Eesti Telekom                    ANNOUNCEMENT                          28.12.2004



Change in substantial shareholding



As of 28.12.2004, a significant change has taken place in the ownership structure

of AS Eesti Telekom. Baltic Tele AB, a fully owned subsidiary of TeliaSonera AB,

has increased its shareholding in AS Eesti Telekom to 50.00004%. As of

28.12.2004, Baltic Tele AB owns 68,977,314 shares of AS Eesti Telekom.





Hille Võrk

Financial Manager

+372 6 272 460