DT Execs Step Down

Heinz Klinkhammer and Walter Raizner step down from Deutsche Telekom's management board

December 8, 2006

4 Min Read

BONN, Germany -- The Supervisory Board of Deutsche Telekom approved the new Board of Management at its meeting on Tuesday. The Board members responsible for the strategic business areas Broadband/Fixed Network, Mobile Communications and Business Customers will take on additional cross-divisional tasks in the future. The Supervisory Board has appointed two new members to the Deutsche Telekom Board of Management - Timotheus Höttges as the Board member responsible for T-Com and Sales & Services in Germany and Hamid Akhavan responsible for T-Mobile and Product Development and Innovation. The new management team will develop the Group’s strategic orientation at national and international level in the coming weeks. Operational focus will be on improving service quality and customer satisfaction.

“Since his appointment three weeks ago, the CEO has successfully put together a strong and customer-oriented Board of Management team together with the Supervisory Board,” said Chairman of the Supervisory Board, Dr. Klaus Zumwinkel. “The foundations for management to work successfully have been laid within a very short time. Focus can now be placed on working for the company, its customers, employees and shareholders.

"Total customer orientation, entrepreneurial thinking and innovative strength are particularly important to me in the new management of Deutsche Telekom. The new Board of Management embodies these qualities. Together we will now set out Deutsche Telekom's long-term strategy and present it to you by the spring of next year," said Chairman of the Board of Management René Obermann. "One long-term objective is however already clear: we want to make Deutsche Telekom the most highly regarded service company. That means product offers and services tailored to the customers' needs, top network quality, built on vastly improved efficiency."

As a new Board member, Timotheus Höttges will not only assume responsibility for the Broadband/Fixed Network strategic business area, but also for Sales & Services at T-Com and T-Mobile in Germany. Mr. Höttges recently demonstrated just how successful a team comprising T-Mobile, T-Com, T-Punkt stores and specialist sales can be as head of the T-sales drive. During his time at T-Mobile, he also showed how service can be enhanced while increasing efficiency at the same time. Mr. Höttges was responsible for coordinating sales and service activities in Europe on the Board of T-Mobile International to date.

Hamid Akhavan will be taking the helm of T-Mobile. He will manage mobile communications companies in Western and Eastern Europe and take on additional responsibilities for an integrated market approach in Hungary, Croatia and Slovakia. Mr. Akhavan will also manage Group-wide innovation and product development in consumer business. He was Chief Technology and Information Officer of T-Mobile International to date and was appointed Group CTO in September.

T-Systems boss Lothar Pauly will continue to be responsible for the network and IT strategy and procurement in the infrastructure area, as well as the successful management of the Business Customer area.

Dr. Karl-Gerhard Eick continues to be responsible for Finance, having had his contract extended, and will remain Deputy CEO. His department will be extended to include Auditing and Shared Services in the future. Additionally, Eick will be acting Board Member for Human Resources from January 1 2007. Regine Büttner has withdrawn her candidacy for this position.

The Board of Management and Supervisory Board thanked Heinz Klinkhammer for his eleven years as the Board member responsible for Human. Since 1995, Mr. Klinkhammer has implemented the staff restructuring process that was necessary at Deutsche Telekom and developed an HR policy to accommodate the consequences of the job cuts. At the age of 60, Dr. Heinz Klinkhammer has decided to resign from office effective the end of 2006 for personal reasons.

The Board and Supervisory Board also thanked Walter Raizner for his work leading T-Com. Mr. Raizner initiated crucial developments in the Broadband/Fixed Network strategic business area and laid important foundations for the realignment of the fixed network area in a difficult market environment. The merger of T-Online und T-Com that was so important for the Group occurred during his time in office.

Robert Dotson, CEO of T-Mobile USA, will report directly to the Group CEO in the future, whose department will be extended to include Group Organization, Group Security and Mergers and Acquisitions.

“The new management team is an excellent mix of strong personalities. We will do everything to reignite our customers' and shareholders' enthusiasm for Deutsche Telekom," said René Obermann.

Deutsche Telekom AG (NYSE: DT)

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