Q results April 2009

Management commentary to Stock Exchange about Q results The Group’s sales revenues in the first quarter were primarily impacted by regulations (European Union regulations applied on the mobile sector) and the economic downturn (reduction of sales of goods and changes in consumer behavior). At the same time, there is a continuing growth of mobile postpaid, mobile and fixed broadband and TV customers. Thanks to efficiency programs that were previously implemented it was possible to compensate the loss of revenues by a proportional decrease of expenses and to maintain the EBITDA margin.

EMT’s market position EMT’s estimated market share (by number of active SIM-cards) was 47% March 2009 March /- Mobile postpaid users (in th.) 488,0473,015,0

Elion’s market position March 2009 March /- No of permanent Internet connections (in th.) 176,5167,59,0 No of IP and cable-TV customers (in th.) 86,963,223,7 Total means of communication (in th.) 461,0473,0-12,0

Financial results Eesti Telekom Group

Dynamics of sales Continued customers’ growth in broadband services and mobile communication segments; Sales revenues were primarily impacted by regulations that EU applies to the mobile sector and by the economic downturn

ARPU

Dynamics of OPEX Decline in retail and wholesale volumes Significant impact of efficiency projects to IT, maintenance and personnel costs

Dynamics of EBITDA

CAPEX and depreciation Investing priorities: Broadband Development of network resources, changes in the product portfolio, the improvement of and expansion of the availability of the triple-service packages Mobile Implementation of technologies supporting high-speed data communications; IT Expansion of the infrastructure necessary for the provision of services

Cash position Proposal of the Management Board is to pay dividends for the year EUR per share (92.6 mln EUR in total); Dividends will be booked in May 2009 and paid in June 2009; Tax on dividends (24.6 mln EUR) will be booked in May 2009 and paid in July 2009

Largest shareholders of AS Eesti Telekom

Trading statistics in Tallinn AS Eesti Telekom has been listed on the Tallinn and London Stock Exchanges (OMX:ETLAT/LSE:EETD) since TRADING HISTORY ON THE TALLINN STOCK EXCHANGE (in euros) Veerg Q High Low Last Change, % Traded volume23,749,35419,336,24123,693,03217,636,4952,788,123 Turnover, mln Capitalisation, mln1, , , Source: NASDAQ OMX Tallinn SHARE INFORMATION Veerg Year-end number of shares137,954,528 Annual average number of shares137,954,528 Equity per share, EUR Earnings per share, EUR P/E ratio Dividends per share for the year (2008 – the Management Board proposal), EUR Dividend payout ratio, %

Structure of the Group