Telekom Austria AG: Results for the Full Year 2011

Vienna (pta005/23.02.2012/07:00 UTC+1) Highlights

> Impacts from hyperinflation and foreign exchange volatility overshadow successful measures to counter competitive pressure, regulation and macro-economic developments

> Convergence continues to drive access line growth in Austria and strengthens market positions of Bulgaria and Croatia following acquisitions

> Smartphones and mobile broadband drive ongoing mobile customer growth in most markets

> While reported Group revenues decline by 4.2%, clean figures show an increase by 0.5%

> Reported Group EBITDA comparable declines by 7.2% but remains almost stable in a clean comparison and benefits from Group cost savings of EUR 66.5 million

> Net result on Group level reflects impacts from restructuring charges and impairments due to hyperinflation accounting

> Group Guidance 2012: Revenues approx. EUR 4.4 bn, EBITDA comparable approx. EUR 1.5 bn, Capital expenditures of approx. EUR 0.75 bn and operating Free cash flow of approx. EUR 0.75 bn

> Dividend of EUR 0.38 for 2012

in Mio. EUR	Q4 2011	Q4 2010	% change	1-12 M 2011	1-12 M 2010	% change
Revenues	1,115.9	1,170.8	-4.7%	4,454.6	4,650.8	-4.2%
EBITDA comparable	336.9	353.4	-4.7%	1,527.3	1,645.9	-7.2%
Operating income	-216.4	-38.5	n.a.	-7.6	437.9	n.a..
Net income	-321.5	-61.3	n.a.	-252.8	195.2	n.a..
Earnings per share (in EUR)	-0.72	-0.14	n.a.	-0.57	0.44	n.a.
Free cash flow per share (in EUR)	0.22	0.10	123.3%	1.08	1.46	-25.7%
Capital Expenditures	284.1	320.2	-11.3%	739.0	763.6	-3.2%
in Mio. EUR				31 Dec. 2011	31 Dec. 2010	% change
Net debt				3,380.3	3,305.2	2.30%
Net Debt/EBITDA comparable (12 months) excluding restructuring program				2.2x	2.0x

All financial figures are based on IFRS; if not stated otherwise, all comparisons are given year-on-year. EBITDA comparable is defined as net income excluding financial result, income tax expense, depreciation and amortization, restructuring and effects from impairment tests.

For further information please refer to our website: http://www.telekomaustria.com/ir/current-results.php

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