Magyar Telekom (Reuters: MTEL.BU and Bloomberg: BÉT:
MTELEKOM HB), the leading Hungarian telecommunications
service provider announces that at its meeting held today,
the Board of Directors approved the mid- and long-term
strategic direction of the company's operations. One of the
first steps is the establishment of a new management
structure. The changes, to start from January 2013, will
enable Magyar Telekom to exploit the new, innovative
service and business opportunities by responding more
flexibly to changes in customer demand and to market
challenges. The company's new organizational structure is
also designed to enable Magyar Telekom to serve its
customers in a high-quality, state-of-the-art and efficient
way. Magyar Telekom will provide further details regarding
the new strategic direction and the operational model in
the fall, following the adoption of necessary decisions.
In the changing world of telecommunications, the rapid
development of technologies and the dynamic transformation
of customer demand, as well as the unfavorable market and
economic trends of the recent period pose challenges that
Telekom intends to prepare for. The company's new
vision is built to a great extent upon its existing,
uniquely wide-range service portfolio, and the potential of
its wide-scope sales channels and customer relations
systems. Telekom's core business will be expanded to
develop new online capabilities and opportunities in the
digital home, further strengthening its footprint in
non-traditional markets. The company's business activities
will focus to an even greater extent on serving customers.
This is reflected by the new organizational structure, in
which separate management will be responsible for serving
the three basic customer segments (residential; small and
medium businesses; enterprises).
"Our market positions and the current challenges offer an
opportunity, a break-out point for Telekom to implement the
right strategic and management changes within a proper
timeframe and thus ensure that we remain a service provider
that is able to recognize trends and also shape them. As a
result of the changes, we will be able to meet customer
expectations without compromise and even exceed them.
Moreover, we will ensure Magyar Telekom's long-term
sustainable and profitable operations and the return on
investment," said Chairman-CEO Christopher Mattheisen
commenting on today's decisions.
The main changes, to take effect from January 1, 2013,
pursuant to the decision of the Board of Directors, are as
The current position of Chief Sales and Services Officer
shall be transformed and renamed "Chief Commercial
The current position of Chief Marketing Officer shall be
terminated.§ A new position titled "Chief
Commercial Officer SOHO/SMB" shall be created to head the
field of responsibility in charge of serving the
respective customer segment.
The current position of Chief Operating Officer Business
Services Business Unit shall be renamed "Chief Commercial
The current position of Chief Strategic and Corporate
Development Officer shall be transformed and renamed
"Chief Business Development Officer".
The number of senior executives will not change. The
Management Committee, in charge of the company's
operational management, will continue to consist of the
Chairman-CEO and eight Chief Officers.
Magyar Telekom's Management Committee will elaborate on the
transformation, new organization and management structure
in due course. It will provide further information on the
new strategic direction and the operational model in the
As a result of the organizational changes, the employment
of Chief Marketing Officer István Király will be terminated
with mutual consent on June 30, 2012. His tasks will be
assumed by Consumer Segment Marketing Director, Melinda
Szabó, until the end of the year. Chief Technology and IT
Officer István Maradi will also leave the company with
mutual consent with effect of July 31, 2012. A decision
concerning his successor will be taken later.
This investor news may contain forward-looking statements.
Statements that are not historical facts, including
statements about our beliefs and expectations, are
forward-looking statements. These statements are based on
current plans, estimates and projections, and therefore
should not have undue reliance placed upon them.
Forward-looking statements speak only as of the date they
are made, and we undertake no obligation to update publicly
any of them in light of new information or future
Forward-looking statements involve inherent risks and
uncertainties. We caution you that a number of important
factors could cause actual results to differ materially
from those contained in any forward-looking statement. Such
factors are described in, among other things, our Annual
Reports for the year ended December 31, 2011 available on
our website at http://www.telekom.hu.