The buyout proposal officially published on Friday at CZK 456/share and effective between 30 July and 19 September states that Telefonica is not going to propose dividends in 2005 nor support such a request at any EGM this year, and the company has confirmed this for us. This is in contrast with our expectation of dividends being paid after the buyout is completed. CT's official dividend policy would imply dividends of CZK 12/share while we expected CZK 20-25/share. Telefonica said that dividend payments in 2006 would depend on CT’s financial position and cash flow. We expect CT’s dividend yield in 2006 to reach nearly 10%. We maintain our Buy recommendation with a fair value of CZK 515/share.