All statements in this annual report that are not clearly historical in nature are forward-looking. Examples of forward-looking statements include:

  · statements concerning our operations and prospects;

· the size of Brazilian telecommunication market;

· estimated demand forecasts;

· our ability to secure and maintain telecommunications infrastructure licenses, rights-of-way and other regulatory approvals;

· our strategic initiatives and plans for business growth;

· industry conditions;

· funding needs and financing sources;

· network completion and product development schedules;

· expected characteristics of competing networks, products and services; and

· other statements of our expectations, beliefs, future plans and strategies, anticipated developments and other matters that are not historical facts.

These forward-looking statements are uncertain, and we cannot assure you that any such statements will prove to be correct. Actual results and developments may be materially different form those expressed or implied by such statements. You should carefully review the other risk factors set forth in this section for a discussion of factors which could result in any of these forward-looking statements proving to be inaccurate.