NBG SECURITIES - OTE

• Subject: OTE RESULTS 2Q13 FIRST READ - AHEAD OF OUR ESTIMATES - GOOD CASH FLOW GENERATION AND FURTHER NET DEBT REDUCTION
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                 2Q13       2Q13 our estimates       var        2Q12 Actual

Sales          1.089,5                 1060                   +3%          1189      

EBITDA       386.7                   370.9                 +4%           416.7    

Net profit        57.2                      60*                   nm           104.5

*our estimates include Globul impact vs. reported that do not include the impact from Globul

The results were strong in terms of operating cash flow generation and EBITDA

performance; the net debt at the end of 2Q13 stood at EUR2.45bn and adjusting for the Globul sale it would stand just above EUR1.7bn.

Operating performance in fixed line exceeded our expectations (growth on adj EBITDA by >10% vs. 6.5% we were expecting); Romtelecom performance was softer to our estimates while the negative trend in the mobile has softened vs. our estimates.

Consensus had been a bit more optimistic 1%-2% but the cash flow generation is a positive surprise. These results should please the market.

Costas Theodorou

Equity Research

NBG Securities SA