CTK informed that penetration of mobile phones in Czech Republic reached 112%, while fix-line declined to 32%. Although the saturation of Czech market with mobile phones is high, absolute figures still increase. Interest in fix-line is diminishing constantly since 2001 as customers are changing their behavior. Mobile phones are used mostly for communication, however data services are growing as well and fix-line is used mainly for internet connection. We see the news as neutral and it is in line with our projections. We reiterate our Sell recommendation for Cesky Telecom with fair price of CZK 480.