P4 terminated contract with Connex

2010-02-11

P4, operator of the Play mobile network, terminated an agency contract with Connex, a subsidiary of Tell group. The operator claims that Connex violated the contract principles of fairness and loyalty. After a considerable delay Connex reported about the investigation carried out by the Poznan-based tax office. The company has to pay PLN 17.6m of a delinquent tax. Moreover, Connex’s financial results are deteriorating and its stores are poorly supplied.
Connex managed 63 P4 points of sale, which accounted for 2.5% sales of Play. By the end of the third quarter of 2009, Tell had around 480 points of sales, offering various mobile phone services, of which 245 were Orange stores. The group has not yet decided what to do with the outlets that will lose P4’s authorisation.