Ote Ads Regulatory News (OTES)

OTE raises €400 million from international debt capital markets via a new 4-year bond issue

· The lowest OTE bond coupon in the last decade - Annual fixed coupon of 2.375%

· Oversubscription by approximately 5x

· Strengthening of the Company's financial position ahead of forthcoming debt maturities and commitments to investments and shareholder returns

Athens, July 12, 2018 - OTE concluded yesterday the bookbuilding process for the successful issue of a €400 million 4-year bond in international debt capital markets.

The notes issue was oversubscribed by approximately 5x. The coupon was set at 2.375% p.a.; the lowest OTE bond coupon in the last decade.

With the completion of this transaction, OTE Group achieves the refinancing of part of its future debt maturities at very attractive rates, in view of the commitment towards shareholders and the Group's investment plan in Fiber, New Generation Networks and its Digital Transformation.

OTE Group Chief Financial Officer, Mr. Babis Mazarakis commented: "This successful bond issue is a vote of confidence by the international capital markets to the prospects of Greek Economy and OTE. The demand for the new bond and the coupon, the lowest OTE bond coupon in the last decade, is an acknowledgement and support of our strategy. Improving customer experience is the driving force behind our actions. We achieve this by having solid economic fundamentals, developing the telecommunications infrastructure of the country and designing advanced services for our customers. Technology and innovation are the vehicles for us to create a better world for all."

Since the beginning of 2018, OTE group has reduced its debt by €0.5 billion. In parallel, OTE Group net debt has been reduced by 83% in recent years, from €4.3 billion in 2010 to €0.7 billion today.

The new bond will be issued by OTE plc and guaranteed by ΟΤΕ SA under the existing Global Medium Term Note Programme, governed by English Law. The new bond will be listed and admitted to trading on the Luxembourg Stock Exchange. Settlement will be executed on July 18, 2018.

Deutsche Bank and Morgan Stanley act as Joint Bookrunners / Lead Managers of the bond issue, with Alpha Bank, Eurobank Ergasias, National Bank of Greece and Piraeus Bank acting as Co- Managers.

FOR FURTHER INFORMATION:

NOTE: This announcement is published in accordance with the applicable provisions of, amongst others, Regulation (EU) No 596/2014 and the Rule Book (Regulation) of the Athens Exchange.

This announcement is not an offer of securities for sale in the United States or any other jurisdiction where to do so would be unlawful. The notes referred to in this announcement have not been and will not be registered in any jurisdiction and neither OTE SA nor OTE PLC intends to conduct a public offering of securities in any jurisdiction. In particular, no securities of OTE SA or OTE PLC have been or will be registered under the U.S. Securities Act of 1933, as amended (the Securities Act), and the notes referred to in this announcement may not be offered, sold or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the Securities Act) except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable state securities laws.

The offering of the notes referred to in this announcement is not being made, directly or indirectly, to the public in the Hellenic Republic (Greece). None of this announcement and any other documents or materials relating to the notes referred to herein constitute a "public offer" (dimossia prosfora), within the meaning of Greek Law 3401/2005, for the purchase, sale or exchange of, or otherwise for an investment in, securities in the territory of Greece. Accordingly, neither this announcement nor any other documents or materials relating to such notes have or will be submitted to the Hellenic Capital Market Commission for approval pursuant to such law. No offer of securities will be made in Greece other than in accordance with an exemption under Greek Law 3401/2005 and the Prospectus Directive (as defined below).

This document is an advertisement and is not a prospectus for the purposes of Directive 2003/71/EC, as amended (such directive, together with any applicable implementing measures under such Directive, the "Prospectus Directive"). The Final Terms for the new notes referred to herein, supplementing the Base Prospectus (dated 29 March 2018, as supplemented on 19 June 2018) prepared pursuant to the Prospectus Directive will be published in accordance with the Prospectus Directive. Investors should not subscribe for any transferable securities referred to in this document other than on the basis of information contained in the relevant Final Terms and the Base Prospectus.

This document is not being distributed to, and must not be passed on to, the general public in the United Kingdom. The communication of this document as a financial promotion is only being made to those persons falling within Article 12, Article 19(5) or Article 49 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 or to other persons to whom this document may otherwise be distributed without contravention of section 21 of the Financial Services and Markets Act 2000, or any person to whom it may otherwise lawfully be made. This communication is being directed only at persons having professional experience in matters relating to investments and any investment or investment activity to which this communication relates will be engaged in only with such persons. No other person should rely on it.