Tele2 Ab Class A · OMXSTO:TEL2_A

Tele2 Ab Class A — Q1 2004 Earnings Presentation

17 slides from Tele2 Ab Class A's earnings presentation, 2004

1. Slide 1: Q1 2004 Financial Report

   Lars-Johan Jarnheimer President and CEO Q1 2004 Financial Report

2. Slide 2: We remain a growth company

   We remain a growth company (MSEK) Q1 2004 Q1 2003 % Change Operating Revenue 10,379 8,616 +20 EBITDA 1,522 1,480 +3 Operating cash flow 1,629 1,376 +18 Cash flow after investments 1,211 372 +226  Balance maintained • Continued growth in customers and revenue • Improving profitability • Healthy cash

3. Slide 3: 23.9 million customers

   23.9 million customers Nordic Nordic Total Total Subscribers: Subscribers: FINLAND FINLAND 6,690,000 6,690,000 RUSSIA NORWAY NORWAY Central SWEDEN ESTONIA Central Europe Europe SWEDEN ESTONIA Total Subscribers: Total Subscribers: LATVIA LATVIA 4,104,000 4,104,000 DENMARK DENMARK LITHUANIA LITHUANIA

4. Slide 4: 1.6 million new customers

   1.6 million new customers SUBSCRIBERS 30,000 25,000 20,000 ('000) 15,000 10,000 5,000 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2001 2002 2003 2004 4 Mobile Cable TV Fixed+Internet

5. Slide 5: Nordic Highlights

   Nordic Highlights (MSEK) Q1 2004 Q1 2003 % Change Operating Revenue 3,324 3,171 +5 EBITDA 976 1,019 -4 EBIT 757 790 -4  Mobile customers in Sweden up 8% to 3.4 million  Despite high levels of competition in Sweden mobile margins remained steady while fixed and Internet margins rose  Successful la

6. Slide 6: Tele2 Mobile in Sweden

   Tele2 Mobile in Sweden 450 180 400 160 350 140 300 120 ARPU (SEK) 250 100 MoU 200 80 150 60 100 40 50 20 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2002 2003 2004 ARPU postpaid ARPU prepaid MoU postpaid MoU prepaid 6

7. Slide 7: Baltic & Russia

   Baltic & Russia (MSEK) Q1 2004 Q1 2003 % Change Operating Revenue 726 570 +27 EBITDA 226 217 +4 EBIT 91 139 -35  In Russia 8th GSM network launched during quarter with two more launches in April  Fixed line services launched in Lithuania in February  Mobile ARPU somewhat diluted by recent Russian

8. Slide 8: Central European Highlights

   Central European Highlights (MSEK) Q1 2004 Q1 2003 % Change Operating Revenue 1,157 722 +60 EBITDA 8 -92 - EBIT -35 -131 -  Record 635,000 net customers added in the quarter taking total to 4.1 million  Germany continues its strong development  EBITDA positive result for first time  Tele2 brand

9. Slide 9: Southern European Highlights

   Southern European Highlights (MSEK) Q1 2004 Q1 2003 % Change Operating Revenue 4,084 3,298 +24 EBITDA 187 296 -37 EBIT 138 248 -44  39% annual increase in customers to 8.1 million, adding 662,000 customers in Q1  ARPU impacted by dilutive effect of dial-up internet customers  Commitment to ADSL-l

10. Slide 10: Benelux Highlights

    Benelux Highlights (MSEK) Q1 2004 Q1 2003 % Change Operating Revenue 1,042 818 +27 EBITDA 114 30 +280 EBIT 81 -8 -  Belgium makes a difference • Rollout of fixed line services throughout Belgium is driving revenues and customer intake 10

11. Slide 11: Outlook

    Outlook  Focus continues to be on Growth  Emerging Markets looks increasingly interesting  New services and cross-selling helps reduce churn “It remains our objective to maintain this balance between customer growth, profitability and cash flow generation.” 11

12. Slide 12: Håkan Zadler, CFO – Financial Highlight

    Håkan Zadler CFO Financial Highlight

13. Slide 13: Growth, Profitability, Cash Flow – it's there

    Growth, Profitability, Cash Flow – it’s there Q1 2004 Difference to Q1 2003 Revenues (MSEK) 10,379 +1,763 +20% EBITDA (MSEK) 1,522 +42 +3% Operating cash flow (MSEK) 1,629 +253 +18% Customer Net Additions (million) 1,568 +658 +72% 13

14. Slide 14: Consolidated Cash Flow

    Consolidated Cash Flow 2004 2003 2004 2003 2003 2003 2003 2002 2002 2002 2002 (MSEK) Q1 Q1 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Cash flow from operations 1,421 1,318 1,421 896 1,488 1,360 1,318 1,408 1,250 1,060 846 Changes in working capital 208 58 208 498 218 138 58 -154 -5 27 -67 Cash flow provided by 1,62

15. Slide 15: Net Debt

    Net Debt NET DEBT TO EBITDA 10,000 4.0 9,000 3.5 8,000 3.0 7,000 2.5 6,000 5,000 2.0 4,000 1.5 3,000 1.0 2,000 0.5 1,000 0 0.0 Q3 2001 Q4 2001 Q1 2002 Q2 2002 Q3 2002 Q4 2002 Q1 2003 Q2 2003 Q3 2003 Q4 2003 Q1 2004 Net Debt Net Debt to EBITDA 15

16. Slide 16: Capex to Sales

    Capex to Sales CAPEX TO SALES - GROUP CAPEX TO SALES - CENTRAL & SOUTHERN EUROPE 12% 12% 10% 9.6% 10% 9.3% 8.3% 7.9% 8% 7.6% 8% 7.2% 6.6% 6.2% 6.0% 6% 5.4%5.4% 6% 5.0% 4.9% 4.8% 4.5% 3.8% 3.9% 4% 4% 2.8% 2.5% 2.3% 1.9% 2% 2% 1.4% 1.6% 1.4% 1.2%1.1% 0% 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1 Q2

17. Slide 17: 2003 Annual Report now available on www.tele2.com

    2003 Annual Report now available on www.tele2.com

Tele2 — Q1 2004 Earnings Presentation on 6ix