Investor News

Budapest, July 12, 2012 11:00

Magyar Telekom (Reuters: MTEL.BU and Bloomberg: BÉT: MTELEKOM HB), the leading Hungarian telecommunications service provider, announces that due to unfavourable economic and market processes it has decided to implement a gradual tariff change effective from September and October 2012, respectively.

The changes will match the varying characteristics of mobile and fixed line as well as postpaid and prepaid tariff packages and will retain the benefits and discounts favoured by customers. For postpaid mobile packages the change in monthly tariff will be mitigated by unchanged minute and text message rates and conditions; while for prepaid mobile packages, there is no monthly charge but minute charges will change. For enterprise customers, there will be no change to either the monthly fee for tariff packages included in dedicated framework contracts, nor the national minute and text message rates. The monthly fees for fixed line service packages will remain, even after the change, below the price cap set by the regulator.

The gradual and partial tariff change effective from the autumn have been made unavoidable by the unfavourable market processes, the economic environment still lacking signs of recovery, inflation remaining higher than expected, as well as certain economic policy measures of the past period. At the same time, the partial tariff change does not mean that the new telecommunications tax effective from July 2012 will be devolved to customers.  

This investor news may contain 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 Reports for the year ended December 31, 2011 available on our website at https://www.telekom.hu.