Andinatel 2004 profit up 16%

Ecuadorian state-owned telco Andinatel posted net profit of US$72mn in 2004, up 16% compared to the US$62mn recorded in 2003, local newspaper El Expreso reported. The operator closed 2004 with 860,000 subscribers, offering coverage in 11 Ecuadorian provinces. Andinatel's network is already 100% digital. During 2004, Andinatel contributed over US$20mn to government coffers, the report said, citing statistics from Ecuador's internal revenue service SRI. The firm is owned by state holding company Fondo de Solidaridad (FS), which recently appointed Marcelo Dávila as the new Andinatel CEO, replacing Ricardo Terán. Previously, Andinatel workers opposed the appointment of Terán, who is married to a niece of current Ecuadorian president Alfredo Palacio. The new board of directors is working on this year's strategy to improve the quality of service and reach the company's consolidation. Andinatel also plans to launch new services, specifically related to the internet and to add new technologies to its telephony systems.