AS EESTI TELEKOM

ANNOUNCEMENT                                         

23.03.99

 

RESOLUTIONS OF AGM OF AS EESTI TELEFON, 1998 FINANCIAL RESULTS 

 

The annual general shareholders meeting of AS Eesti Telefon held 

on March 23, 1999 approved the financial results of the year 

1998. According to the International Accounting Standard (IAS), 

1998 net sales of Eesti Telefon was 1,968 million EEK and net 

profit 263 million EEK.

 

The assets of AS Eesti Telefon were 2,661 million EEK by the end 

of 1998.

 

The shareholders meeting decided to pay dividends 42% of the 

total net profit of 1998. 51% of the shares of AS Eesti Telefon 

are owned by Eesti Telekom and 49%  by the Swedish-Finnish 

company Baltic Tele AB.

 

The rest of  net profit, i.e. ca 150 million EEK will be 

reinvested in telecommunication network and the development of 

the company.

 

In 1999 AS Eesti Telefon will invest 683 million EEK.

In the six first years of operation 3,009 million EEK have been 

invested.. The part of digitalized main lines has increased by 

50,1% by March 1, 1999 (at the beginning of 1993 digitalization 

level was 4%). The number of main telephone lines was 497,205 by 

March 1, 1999. Telephone density per 100 inhabitants has 

increased from 22.9 in 1993 to 34.2 in 1999. 

 

By the termination of concession agreement on January 1 2001 AS 

Eesti Telefon will satisfy to a major extent the demand with 

regard to principal services, cover the digitalization up to 60%, 

liquidate old analogue exhanges and make data communication and 

Internet services available all over Estonia.

 

Additional information:

 

Raul Kalev

Infonõunik

Eesti Telekom

+372 6460 220