21.   But the Thai telecom firm has not pinned all its hopes on the Isla sale.

22.   Conversion is significant for private contractors and TOT because it would either remove or lower royalty fees, a major cost for telecom firms.

23.   Deutsche Telekom said net profits were depressed by licensing costs and by accounting adjustments related to its acquisition of U.S. telecoms firm Voicestream.

24.   He said after the deal is completed that Japan Telecom may seek deals with other Japanese or foreign telecom firms, but no talks were ongoing.

25.   He added that the NTC, cannot by itself grant telecom firms an extension to build the mandated telephone lines.

26.   Like other sectors hard hit by the financial and economic woes, telecom firms are struggling to sustain their core businesses by cutting operational costs and selling non-performing subsidiaries.

27.   Lower accounting rates, however, will significantly reduce the income derived by telecom firms from their overseas operations.

28.   On Wall Street, stocks fell as profit warnings from Federated Department Stores and British telecom firm Marconi reminded investors how badly business is suffering here and abroad.

29.   Only one telecom firm, Advanced Info Service Plc, reported a profit last year.

30.   Other telecom firms have also announced salary cuts.