CloudCoCo Regulatory News (CLCO)

24 January 2012

Pinnacle Telecom Group plc ("Pinnacle")

Olympic and Paralympic Games Agreement

Pinnacle Telecom Group plc (AIM: PINN), the provider of cloud based technology solutions, is pleased to announce that it has entered into a supply agreement with the BBC to provide data, connectivity and voice services to BBC International and its world media partners, enabling worldwide broadcast coverage of the 2012 Olympic and Paralympic Games.

The BBC will offer international broadcasters from around the world the Stratford Broadcast Tower; a 22-storey building situated at the edge of the Olympic Park with commanding views overlooking the Olympic Stadium, the Aquatics Centre and the Orbit Tower.

Under the terms of this significant agreement, Pinnacle will supply BBC International with the resilient fibre connections; microwave back-up links, analogue and ISDN connectivity. Pinnacle will also supply IP telephone switchboards, telephone handsets and data connections to Stratford Broadcast Tower's offices, studios and production crews for the world's media.

BBC International will occupy the Stratford Broadcast Tower for the duration of the 2012 Olympic and Paralympic Games, offering the world's media, facilities that include broadcast studios, presentation suites, production offices and stand-up positions for broadcasting their coverage of the Olympic and Paralympic Games.

Commenting on the agreement Jamie Hindhaugh, BBC Head of Production 2012 said, "Pinnacle Telecom Group plc have been supplying the BBC with short-term data connectivity and telecoms solutions for some time now, the services that Pinnacle will provide at The Stratford Broadcast Tower will enable each international broadcaster to have their own data, telecoms and switchboard services for the duration of the Olympic and Paralympic Games."

Alan Bonner, CEO of Pinnacle Telecom Group plc said, "We have been negotiating this unique opportunity for a long time and are therefore delighted to announce that Pinnacle will provide data, voice and connectivity services for the BBC and its worldwide international broadcasting partners at the 2012 London Olympic and Paralympic Games.

Through our agreement with Atos, our interconnect agreements with CMC and other international data carriers, Pinnacle will enable the BBC and its International broadcast partners at the London Olympics Stratford Broadcast Tower, to have direct point-to-point fibre connections to most capital cities around the world. Pinnacle will deliver the transmission of Olympic and Paralympic Games broadcast images and sound, direct to the broadcaster's own country for editing and re-transmission around the world.

In the last two years, Pinnacle has continually proven its capability by the successful delivery of voice and data networks for many of the BBC's high profile events, these include the 2010 UK General Election, the Pope's UK visit and last year's Royal Wedding. However, with an expected global television audience in excess of 4 billion viewers, the Olympic and Paralympic Games is by far Pinnacle's biggest single event to date and further demonstrates our capability to handle larger and more complex projects."

The Company is also pleased to announce it will issue its Preliminary Announcement on or before 20th February 2012"

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About Pinnacle

Pinnacle Telecom Group plc (AIM: PINN) is a value added, solutions based provider of integrated telecommunications services including IP solutions. It focuses on the SME market across the UK, where it provides a wide range of communications solutions including telecommunications calls, access and consultancy, IT support, IT Security, mobile solutions - both voice and data and hosted broadband voice services.

Pinnacle is a fully licensed Public Telephone Operator, has its own telephone network and interconnects with BT, Virgin Media and THUS. It has its own hosted voice (VoIP) platforms and engineers and owns Scotland's oldest ISP (and a founder member of Nominet), operating from its data centres in Glasgow, London and Brighton.

Pinnacle's strategy is to be a SME focused, value added, solutions based provider of next generation, cloud-based IP solutions, driven by leveraging organic opportunities as well as through targeted acquisitions. Pinnacle is seeking to acquire and grow businesses to bring together the four main elements of; traditional telephony, hosted cloud-based services, IT support and data centres. A particular target area is data centres, where the combination of recurring revenue and a platform to expand its hosted cloud-based services, would create a compelling earnings-enhancing proposition. A strategic acquisition in this area would potentially be transformational and as data centres are worldwide, it is widening the search parameters.