Pantech Announces Agreement with Alltel for U.S. Launch of PN-218 Handset

The Pantech PN-218 phone - a CDMA handset to be sold by Alltel under the Pantech brand in the U.S. - is targeted at young, trend conscious consumers and incorporates an enhanced, compact unique design to provide users with a superior yet practical range of easy to use applications.

Mike Cost, COO of Pantech Wireless, Inc., said: "The PN-218 is a notable addition to our product offering in the U.S., in that it offers users a hardy, compact handset which nonetheless features an exceptional number of applications. We are confident that the phone will have a widespread appeal for American mobile phone users and, as a result, will help us to further consolidate our presence in the U.S."

The PN-218 phone is just 3.02 inches long, 2.15 inches wide and 0.96 inches thick with the flip closed, yet boasts a bright color screen and a rugged construction. The handset is equipped with a VGA camera with flash and zoom, as well as Ringtone shuffler, high-speed data transmission and picture/ringtone Caller ID.

Pantech plans to ramp up sales in the U.S. by 20% in 2006, through a greater focus on developing its brand awareness and an increase in direct supplies to major service operators. Direct supplies to U.S. service operators, through Pantech Wireless, are expected to account for 70% of its exports to the North American market this year.

Pantech is currently supplying Pantech-branded CDMA handsets to a couple of mobile virtual network operators (MVNOs). As part of its strategy to boost its operations in the North American GSM market, Pantech has also been supplying branded GSM handsets in the U.S.

Pantech PN-218 features include:

About Pantech Wireless, Inc.:
Pantech Wireless, Inc., a Cypress, CA based subsidiary of Pantech & Curitel and Pantech Co., Ltd., researches, markets and develops wireless handsets and telecommunications products throughout North America as part of the Pantech Group. For additional information, visit the PWI website at www.pantechUSA.com.

About Pantech:
Pantech, through its affiliates - Pantech Co., Ltd., Pantech&Curitel Communications, Inc. and Pantech C&I Co. - is the number two mobile phone company in South Korea and is the seventh largest handset manufacturer in the world. Pantech has been responsible for a number of breakthrough innovations in the mobile technology sector, including the introduction in 2004 of the world's first fingerprint recognition camera phone, as well as award winning camcorder, MP3 and DMB phones. In 2005, Pantech affiliate Pantech&Curitel Communications acquired SK Teletech Co., the handset manufacturing arm of SK Telecom, the number one mobile network operator in South Korea. The SKY brand, originally marketed by SK Teletech as the most popular premium handset brand in South Korea, has since become part of the Pantech brand portfolio. Pantech markets its products under the SKY and Curitel brands in the domestic Korean market and under the Pantech brand overseas. Pantech collectively has approximately 5,000 employees and 22 regional sales offices worldwide. For more information on Pantech, please visit www.pantech.com.

About Alltel:
Alltel is owner and operator of the nation's largest wireless network and has more than 11 million wireless customers.

Media Contacts:
Pantech
In Soo Nam nam.insoo@pantech.com +822-2030-1931
Eun Sil Koh summer1004@pantech.com +822-2030-1933

Edelman
Charles Hogan charles.hogan@edelman.com +822-2022-8207
Jill Lee jill.lee@edelman.com +822-2022-8229