2Q06 Results - VIVO Participacoes S.A.

SAO PAULO, Brazil, July 21  /PRNewswire-FirstCall/ -- VIVO Participacoes S.A. (VIVO) (Bovespa: VIVO3 [ON = Common Shares] / VIVO4 [PN = Preferred Shares]; NYSE: VIV), announced its consolidated results for the second quarter of 2006 (2Q06).

  R$ millions               2Q06         1Q06         2Q05

  Net Revenue            2,598.3      2,577.0      2,879.3
  Total Operating
   Costs                (2,292.0)    (1,859.9)    (2,280.0)
  EBITDA                   306.3        717.1        599.3
  EBITDA Margin (%)         11.8%        27.8%        20.8%
  Net Result              (493.1)      (179.3)      (252.7)

  Number of customers
  (thousand)              28,525       30,138       28,446
  Market share              40.6%        43.5%        47.4%
  Net Additions
  (thousand)              (1,613)         333        1,487


  Vivo continues to promote the development of its operations in a
  aggressive competitive environment;

  Launching of GSM Overlay, will increase Vivo competitiveness allowing a

  better service for its customers through a wide and differentiated
  commercial offers;

  The GSM overlay will be deployed by a reduced CAPEX and with economy in

  the price of handsets;

  Continuity of systemic platforms unification projects from 6 to 1, in an

  advanced stage with 78% of clients in single systems;

  Sustainable combat against cloning and fraud, with certification of
  network and prepaid and post-paid customer base, providing 85% reduction

  in the number of cloning occurrences and nationwide implementation of a

  new credit screening; and

  Corporate reorganization with simplification of structure, cost control
  and transparency, the first stage being already completed, allowing a
  reduction in gross debt and financial expense, and the second stage being

  in progress, under approval process at ANATEL;



To download the complete version of the Company's earnings release, please visit our website: http://www.vivo.com.br/ir

VIVO through its wholly-owned subsidiaries, Telesp Celular S/A, Global Telecom S/A, Telerj Celular S/A, Telest Celular S/A, Telebahia Celular S/A, Telergipe Celular S/A, Celular CRT S/A, and the Tele Centro Oeste Celular Participacoes S/A provides mobile telephone services in the states of: Sao Paulo, Parana, Santa Catarina, Rio de Janeiro, Espirito Santo, Bahia, Sergipe, Rio Grande do Sul, Acre, Amazonas, Amapa, Goias, Maranhao, Mato Grosso, Mato Grosso do Sul, Para, Rondonia, Roraima and Tocantins and in the Federal District. 

DATASOURCE: VIVO Participacoes S.A.



CONTACT:  Charles Allen for VIVO, [phone]



Web site:  http://www.vivo.com.br/

http://www.vivo.com.br/ir 

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