KPN to sell its B2B and Carrier business

KPN announces that its subsidiary KPN Mobile International has
entered into an agreement with Mobistar for the sale of its fixed
Belgian B2B and Carrier business, including its fiber network, for an
amount of EUR 65 million on a cash and debt-free basis. The business
being sold is expected to generate pro forma revenues of approximately
EUR 50 million and EBITDA of approximately EUR 10 million in 2009.

With
this transaction, KPN has decided not to invest further in the Belgian
B2B market, given the generally highly unfavourable competitive
environment. Getronics Belgium remains committed to the Belgian market.
The sale to Mobistar will allow KPN Group Belgium to fully focus on
mobile and fixed services in the Consumer and SoHo/SME market segments.
KPN has established a solid wholesale partnership with Mobistar to
provide KPN Group Belgium with fixed products like VoIP and broadband.

The
transaction is expected to close in the first quarter of 2010. This is
amongst others subject to approval from the relevant competition
authorities. The works councils, labour unions and relevant
governmental bodies have been informed of the intended transaction.

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