Telenor in 2003

Telenor’s position in the home market for fixed and mobile services is strong. Telenor has solid international growth through a continued commitment to emerging markets, and synergies are created between activities in the Group. Telenor is also the leading supplier of TV services in the Nordic region, both via cable and satellite.

Q1
In February, Telenor Mobil – Norway entered into an agreement with Visa in Norway for payment via the mobile phone. The agreement will enable subscribers to use their Visa cards as means of payment via mobile commerce.

Q2
In April, Telenor disposed of 9% of the shares in the Greek mobile operator Cosmote – with a NOK 1.5 billion gain before taxes. On 26 February 2004, Telenor entered into an agreement to sell its remaining shares in Cosmote for approximately NOK 3.1 billion, which will result in a gain before taxes of approximately NOK 2.6 billion in 2004.

In April, Telenor entered into an agreement with Norway’s National Office for Social Insurance for an including working life that involves 10,000 Telenor employees in Norway. The aim of the agreement is to reduce sickness absence and to raise the average retirement age.

In May, Telenor Mobil – Norway simplified its pricing system and reduced its SMS and call rates. Telenor Mobil also launched a new “young at heart” subscription under the brand djuice®, replacing previous OYO subscriptions.

Q3
In July, the Kingdom of Norway reduced its ownership in Telenor from 77.6% to 62.6%. In March 2004 the Kingdom of Norway further reduced its ownership in Telenor. As of 30 March 2004, the share was 53.2%.

In July, Telenor entered into an agreement to provide wireless Internet at Statoil’s 300 service stations in Norway. Statoil’s chain of service stations is the first in Europe to offer its customers wireless Internet access.

In August, Telenor purchased the remaining 25% of the shares in telecommunications provider Comincom/Combellga in Russia.

In September, Telenor Mobil – Norway started the
work of substantially increasing GSM coverage along
the Norwegian coast. Many areas will see a considerable increase in the range of coverage from land as new technology is introduced at existing and new base stations.

In September, Telenor announced that it would take steps on behalf of its customers to stop the pollution of the Internet, thereby taking a position as a leading supplier
of IT safety for kids, families and for the business market.

Q4
In October, Telenor entered into an agreement with the Finnish operator Elisa to supply joint data and telecommunications solutions for the two companies’ customers in the Nordic region and in the Baltics.

In October, Telenor Mobil and Pannon GSM formed an alliance (Starmap Alliance) with seven other European mobile operators. The alliance shall offer seamless voice and data solutions for businesses and private customers in Europe. From 1 April 2004, the alliance was expanded to include Sonofon.

In December, Telenor sold its shares in Comincom/Combellga in exchange for a 19.5 per cent ownership share in Golden Telecom – a Russian stock-listed provider of voice and broadband services to business customers. As at 31 December 2003, Telenor’s ownership share in Golden Telecom was 20.4%.

In December, Telenor entered into an agreement with BellSouth for Telenor’s acquisition of the remaining 46.5 per cent of the shares in Danish mobile operator Sonofon at a price of DKK 3.050 million. The transaction was completed on 12 February 2004.

Telenor’s customers in Norway sent 14.5 million MMS messages in 2003. A total of 1.6 million new mobile handsets were sold in Norway in 2003, and a majority of these were equipped with MMS functionalities.

For more news see Telenor’s press release archive for 2003: http://press.telenor.com/press_archives_eng.html