Eesti Telekom                 NEWS RELEASE                      04/14/2004



PROPOSAL FOR PROFIT DISTRIBUTION



The net profit of AS Eesti Telekom was 1,035,952 thousand

kroons  (66,209  thousand euros) in 2003.  The  company’s

distributable  funds totalled 2,290,597  thousand  kroons

(146,394 thousand euros).



The Management Board’s proposal is that the distributable

funds  for  2,290,597 thousand kroons  (146,394  thousand

euros) should be allocated as follows:



1.   To allocate to the legal reserve 261 thousand kroons

  (17 thousand euros).

2.   The number of A-shares is 137,644,429. To distribute

between shareholders and to pay out to shareholders as

dividends 1,101,155 thousand kroons (70,376 thousand

euros), i.e. 8.00 kroons (0.51 euros) per A-share.

3.   The residual of retained earnings not to distribute

amounts to 1,189,181 thousand kroons (76,002 thousand

euros).





Hille Võrk

Financial Manager

6272460