COSMOTE Romania continues to improve its performance in Q1, 2012

 EBITDA increased by 44.7% y-o-y

 Service revenues up by 5.4% y-o-y

 ARPU 10% up y-o-y

 3G customer base significantly increased by 74% y-o-y

 30% growth in business customer base y-o-y

Bucharest, May 10^th, 2012

COSMOTE Romania announces key performance indicators for the first quarter of 2012 fiscal year, ended March 31, 2012, as reported today by OTE Group.

In Q1 2012, COSMOTE Romania continued on its successful business course, consolidating its position on the market, having registered increases in all main indicators. Moreover, the company managed to further grow its business customers' base by 30%, compared to the same quarter last year, as a result of the company's competitive dedicated corporate offers. Important names, among which Bancpost with data services, joined our portfolio of business partners.

As of the end of March 2012, COSMOTE's total customer base was 6.4 million (including Zapp), with the postpaid ratio increasing to 23.4% from 22.4% in Q1 2011, as a result of the business segment growth and appealing offers for the residential segment. The company significantly increased its 3G customer base, by 74% compared to Q1 2011.

Total revenues in the first quarter of 2012 reached 117.4 million Euro, registering an increase of 9.4% compared to the same quarter last year. Service revenues grew by 5.4% compared to 2011.

EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) rose by 44.7% versus Q1 2011, reflecting a successful commercial strategy, as well as significant operating improvements. EBITDA margin stood at 22.1%, up by 5.4 p.p. vs. Q1 2011.

Blended ARPU (Average Revenue Per User) increased by 9.1% in Q1 2012, compared to Q1, 2011.

"COSMOTE Romania continued to improve its performance for yet another quarter, posting significant growth on many areas, despite the difficult economic conditions and intense competition. The company increased its EBITDA profitability, revenues, and ARPU, year on year. Moreover, the strong and sustained growth in the corporate segment, a valuable segment for the company, further consolidates COSMOTE's market position", said Konstantinos Apostolou, COSMOTE Romania's Chief Financial Officer.

COSMOTE Romania constantly invests in developing its national sales distribution channel, which included, at the end of March 2012, approximately 580 points of sale across the country.

With a market share of over 24%, COSMOTE Romania will continue to focus on expanding its broadband and corporate segments.

In Q1, 2012, OTE Group's mobile operations counted approximately 20.4 million customers in SE Europe.