China Unicom

On the other hand, CU is our top pick in Chinese telecom sector as it will adopt the world’s most popular GSM/WCDMA technologies that could lift its market share much faster than CT. Disposing CDMA network and the merger with China Netcom also enable CU to have abundant resources for network development with cost synergies. Consider absence of cut throat discounts among Chinese telecom operators as suggested by key government officials and higher 3G ARPU, we see good prospect of CU’s earnings from 2010 onwards. After all, CU should no doubt be the major beneficiary of restructuring in telecom industry. BUY and target price of $12.0 maintained.

C unicom Ziel 12h$ (ca 1.2 x 09 PBR) Unicom underperformed in den letzten Monaten (vgl C Mobile & C Telecom die je ca 2% verlieren C Unicom ca 19%) derzeit wird über die 3G Einführung (Vergabe der Lizenszen disk) C Uncom fährt aber mit GSM/WCDMA chinese standard...demnächst die Einkommensverluste Anfang 09 sind eingepreist CU hat den besten "Schnitt" bei der Neuverteilung der assetts gemacht

The telecom sector was in focus following a report China will announce personnel changes at the four main telecom operators Friday, likely signalling further action on a long-awaited industry restructuring. The portals Sina.com and Sohu.com both reported that Zhang Chunjiang, general manager of China Netcom, will be named vice president of China Mobile. Wang Jianzhou, China Mobile's chairman and president, will keep his current position. Meanwhile, Wang Xiaochu, the chairman of China Telecom, will retain his position while Chang Xiaobing, chairman of China Unicom, will be placed in charge of the working committee organizing the new China Unicom. The reports said the restructuring will involve China Telecom buying China Unicom's CDMA business and China Unicom's GSM business merging with China Netcom. China Mobile will merge with China Tietong Telecom, a railway-based telecom operator. China Mobile, the nation's biggest mobile carrier, lost 1.2 percent at HK$128.50, while peer China Unicom gained 7 percent at HK$17.68. China Telecom, the largest fixed line company in the mainland, rallied 5.3 percent to HK$5.57 and China Netcom surged 6.2 percent to HK$25.50.