Telekom Austria Intros Structure

VIENNA -- The Telekom Austria Group (VSE: TKA, OTC US: TKAGY) today announced that the new corporate structure is now legally in place following approval by the Annual General Meeting on May 30, 2007; the spin off and commercial registration of the newly established fixed line company is complete as of today. The new structure encompasses the publicly listed holding company, Telekom Austria AG, an independent fixed line subsidiary, Telekom Austria TA AG, and the mobile subsidiary, mobilkom austria AG.

Boris Nemsic, CEO of the Telekom Austria Group and CEO mobilkom austria, commented: “Both customer needs and the market landscape have changed drastically in the past few years. The new corporate structure provides the basis for enhanced transparency and a more targeted and customer-oriented focus for our business segments, which will generate further growth.”

The management board of the holding company of the Telekom Austria Group includes Boris Nemsic (CEO), Rudolf Fischer (Deputy CEO) and Hans Tschuden (CFO). The management board of mobilkom austria remains unchanged with Boris Nemsic as CEO, Hannes Ametsreiter as CMO and Deputy CEO and Alfred Gattringer as CFO.

In the newly established fixed line subsidiary, Telekom Austria TA AG, Rudolf Fischer has been appointed CEO, Gernot Schieszler CFO and Deputy CEO and Hannes Ametsreiter as CMO. With this new structure, Hannes Ametsreiter has taken on a double function as CMO of both operating companies, guaranteeing increased synergies in the development of fixed line and mobile communication products and services.

Telekom Austria AG (NYSE: TKA; Vienna: TKA)