Company Profile For Telekom Austria AG

Telekom Austria AG (Telekom Austria) is engaged as full service telecommunications providers of long distance, local and wireless services, corporate data communications services, as well as Internet services and television broadcasting (aon-TV). The Company also supplies telephones and technical equipment for telephone communications. These activities are conducted primarily in Austria, Croatia, Slovenia, Bulgaria, Serbia, Macedonia and Belarus. The Company operates in three business segments: Fixed Net, Mobile Communication, as well as Corporate and Other. The Fixed Net segment includes fixed line, data communication, television broadcasting (aonTV) and Internet services (including bundle products) and focuses on retail and wholesale customers. The Mobile Communication segment offers a range of digital mobile communications services. The Corporate and Other segment includes the holding company which coordinates and supports the segments Fixed Net and Mobile Communication.

BRIEF: For the nine months ended 30 September 2009, Telekom Austria AG's total revenue decreased 6% to EUR3.68B. Net income for the period decreased 6% to EUR31.5M. Total revenue reflects a decrease in demand for the Company's products and services, especially in the Fixed Net business segment. Net income for the period suffered from decreased gross profit margins as well as an increase in interest expenses.