O2 Czech Republic : Board of Directors intends to propose the 2017 dividend and distribution of part of share premium in the total amount of CZK 21 per share (15 February 2018)

Inside information

O2 Czech Republic Board of Directors intends to propose the 2017 dividend and distribution of part of share premium in the total amount of CZK 21 per share

February 15, 2018

The Board of Directors of O2 Czech Republic ("the Company") approved the intention of the 2017 dividend proposal in the total amount of CZK 5,274 million, which represents CZK 17 before tax per each share with the nominal value of CZK 10 and CZK 170 before tax per share with the nominal value of CZK 100. This represents 98% of unconsolidated net profit for 2017 (CZK 5,396 million).

On top of the regular dividend, the Board of Directors intends to propose distribution of part of the share premium in the amount of up to CZK 1,241 million, which means CZK 4 before tax per each share with the nominal value of CZK 10 and CZK 40 before tax per share with the nominal value of CZK 100.

Thus, the Board of Directors of the Company intends to propose to the shareholders total shareholder remuneration for 2017 of up to CZK 6,515 million.

"At the general meeting, we intend to propose to the shareholders dividend for 2017 and distribution of part of share premium in the total amount of CZK 21 per share" comments Tomáš Kouřil, the Company's Chief Financial Officer and Vice-Chairman of the Board of Directors, on the Board of Directors' intention.

The Company holds treasury shares. The Company will have entitlement to dividend payment and amount related to the distribution of the share premium. Thus, the final total amount paid to the shareholders will depend on the actual number of treasury shares held by the Company as at the record date. The record date along with the payment date will be part of the Board of Directors' proposal to the General Meeting deciding on its adoption. The proposal will form part of the invitation to the General Meeting. The invitation will be published in accordance with the timeline required by the law.

Contacts

Investor Relations

O2 Czech Republic a.s.investor_relations@o2.cz t +420 271 462 076

About O2 Czech Republic

O2 is the largest integrated telecommunications provider in the Czech market. At present we operate close to eight million mobile and fixed accesses, which ranks us among the market leaders in fully converged services in Europe. To users of mobile services in the Czech Republic we offer state-of-the-art HSPA+ and LTE technology. For our customers, the O2 brand does not mean telecommunications only. O2 is capable to meet also the most demanding customers' requests also in ICT area and offer them hosting, cloud and managed services in our data centres, with total floor area of 7,300 square metres. O2 data centres obtained as the first commercial ones in the Czech Republic and Central Europe TIER III certification. With our O2 TV we are also the largest IPTV service provider in the Czech Republic.

O2 Czech Republic a.s.