Eesti Telekom                 BALANCE SHEET                     03/07/2002



AUDITED BALANCE SHEET 31.12.2001



Financial statements are prepared in thousands of kroons (EEK)



                                   CONSOLIDATED

                                    2001        2000

                                            restated

A S S E T S                               

Non-current assets                        

Property, plant and            3,043,869   3,234,088

equipment

Goodwill                          14,814      26,796

Licenses, patents and             41,325      40,807

trademarks

Investments in                    17,940      17,849

subsidiaries and associates

Other investments                  2,758       9,071

Other non-current assets           5,766       2,292

                               3,126,472   3,330,903

Current assets                            

Inventories                      104,013     149,223

Trade and other                  541,440     529,642

receivables

Cash and cash equivalents        464,217     609,743

                               1,109,670   1,288,608

Total assets                   4,236,142   4,619,511

EQUITY  AND  LIABILITIES                       

Capital and reserves                      

Capital issued                 1,373,833   1,373,833

Reserves                         447,348     434,927

Accumulated profits            1,794,170   1,783,273

                               3,615,351   3,592,033

Minority interest                         

Subsidiary companies                   -       8,193

Non-current liabilities                   

Interest - bearing loans          49,115     200,978

and borrowings

                                  49,115     200,978

Current liabilities                            

Trade and other payables         483,510     656,915

Interest - bearing loans          88,166     161,392

and borrowings

                                 571,676     818,307

Total equity and               4,236,142   4,619,511

liabilities



In thousands of euros (EUR)

                                   CONSOLIDATED

                                    2001        2000

A S S E T S                               

Non-current assets                        

Property, plant and              194,538     206,695

equipment

Goodwill                             947       1,713

Licenses, patents and              2,641       2,608

trademarks

Investments in                     1,147       1,141

subsidiaries and associates

Other investments                    176         580

Other non-current assets             369         146

                                 199,818     212,883

Current assets                                 

Inventories                        6,648       9,538

Trade and other                   34,604      33,850

receivables

Cash and cash equivalents         29,669      38,970

                                  70,921      82,358

Total assets                     270,739     295,241

EQUITY  AND  LIABILITIES                       

Capital and reserves                           

Capital issued                    87,804      87,804

Reserves                          28,591      27,797

Accumulated profits              114,668     113,972

                                 231,063     229,573

Minority interest                              

Subsidiary companies                   -         524

Non-current liabilities                             

Interest - bearing loans           3,139      12,845

and borrowings

                                   3,139      12,845

Current liabilities                            

Trade and other payables          30,902      41,984

Interest - bearing loans           5,635      10,315

and borrowings

                                  36,537      52,299

Total equity and                 270,739     295,241

liabilities







Hille Võrk

Financial manager

+372 6 272 460