Pursuant to provisions of the Rules of the Ljubljana Stock Exchange and applicable legislation Telekom Slovenije, d.d., Cigaletova 15, Ljubljana, publishes the following notification:

Today Telekom Slovenije, d.d and Telekom Austria Group signed an agreement for the merger of operators ONE DOOEL Skopje, which is a part of the Telekom Slovenije Group, and VIP OPERATOR DOOEL Skopje, which is a part of the Telekom Austria Group, in the Macedonian market. Telekom Slovenije, d.d., will hold a 45 % share in the newly founded merged company, while Telekom Austria Group will hold a 55 % share. The agreement also includes call and put options for the exit of Telekom Slovenije from the joint venture within three years from closing of the merger.

The closing of the transaction is subject inter alia to a confirmatory due diligence of ONE DOOEL Skopje and approval from the Macedonian  authorities. Telekom Slovenije, d.d. and Telekom Austria Group plan that the transaction will be completed in the first quarter of 2015.

Activities in the Macedonian market comply with the Business Plan of the Telekom Slovenije Group for 2014 and the Strategic Business Plan for the period 2014-2018. Telekom Slovenije, d.d., shall not disclose any other details until the completion of the transaction.

With a 23.6% market share and approximately 528,000 mobile users and with the total of 640.000 users in all segments in Q4 2013, ONE DOOEL Skopje is the third largest mobile communications operator and second largest communication services provider in the Republic of Macedonia. In 2013 the companies ONE DOOEL Skopje and Digi Plus Multimedia DOOEL Skopje generated EUR 75.5 million of net sales revenues and EUR 14.4 million of EBITDA.

Telekom Austria Group has been present in the market of the Republic of Macedonia through its subsidiary VIP OPERATOR DOOEL Skopje since 2007. VIP OPERATOR DOOEL had approximately 630.000 customers by Q4 2013 and with a market share of 28.1 % is the second largest mobile communications operator. Revenues of VIP OPERATOR DOOEL amounted to EUR 65 million and EBITDA to EUR 14.7 million. By acquiring the company blizoo Macedonia in July 2014, Telekom Austria Group also started to offer fixed services in the Macedonian market.

This notification will be also accessible on the website of the company (www.telekom.si) for a minimum period of 5 years.