EESTI TELEKOM

ANNOUNCEMENT



ANNUAL GENERAL MEETING



Hereby  we  inform you that the ordinary General Meeting  of

the  shareholders of Eesti Telekom, located in  Roosikrantsi

2,  Tallinn, shall be held on May 23, 2001 at  2.00 p.m.  at

National Library of Estonia (Tõnismägi 2, Tallinn).



The following agenda is suggested for the meeting:

1.   Approval of 2000 results and allocation of the profit.

2.   Buy-back option of AS Eesti Telekom shares.

3.   Recalling and election of the members of the Council.

4.   Remuneration of the members of the Council.

5.   Election of the auditor.



The  shareholders registered in the share register of  Eesti

Telekom by May 23, 2001 at 8.00 a.m. have the right to  vote

on  the  Meeting. Registration to the General Meeting starts

on May 23 at 1.00 p.m. For registration to the Meeting:



Natural persons who are shareholders (“NPS”), please

have with you your passport. Representative of the NPS, in

addition,  his/her  passport and a  proxy  document  in

appropriate form;



Legal persons who are shareholders (“LPS”), please have

with you the excerpt from relevant registry where the LPS

has been registered showing the right of the respective

person to represent the LPS, such registered representative

of the LPS, in addition, his/her passport, or in case of

proxy having been issued by the LPS, in addition to above,

such proxy document in appropriate form and the passport of

the representative appointed by the proxy;



Non-resident shareholders should have the above

documents in legalized form, except passports.



The   2000  Annual  Report  and  resolutions  projects   are

available   for   all   shareholders   on   Internet    page

http:/www.telekom.ee and in the office of AS  Eesti  Telekom

at Roosikrantsi 2, Tallinn since May 2, 2000 on working days

from 10.00 a.m. to 2.00 p.m. Any questions in regard of  the

General  Meeting can be asked by phone (372) 6  311  212  or

mailed to mailbox@telekom.ee.



Resolution projects:



I.    To  approve 2000 Annual Report consisting of financial

  report, activity report, auditor’s report and proposal  of

  the allocation of the net profit.

  

II.   The  net  profit  of  AS Eesti Telekom  was  1,090,933

  thousand kroons and distributable funds totalled 1,836,893

  thousand kroons. Proposal of the Management Board, approved

  by the Council is:



  1.   12,421 thousand kroons shall be allocated to the legal

     reserve;

  

  2.    549,543  thousand  kroons shall  be  distributed  to

     shareholders as dividends as follows:

  

    2.1. There are 137,383,178 A-shares entitled to dividends.

       Dividends for A-shares to be distributed amount to 549,533

       thousand kroons or 4.00 kroons per share.

    2.2. There is one B-share entitled to dividends. Dividends

       for B-share to be distributed are 10,000 kroons.

    

  3.    206,075  thousand  kroons shall  be  distributed  as

     “Extraordinary dividend” to shareholders as follows:

  

    3.1. There are 137,383,178 A-shares entitled to dividends.

       Dividends for A-shares to be distributed are  206,075

       thousand kroons or 1.50 kroons per share.

  

  4.    The  remaining to be carried forward in the  balance

     sheet is 1,068,854 thousand kroons.



III.  The  proposal of the Management Board is to  authorize

  the Management Board to buy back from the stock exchanges up

  to 5% of the shares of AS Eesti Telekom during one year. The

  Council approval is required for the buy-back.



IV.  To appoint Villu Vaino from Deloitte&Touche Audit AS to

  audit Estonian Telecom in 2001. Remuneration of the auditor

  will be based on a contract with the auditing company.





Hille Võrk

Financial manager

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