According to Reuters, Telefonica sees only minimal increase of 0% to 2% in revenues of Cesky Tel and 1% to 3% in its OIBDA during 2005 2009 period. The development of revenues is in line with our projections and at the top end of the I.B.E.S consensus of 1.7%. However on OIBDA level, the company is slightly more optimistic. Nonetheless given recent fall in stock prices we see possible upside and reiterate our Buy recommendation.
Separately, Cesky Tel specified the launch of IPTV providing 30 programs by the end of August; however the unit price has not been disclosed yet.