Philippines' Leading GSM Operator Acquires Stake in Blue Ocean Wireless

Blue Ocean Wireless ("BOW"), an Irish company delivering GSM
communication capability for the merchant maritime sector, today
announced that SMART Communications Inc. ("SMART"), the Philippines'
leading wireless services provider, has agreed to acquire a 30% equity
interest in BOW for US$15.9 million. The investment now values Blue
Ocean Wireless in excess of US$55 million.

Highlights

-- BOW partners with an established, international GSM network
operator;

-- Accelerates roll-out of BOW's dedicated product offering for
the global merchant maritime sector;

-- Provides GSM network facilities and call/text terminations for
BOW global merchant maritime service;

-- Provides route to significant Filipino market for BOW SIM and
pre-paid value cards; and

-- Broadens SMART's service to its existing subscriber base and
an opportunity to capture significant new subscribers from
world's 1.2 million seafarers.

Investment in Blue Ocean Wireless

SMART Communications, Inc. is the Philippines' leading wireless
services provider with 27 million subscribers on its GSM network.
SMART is a wholly-owned subsidiary of the Philippines' leading
telecommunications carrier, the Philippine Long Distance Telephone
Company (PLDT). PLDT has a market capitalisation of approximately
US$11 billion and is listed on the New York Stock Exchange (NYSE: PHI)
and the Philippine Stock Exchange (PSE: TEL).

SMART, through its wholly-owned subsidiary SmartConnect Holdings
PTE Limited, will acquire a combination of primary and secondary
shares. In addition, SMART has an option to acquire a further 19% in
BOW, exercisable within the next 3 years. Blue Ocean Wireless' other
significant shareholders are Dublin based private equity firm, Claret
Capital, Irish remote communications company, Altobridge, and Bank of
Scotland (Ireland), a wholly owned subsidiary of HBOS Plc.

In addition to investing in BOW, SMART will provide GSM network
facilities and call/text terminations for the BOW global merchant
maritime service. SMART will also become a major reseller of BOW SIM
cards and prepaid value cards.

Napoleon L Nazareno, President and CEO of SMART, commented "The
global merchant maritime fleet is currently populated by 1.2 million
seafarers, of which 40% are Filipinos. Their communications needs are
currently served by satellite-based, bridge-mounted or shared fixed
phones that tend to be expensive, inconvenient and lack privacy.
Moreover, these types of phones allow only a limited number of
incoming calls and do not provide for SMS or texting. The innovative
Blue Ocean Wireless service will enable seafarers to bring their
mobile phones onboard their vessels and use them just as if they were
at home or roaming in other countries."

He added "This is an exciting opportunity and a natural extension
of our Philippines GSM service but also one which allows us to offer
services, in a cost competitive way, to seafarers across the world".

Robert Johnson, CEO of Blue Ocean Wireless, commented "We are
delighted to announce this investment by SMART and a partnership with
them to bring our unique product offering to market. SMART is a
natural choice for us given that a significant portion of the world's
seafarers are Filipinos. SMART also has a world-class software
development team who are constantly bringing new and innovative
products to their existing GSM customers. Working with them, we can
progressively add additional services for Blue Ocean Wireless
customers. We look forward to working with SMART to provide our GSM
network to a global customer base."

Domhnal Slattery, Chairman of Blue Ocean Wireless, remarked "We
originally identified the Philippines as a key target market for Blue
Ocean Wireless. Our partnership with SMART, therefore, is a natural
fit for this business and is a further significant step towards the
development of Blue Ocean Wireless as the world's first GSM global
merchant maritime network. Maritime mobile services for the world's
1.2 million seafarers is an unserved market and presents a clear
opportunity for Blue Ocean Wireless."

He concluded "SMART is also a leader in the South East Asian
maritime telecommunications business with an existing installed
customer base which presents an additional opportunity for a combined
Blue Ocean Wireless and SMART offering."

About Blue Ocean Wireless

Blue Ocean Wireless is an Irish company focused on expanding
communication capability in the merchant maritime sector. Blue Ocean
Wireless provides, for the first time, GSM connectivity for seafarers
in deep ocean water, where no other network exists. This allows users
to make and receive voice calls, send and receive SMS text messages
and, in time, browse the internet using their existing handsets. Blue
Ocean Wireless' offering is based on Altobridge's unique 'Aeronautical
& Maritime Gateway Platform'(TM) technology. This technology can also
be used, in conjunction with RFID technology, to track and monitor
shipping containers while they are in transit at sea. For more
information, please visit www.blueoceanwireless.com

About Claret Capital

Claret Capital, founded by Domhnal Slattery in 2005, is a private
investment firm based in Dublin, Ireland. Claret Capital currently
manages over US$1 billion in assets for a small number individuals and
families. The firm has completed investments in the Private Equity,
Real Estate, Media and Technology sectors. Claret Capital has also
founded a number of new ventures including JetBird, Europe's first
low-cost, on-demand private jet airline. JetBird has ordered 100
aircraft from Embraer and is the launch customer in Europe for the
Phenom 100 very light jet.

About SMART Communications

SMART Communications, Inc. is the Philippines' leading wireless
services provider with over 27 million subscribers on its GSM network
as of July 2007. SMART has built a reputation for innovation, having
introduced world-first wireless data services, including mobile
commerce services such as Smart Money, SmartLoad and Smart Padala.
SMART also offers SmartLink, a prepaid satellite telephony service and
Smart 3G, a 3G service, as well as a wireless broadband service, Smart
Bro. SMART is a wholly-owned subsidiary of the Philippines' leading
telecommunications carrier, the Philippine Long Distance Telephone
Company.

About PLDT

Founded on November 28, 1928, Philippine Long Distance Telephone
Company (PLDT) is the leading telecommunications provider in the
Philippines. Through its three principal business groups - fixed line,
wireless, and information and communication technology - PLDT offers
the largest and most diversified range of telecommunications services
across the Philippines' most extensive fiber optic backbone and fixed
line, cellular and satellite networks.