The Board of Directors of Telefónica Czech Republic, a.s., in accordance with the rules approved in the General Meeting resolution from 19 April 2012 on reduction of the Company's registered capital, notifies that on 17 October 2012, a resolution of the Municipal Court in Prague took legal effect on the basis of which the reduction of the Company's registered capital pursuant to the General Meeting Resolution shall be registered in the Commercial Register on 14 November 2012. In accordance with the General Meeting Resolution, the date decisive for determining persons entitled to payment of the amount corresponding to the reduction of nominal values of Company's shares shall be 14 November 2012. In accordance with the General Meeting Resolution, the Company's Board of Directors also notifies the following details for the purposes of payment of the aforementioned amount: The amount to be paid: CZK 13 per share (before tax) per share with the nominal value of CZK 100 and CZK 130 per share (before tax) to each share with the nominal value of CZK 1,000. The payments shall commence starting on 14 December 2012.