Elisa - Company Announcement

Elisa Acquires Domestic Fixed Network Operator PPO’s Business

ELISA STOCK EXCHANGE RELEASE 20 DECEMBER 2012 AT 8:00am

Elisa and Osuuskunta PPO have signed an agreement in which Elisa acquires fixed
network operator PPO's telecom and IT businesses. The acquisition includes
PPO's ownerships in fixed network operators Kymen Puhelin Oy and Telekarelia
Oy. 

In 2011 revenue of these three companies totalled approximately EUR 100
million, of which EUR 7 million was household appliance business. EBITDA was
approximately EUR 22 million and number of personnel 470. The companies have
circa 70,000 fixed broadband, 54,000 PSTN and 35,000 cable-TV subscriptions. 

The acquisition price is approximately EUR 101 million, of which EUR 96 million
in cash and EUR 5 million in Elisa shares (approximately 300,000 shares or 0.2
per cent of Elisa's share capital). The acquisition price includes 100 per cent
of PPO-Yhtiöt Oy's, 46 per cent of Kymen Puhelin Oy's and 67 per cent of
Telekarelia Oy's share capital. The transaction has no impact on Elisa's
dividend payment capabilities. 

The transaction follows Elisa's strategy. Annual synergy benefits from PPO of
EUR 10 million are estimated to realise mostly in 2014. In addition, the new
Group companies increase the customer base for Elisa's services. 

The transaction is subject to the approval of the Finnish Competition
Authorities and normal condition precedents. Elisa estimates to close the
transaction during the first quarter 2013. 

Elisa will arrange a conference call on the subject for investors and equity
analysts today, on 20 December at 11am Finnish time (9am London time). The
conference call number is +358 9 82440981 and the PIN code 14199. 



ELISA CORPORATION



Vesa Sahivirta
IR Director, tel. +358 10 262 3036



Additional information:

Mr. Jari Kinnunen, CFO, tel. +358 10 262 9510
Mr. Vesa Sahivirta, IR Director, tel. +358 10 262 3036



Distribution:

NASDAX OMX Helsinki
Major Media
www.elisa.com