Emfis

MATAV, Hungarian Telecommunications Co. Ltd. is comprised of the MATAV Group and its subsidiaries. MATAV is primarily engaged in providing telecommunications services in Hungary and in Macedonia. The Company is a provider of fixed line telecommunications services in Hungary, with approximately 2.8 million fixed access lines at December 31, 2003. It is also a mobile telecommunications service provider, with more than 3,766,000 mobile subscribers (including users of prepaid cards) at year-end 2003. In addition, MATAV provides leased lines, data transmission, corporate networks, cable television, Internet and sells and leases telecommunications equipment. The Company is part of the Deutsche Telekom group. MagyarCom, which is fully owned by Deutsche Telekom, owns 59.49% of MATAV. The Company is a full-service telecommunications provider operating in three business segments: fixed line telecommunications, mobile telecommunications and international activities.