Sri Lanka Telecom
quote s (SLT) Japanese partner Nippon Telephone & Telegraph Co. has asked its employees to leave Sri Lanka this weekend, after failing to negotiate a fresh deal with the government.rn
quote s management contract with SLT expires on August 5, after the government informed the Japanese partners in February of its plans to let the contract lapse.
rnSLT also loses its fixed line monopoly on international voice calls on August 5.
rnThe Japanese telecom giant bought a 35 percent slice and management in SLT in 1997 for US$ 225 mn. The government holds 61.5 percent of the company and its employees own the rest.
rnDespite serving notice, the government through the Public Enterprise Reform Commission (PERC) was trying to strike a fresh deal on the lines of a technical partnership.
rnrnBut the deal fell through subsequently as the Japanese partners wanted certain favourable conditions in the original agreement extended.
quote s nominee Shuhei Anan will remain as Chie