EESTI TELEKOM

CASH FLOW STATEMENT



CONSOLIDATED CASH FLOW STATEMENT, Q1 2000



In thousands EEK             

                                 3 mths to  3 mths to

                                  31.03.00   31.03.99



Cash flow from operating activities

Profit before tax and minority     247,045    175,939

interest

Adjustments for:                            

Depreciation                       247,362    213,215

Profit/Loss from sales and write-     -486       -203

off of fixed assets

Income from subsidiaries and           103       -146

associated companies

Interests income/ - expense (net)    1,971      7,222

Other non-cash adjustments           1,221      2,118

Operating profit before working    497,216    398,145

capital changes

                                            

Change in current receivables       -1,491    -85,970

Change in inventories               18,490    -10,742

Change in current liabilities       15,136     62,037

(except loans)

Adjusted cash generated from       529,351    363,470

operations

                                            

Interest paid                       -8,310    -15,679

Income tax paid                          0    -19,937

Net cash flow from operating       521,041    327,854

activities

                                            

Cash flow from investing activities

Purchase of property, plant and   -203,186   -189,727

equipment

Purchase of licenses                  -815     -1,054

Purchase of shares and other       -40,000    -55,927

securities

Proceeds from sales of property,     2,175        418

plant and equipment

Proceeds from sales of shares and       10     11,671

other securities

Cash receipts from loan repayment       85         32

Loan granted                           -50          0

Interest received                    3,326      5,654

Net cash flow from investing      -238,455   -228,933

activities

                                            

Cash flow from financing activities

Repayment of non-convertible long-  -1,722     -2,150

term debt

Repayment of long-term borrowings -118,440    -17,440

Payment of finance lease              -282       -940

liabilities

Dividends paid to minority            -208          0

shareholders

Net cash flow from financing      -120,652    -20,530

activities

                                            

Net increase / - decrease in cash  161,934     78,391

and cash  equivalents

                                            

Cash  and cash equivalents at      485,318    272,022

beginning of year

Cash and cash equivalents at end   647,252    350,413

of the period





Raul Kalev

PR-manager

+372 6460 220