Reduced capex requirements in India

• Agreements with approximately 1,000 distributors and 300,000 points of sale in place


• Approximately 12,000 base stations installed


• Foreign Investment Promotion Board's recommendation to allow Telenor's shareholding of 67.25 % in Uninor has formally been approved

In connection with the launch Telenor has made the following adjustments to its strategy plan for India:

• Focused rollout in majority of 22 circles, while meeting licence obligations in all circles


• Accumulated capex first 5 years to be reduced by around INR 30-35 billion (approximately NOK 4 billion)

The targeted rollout combined with better terms from equipment vendors will reduce the capex requirements, and Telenor will evaluate the opex profile according to market development. The earlier communicated peak funding of INR 155 billion is now expected to be somewhat lower. The market share ambition and other financial targets, including EBITDA break-even approximately three years after launch and operating cash flow break-even approximately five years after launch, are still valid.

Contact:

Pål Kvalheim, Vice President Group Communications, Telenor
Tel: +47 970 44 970
Email: pal.kvalheim@telenor.com