1. Reduction of IDD Rates

KDD will reduce rates for calls to all of its IDD service areas (230 countries/regions) by the amount of some 16 billion yen. The reduction averages out to around 10.6% and, in terms of details by areas and hours, the maximum goes to around 48.6% (for a 3-minute call to the U.S.A. during discount hours).

Especially, those areas with heavier traffic are emphasized with larger reductions; i.e., a 3-minute call during standard hours will drop from 450 yen to 240 yen for the U.S.A., from 560 yen to 470 yen for Korea, and from 770 yen to 550 yen for the U.K. (for a 3-minute call during standard hours, respectively).

In addition to calls from subscriber lines, the reduction will be applicable to skyrocketing IDD calls from cellular and PHS phones as well as those using KDD Super World Card.

The detailed rates are shown on Attachment 1.

*KDD services to be more economical as a result of this reduction:

-	KDD Volume Saver I, II, III	-	KDD Super World Card
-	KDD Wide Saver	-	KDD World Freephone
-	Route KDD	-	Credit Card Calls
-	VIRNET	-	KDD Super Japan Direct
-	KDD Family Talk Pack	-	Third-Party Dial
-	KDD Talk & Save Pack

2. Reduction of F-PORT Charges

Along with the reduction on IDD rates, KDD will also reduce transmission charges and monthly basic charges for F-PORT to enable customers to use the service more economically. The reduction averages around 13% for transmission charges and from around 50% to maximum 67% for monthly basic charges depending on types of service.

The detailed rates are shown on Attachment 2.