Investor Releases

Budapest, November 26, 2010 14:30

Magyar Telekom (Reuters: MTEL.BU and Bloomberg: MTELEKOM HB), the leading Hungarian telecommunications service provider, announces that it has signed an agreement with the European Investment Bank (EIB) for a long-term loan granted through Deutsche Telekom International Finance B.V. that will be used to finance mainly its broadband investment projects.

Magyar Telekom has been granted a loan in the amount of EUR 150 million (around HUF 41.5 billion at the 25 November 2010 HUF/EUR exchange rate of 276.6) by EIB through DT International Finance B.V., a Deutsche Telekom subsidiary managing Group financing, as a financial intermediary. The loan is denominated in forint, has duration of six years, and bears a fixed interest rate.

This investor news contains forward-looking statements. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore should not have undue reliance placed upon them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events.

Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Such factors are described in, among other things, our Annual Report on Form 20-F for the year ended December 31, 2009 filed with the U.S. Securities and Exchange Commission.