TDE.L Regulatory News (TDE)

26 Apr 2007 14:30

Telefonica O2 Czech Republic, A.S.26 April 2007 Press release Results of the regular general meeting Date: April 26, 2007 This year's regular General Meeting of the shareholders of Telefonica O2 CzechRepublic, a.s. took place on April 26, 2007 in Prague. Shareholders holding morethan 73% of the company's shares took part; therefore, the General Meeting had aquorum. The highest corporate body of Telefonica O2 Czech Republic approved thecompany's regular financial statements and consolidated financial statements for2006 according to International Financial Reporting Standards (IFRS),recommended for approval by the company's Board of Directors. Both financialstatements were audited by Ernst & Young. According to the financial statementsfor 2006, the company recorded a consolidated profit of CZK 8.020 billion and anunconsolidated net profit of CZK 8.322 billion. The General Meeting approved the Board of Directors' proposal regarding thepayment of dividends from the net profit from 2006 in the amount of CZK 8.109billion and from the retained net profit from previous years in the amount ofCZK 7.995 billion, i.e. a total of CZK 16.104 billion. This represents dividendper share in the amount of CZK 50 before taxation. September 10, 2007 has beenset as the decisive day for the payment of dividends; dividends will be paid onOctober 3, 2007. Dividend proposal is based on thorough analysis undertaken bythe Board of Directors regarding past performance of the company, currentbalance sheet position, and expected future performance of the company. At thesame time, it is consistent with company's investment strategy to lock theinvestments into the growing areas (broadband, mobile, business services andSlovakia) and is based on the Board's intention to distribute the surplus cashto shareholders. The company's Board of Directors expects, that continuingstrong positive cash flow in 2007 will allow the Company to pay the dividendfully funded from accumulated cash without any need for further leverage. The General Meeting approved the election of Mr. Andrew Harley as a member ofthe Supervisory Board, to which he was co-opted on January 15, 2007 and occupiedthe position on the Supervisory Board previously held by Gerhard Mayrhofer, wholeft the Supervisory Board in October 2006. The brief curriculum vitae of Mr.Andrew Harley, Director of Human Resources for Telefonica O2 Europe, is in theappendix to this press release. The General Meeting also decided on the amount of the annual remuneration formembers of the Board of Directors and for members of the Supervisory Board whichremained at this level last year and approved the concluding of an agreement onthe performance of Supervisory Board Member responsibilities with newSupervisory Board Member Andrew Harley. For further information, please contact:MARTIN ZABKASpokespersontel: + 420 271 463 359fax: + 420 271 469 896e-mail: public.relations.cz@o2.com http://www.cz.o2.com/ About Telefonica O2 Czech Republic Telefonica O2 Czech Republic, a.s., is the first integrated operator in theCzech Republic formed on 1 July 2006 by the merger of the leading fixed lineoperator, CESKY TELECOM, a.s., and the strongest mobile operator, Eurotel Praha,spol. s r.o., into a single telecommunications organization. The organization isnow operating nearly eight million lines, both fixed and mobile, making it oneof the world's leading providers of fully converged services. Telefonica O2 Czech Republic offers the most comprehensive portfolio of voiceand data services in this country. A special attention is paid to theexploitation of the growth potential, in particular the data and Internetbusiness. Telefonica O2 Czech Republic operates the largest fixed and mobilenetwork including a unique 3rd generation network, CDMA (for data) and UMTS,enabling the transport of voice, data and video. Furthermore, Telefonica O2Czech Republic offers the largest network of WiFi hotspots in the country. About Telefonica O2 Europe Telefonica O2 Europe comprises mobile network operators in the UK, Ireland andSlovakia, along with integrated fixed/mobile businesses in Germany and the CzechRepublic - all of which use 'O2' as their consumer brand. Telefonica O2 Europealso owns 50% of the Tesco Mobile and Tchibo Mobilfunk joint venture businessesin the UK and Germany respectively as well as having 100% ownership of Be, aleading UK fixed broadband provider. In addition, the group includes the Isleof Man fixed/mobile operator, Manx Telecom. Telefonica O2 Europe, part of the Telefonica group, is headquartered in Slough,UK, and has more than 38 million mobile and fixed customers. About Telefonica Telefonica is one of the largest telecommunications companies in the world interms of market capitalisation. Its activities are centred mainly on fixed andmobile telephony, with broadband as the key tool for the development of both. The company has a significant presence in 23 countries and a customer base ofmore than 203 million worldwide. Telefonica is a 100% listed company, with in excess of 1.5 million directshareholders. Its share capital currently comprises 4,921,130,397 ordinaryshares traded on the Spanish Stock Market (Madrid, Barcelona, Bilbao andValencia) and on those in London, Paris, Frankfurt, Tokyo, New York, Lima,Buenos Aires and SAo Paulo. This information is provided by RNS The company news service from the London Stock Exchange