The bottomline of Videsh Sanchar Nigam Ltd, a Tata group company, is under pressure due to a fall in long distance rates, according to VSNL managing director S K Gupta.
The volumes remained stagnant in FY-'03 at 2001-02 levels, while long distance tariff have fallen drastically, putting pressure on VSNL, Gupta told reporters in Mumbai on Tuesday.
The tariffs, which moved southwards from 34 cents to 16 cents, are likely to fall further, he added.
He, however, declined to elaborate on the company's financial performance in 2002-03.
Meanwhile, talking about VSNL's telephone calling card initiatives, Gupta said it was yet to be allocated a toll-free dial-up number by the government.
"We expect to get the numbers by April-end and would begin calling card operations by May," Gupta said.
The toll-free number enables customers to dial up VNSL's network and make calls using pre-paid calling cards.
VSNL was planning to launch two types of telephone calling cards - overseas and domestic phone cards - in India and at select overseas locations by April this year.
Talking on the company's interconnectivity deals with Bharat Sanchar Nigam Ltd, Gupta said VSNL had initiated talks with the basic service providers and would ink a pact by this month end.
"The terms and conditions would remain same and the delay in signing the deal will not affect VNSL's operations," he added. The earlier interconnectivity deal signed with BSNL and other partners ended March 31.