Deutsche Telekom will be launching a Euro denominated benchmark transaction shortly, subject to market conditions. The target size of the offering is Euro three billion with a 5 years and a 10 years tranches. Under no circumstances the amount will be increased above Euro four billion. Further terms and conditions are to be determined. There will be an investor conference call at 9.00 am London time on Tuesday, January 11. The bond will safeguard Deutsche Telekom's liquidity reserve position and will not increase its net debt position.
The bonds will be issued under the existing Debt Issuance Programme by Deutsche Telekom International Finance B.V. and will be guaranteed by Deutsche Telekom AG as to payment of principal and interest.
Deutsche Telekom takes advantage of the current favourable market conditions and the financial strengths of the group caused by the successful net debt reduction of the past two years. As of today we expect the year end 2004 net debt position clearly below the third quarter figure of EUR 40.8 billion.
This announcement is for information purposes only and is not an offer to sell, or the solicitation of an offer to buy, any securities.
The distribution of this press release and the offer and sale of Deutsche Telekom securities in certain jurisdictions may be restricted by law. Any persons reading this announcement should inform themselves of and observe any such restrictions.
THIS PRESS RELEASE IS NOT AN OFFER OF SECURITIES FOR SALE IN THE UNITED STATES. The Bonds have not been and will not be registered under the U.S. Securities Act of 1933. The Bonds are in bearer form and are therefore subject to U.S. tax law requirements. The Bonds may not be offered, sold or delivered within the United States or to U.S. persons.
This announcement is directed only at persons who (i) are outside the United Kingdom or (ii) are in the United Kingdom and either have professional experience in matters relating to investments or are high net worth companies, unincorporated associations etc for the purposes of Article 49 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2001 (all such persons together being referred to as "relevant persons"). This announcement must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this announcement relates is available only to relevant persons and will be engaged in only with relevant persons.
Stabilization/FSA.