Telemig Celular, the largest mobile operator in the state of Minas Gerais, reported a net loss of BRL30.2 million (USD13.7 million) for the three months to 31 March 2006, down 9.8% compared with BRL33.46 million in the same quarter last year, on a 3% rise in net revenues to BRL250 million. However, first quarter revenues were down 10.4% on the previous quarter – in line with seasonal trends – as a result of a 7% drop in call volumes and an increase in the number of ‘free’ promotional minutes it handed out. EBITDA fell 10.04% to BRL87.6 million in the quarter. The EBITDA margin was 35%, down from 40.2%. Telemig added 57,126 new users in the period under review, to end March with 3,401,310 users, of which 2,556,505 were pre-paid.