THE HAGUE, Netherlands -- KPN announces today that its subsidiary KPN Mobile International has entered into an agreement with Mobistar for the sale of its fixed Belgian B2B and Carrier business, including its fiber network, for an amount of EUR 65 million on a cash and debt-free basis. The business being sold is expected to generate pro forma revenues of approximately EUR 50 million and EBITDA of approximately EUR 10 million in 2009.

With this transaction, KPN has decided not to invest further in the Belgian B2B market, given the generally highly unfavourable competitive environment. Getronics Belgium remains committed to the Belgian market. The sale to Mobistar will allow KPN Group Belgium to fully focus on mobile and fixed services in the Consumer and SoHo/SME market segments. KPN has established a solid wholesale partnership with Mobistar to provide KPN Group Belgium with fixed products like VoIP and broadband.

KPN Telecom NV (NYSE: KPN)