EESTI TELEKOM

CASH FLOW STATEMENT



CONSOLIDATED CASH FLOW STATEMENT, 9M 2001



AS EESTI TELEKOM AND SUBSIDIARY COMPANIES

CASH FLOW STATEMENTS

In thousands of Estonian kroons (EEK)

                                  9 mths to 9 mths to

                                 30 Sept 01 30 Sept 00

                                             

Cash flow from operating                     

activities

Profits before tax and minority     744,321   875,820

interest

Adjustments for:                             

  Depreciation                      780,607   714,828

  Profit/loss from sales and         -4,403    -4,767

write-off of fixed assets

  Income/ expense from              -28,854       140

subsidiaries and associates

  Interest income/ expense, net      -2,790     1,460

  Other non-cash adjustments          1,867    -3,094

Operating profits before working  1,490,748 1,584,387

capital changes

                                             

  Change in current receivables     -93,554   -36,006

  Change in inventories              -8,701     7,361

  Change in current liabilities    -189,300    85,496

(except loans)

Adjusted cash generated from      1,199,193 1,641,238

operations

                                             

  Interest paid                     -16,574   -26,512

  Income tax paid                         0   -54,750

Net cash flow from operating      1,182,619 1,559,976

activities

                                             

Cash flow from/used in investing             

activities

Purchase of tangible assets        -653,887  -731,301

Purchase of licenses                -11,992   -16,052

Purchase of shares, investments,    -71,996  -115,200

and other

Proceeds from sales of tangible       9,479     8,134

assets

Proceeds from sales of               50,000    99,840

investments

Proceeds from sales of associates    43,500         0

Loans granted                        -4,393       -65

Cash receipts from repayment of          58       315

loans

Dividends received                      181         7

Interest received                    18,878    22,983

Net cash flow used in investing    -620,172  -731,339

activities

                                             

Cash flow from/used in financing             

activities

Proceeds from convertible long-         438         0

term debt

Repayment of convertible long-          -10         0

term debt

Proceeds from non-convertible             0    94,251

long-term debt

Repayment of non-convertible long- -103,559    -5,236

term debt

Repayment of long-term borrowings  -100,734  -330,684

Payment of finance lease            -16,629    -3,548

liabilities

Proceeds from short-term             78,233         0

borrowings

Repayment of short-term             -78,233         0

borrowings

Dividends paid                     -755,617  -549,543

Dividends paid to minority                0      -320

shareholders

Net cash flow used in financing    -976,111  -795,080

activities

                                             

Net increase / -decrease in cash   -413,664    33 557

and cash  equivalents

                                             

Cash  and cash equivalents at       609,743   485 318

beginning of year

Cash and cash equivalents at end    196,079   518 875

of period





Kadri Lensment

Management Assistant

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