EESTI TELEKOM

CASH FLOW STATEMENT



CONSOLIDATED CASH FLOW STATEMENT 2001, EEK



AS EESTI TELEKOM AND SUBSIDIARY COMPANIES

In thousand of Estonian kroons (EEK)

unaudited

                                    12 mths   12 mths

                                       2001      2000

Cash flow from operating                     

activities

Profit before tax and minority      818,424 1,096,575

interest

Adjustments for:                             

  Depreciation                    1,141,661   969,305

  Profit/loss from sales and          1,473    -3,704

write-off of fixed assets

  Profit/loss from sale of                0         0

investments

  Income/ expense from              -26,829       310

subsidiaries and associates

  Profit/loss from value                  0         0

adjustment of shares

  Interests income/ expense, net     -3,069       280

  Other non-cash adjustments           -250      -684

Operating profit before working   1,931,410 2,062,082

capital changes

                                             

  Change in current receivables     -56,865      -330

  Change in inventories              39,472    -7,567

  Change in current liabilities    -161,525   190,147

(except loans)

Adjusted cash generated from      1,752,492 2,244,332

operations

                                             

  Interest paid                     -15,901   -22,219

  Income tax paid                         0   -50,718

Net cash flow from operating      1,736,591 2,171,395

activities

                                             

Cash flow from investing                     

activities

Purchase of tangible assets        -912,745-1,206,949

Purchase of licenses                -35,928   -31,842

Purchase of shares, investments    -132,580  -137,433

and other

Proceeds from sales of tangible      11,427    10,686

assets

Proceeds from sales of               50,000    99,840

investments

Proceeds from sales of associates    43,500         0

Loans granted                        -4,806       -91

Cash receipts from repayment of          84       210

loans

Cash receipts from settlement of             

long-term receivables

Dividends received                      181         7

Interest received                    20,275    22,198

Net cash flow from investing       -960,592-1,243,374

activities

                                             

Cash flow from financing                     

activities

Proceeds from convertible long-         440         0

term debt

Repayment of convertible long-          -15         0

term debt

Proceeds from nonconvertible long-        0    94,251

term debt

Repayment of nonconvertible long-  -105,223    -6,971

term debt

Proceeds from long-term                   0         0

borrowings

Repayment of long-term borrowings  -105,039  -334,989

Proceeds from finance lease               0         0

liabilities

Payment of finance lease            -16,629    -6,024

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 from financing       -982,083  -803,596

activities

                                             

Net increase / - decrease in cash  -206,084   124,425

and cash  equivalents

                                             

Cash  and cash equivalents at       609,743   485,318

beginning of year

Cash and cash equivalents at end    403,659   609,743

of period





Hille Võrk

Financial Manager

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