HONG KONG Nov 21 China Unicom, the
country's No.2 mobile operator, said on Wednesday it would pay
12.2 billion yuan ($2 billion) to its parent company for the
fixed-line assets in 21 southern Chinese cities and provinces.
The mobile operator said it was buying the assets because
the depreciation costs incurred would be lower than the leasing
fees it would have to pay its parent company, China Unicom said
in a statement to the Hong Kong bourse.
The assets are currently held by a company called Unicom New
Horizon, which is a wholly-owned subsidiary of the Unicom Group,
which is also China Unicom's parent.
For the statement, please click: here
(Reporting by Kelvin Soh)