disaster.  SLA: Service and maintenance for client LAN/WANs  Access@Home: For internet access at home  Inter-branch connectivity (Point to Points, MPLS)

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Financial Summary

One off Costs:

Item Particulars Qty Cost Ksh Cost inclusive 16% VAT - Ksh 1 Link Installation/ 1 12,500.00 14,500.00

1 MICROTIK ROUTER 1 10,000.00 11,600.00

Bandwidth Monthly Costs Options:

Item Particulars Qty Cost Total Cost Ksh (Inc VAT) Ksh 1 256kbps/512kbps Dedicated 1 12,000.00 13,920.00 2 512kbps/512kbps Dedicated 1 15,000.00 17,400.00 3 1Mbps/1mbps Dedicated 1 17,500.00 20,300.00 4 1Mbps/1.5mbps Dedicated 1 20,000.00 23,200.00 5 1.5Mbps/1.5mbps Dedicated 1 25,000.00 29,000.00

Domain registration

.com.co.ke,or.ke No of years Price (Kshs) COST INCLUSIVE 16% VAT 1 3,000 .00 3,480.00 2 5,000.00 5,800.00 3 7,500.00 8,700.00 4 9,300.00 10,788.00 5 11,00.00 12,760.00

Web Hosting (Annually)

SIZE OF THE WEBSITE Price (Kshs) COST INCLUSIVE 16% CONTENT VAT 6-20mb 12,000.00 13,920.00 20-50MB 24,000.00 27,840.00 50-150 48,000.00 55,680.00

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Installation Schedule When you give us the go ahead and upon completion of the necessary documentation, we shall be able to install and have your link operational within 3-5 working days upon receipt of installation and first monthly payment.

Payment Contractual Terms  The minimum contract period is one year.  Installation fees are payable in advance.  Monthly charges are payable in advance.  All charges above are subject to 16% VAT.  This proposal is valid for a period of 30 days.  Client to provide a router, preferable Cisco 881  The Motorola canopy will be provided free of cost (F.O.C) but remains AccessKenya’s property

I hope the information provided is helpful and I look forward to providing you with Internet services. If you have any questions or need further clarification kindly do not hesitate to contact me.

Yours sincerely,

Allan Onacha Business Sales Consultant –Public Relation Access Kenya Group Cell: +254 725774759 [email protected]

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