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

On 3 May 2021, Telekom Slovenije, d.d., received the decision of the Slovenian Competition Protection Agency (hereinafter: AVK) with which AVK informs it that the procedure of establishing a violation of Article 9 of the Prevention of Restriction of Competition Act (ZPOmK-1) and Article 102 of the Treaty on the Functioning of the European Union (TFEU; formerly Article 82 of the Treaty establishing the European Community) has been stopped.

AVK launched the procedure of establishing the violation on 19 March 2009 against Mobitel, d.d., and continued the procedure against Telekom Slovenije, d.d., as its legal successor. AVK launched the procedure following a report from Tušmobil, d.o.o. (now Telemach, d.o.o.) because of alleged abuse of dominant position on the retail market for mobile telephone services by leading a pricing policy of indirectly or directly setting unfair retail prices of its Itak Džabest price plan. On 13 February 2012, AVK issued a decision, determining that Telekom Slovenije, d.d., did violate Article 9 of ZPOmK-1 and Article 102 of TFEU by offering the retail price plan Itak Džabest at unfair prices between November 2008 and July 2010, as the incremental revenue was lower than the incremental costs. Telekom Slovenije, d.d., lodged a lawsuit at the Supreme Court of the Republic of Slovenia against the decision, and on 26 November 2013 it ruled in favour of Telekom Slovenije, d.d., returning AVK’s decision back to AVK for a new procedure with the instruction that it should review and rule on the evidence Telekom Slovenije, d.d., presented, and rule whether this issue really does have a sufficient level of harm to competition.

Based on this, AVK issued a decision on 22 April 2021 on stopping the procedure with the explanation that it did not manage to obtain evidence on the existence of a predatory exclusionary strategy of Telekom Slovenije, d.d., in the repeated procedure.

This announcement will also be available on the company’s website (www.telekom.si) for a period of at least 5 years.