LONDON (Alliance News) - Phones 4U Finance PLC said Monday that its subsidiary Phones 4U Ltd's UK network agreement with Vodafone Group PLC will be terminated in February 2015.
Phones 4u has been in discussions with Vodafone about a renewal of the agreement, however, it said it has become apparent that the renewal will not happen.
The company expressed surprise and disappointment with Vodafone's decision. It said it had procured around 430,000 contract connections for Vodafone in the year to end-July, and 125,000 pay-as-you-go connections. This delivered around GBP18.5 million earnings before interest, tax, depreciation and amortisation, the company said.
Phones 4U said it was in discussions with other mobile network operators which it said may allow it to replace the volume of connections it procured for Vodafone.
Shares in Vodafone were trading flat Monday morning, shortly after market open.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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