MTEL has announced further delays in its AGM on the back of the ongoing litigation at one of its subsidiaries. The AGM is now likely to be pushed later than May. Additionally, the company has announced that they deem last year's dividend payment of HUF 70 per share as reasonable, and is likely to propose a similar rate this year. We believe that management is simply being prudent by not committing to a higher dividend given ongoing legal issues. We would view a HUF 70 DPS payment as slightly negative as it is some 6% lower than our forecast of HUF 75, and we see negative impact on the shares today. Nonetheless, it still represents a 7.6% dividend yield, and given current attractive valuations (MTEL trades at 5.0x 2006F EV/EBITDA) and robust fundamentals (revenue growth of 3% in 2006 and 2007), we reitarate our Buy recommendation.