TEO LT, AB - Notification on material event

Decisions of the Annual General Meeting of Shareholders held on 24 April 2012

The Annual General Meeting of TEO LT, AB (hereinafter ‘the Company' or ‘TEO')
shareholders, held on 24 April 2012, decided: 

- To approve the audited annual consolidated financial statements of the
Company for the year 2011. Consolidated annual report of the Company for the
year 2011, prepared by the Company, assessed by the auditors and approved by
the Board of Directors was presented to the shareholders. 

- To allocate the Company's profit for the year 2011 as follows: from the
Company's distributable profit of LTL 161,163 thousand (EUR 46,676 thousand) to
allocate LTL 155,364 thousand (EUR 44,997 thousand) for the dividend payment
for the year 2011 or LTL 0.20 (EUR 0.058) dividend per share. For annual
payments (tantiemes) to six members of the Board for the year 2011 to allocate
LTL 324 thousand (EUR 93.8 thousand), i.e. LTL 54 thousand (EUR 15.6 million)
per one member of the Board. 

The Law on Companies of the Republic of Lithuania provides that dividends shall
be paid to the shareholders who at the end of the tenth business day following
the Annual General Meeting that adopts a decision on dividend payment (rights
accounting day) will be on the Shareholders' List of the Company, i.e. will be
shareholders of TEO LT, AB on 9 May 2012. 

Following the Lithuanian Company Law the Company should pay dividends within
the one month following the day on which the decision on profit distribution
was adopted. The Company plans to pay out dividends on 23 May 2012. 

Following Lithuanian laws dividends paid to natural persons-residents of the
Republic of Lithuania and natural persons-residents of foreign countries are
subject to withholding Personal income tax of 20 per cent. Dividends paid to
legal entities of the Republic of Lithuania and legal entities-residents of
foreign countries are subject to withholding Corporate income tax of 15 per
cent, unless otherwise provided for by the laws. 

Residents of the foreign countries, which have concluded agreements on
Avoidance of Double Taxation with the Republic of Lithuania, could take
advantage of reduced tariffs provided by such agreements by submitting Claim
for Reduction or Exemption from the Anticipatory Tax Withheld at Source, form
FR0021 (DAS-1). 

- To elect UAB PricewaterhouseCoopers as the Company's audit enterprise for the
period of two years to perform the audit of the annual consolidated financial
statements of the Company for the year 2012 and 2013, and to make the
assessment of the consolidated annual reports of the Company for the year 2012
and 2013. To authorize the Company's general manager to conclude the agreement
for audit services, establishing the payment for services as agreed between the
parties but in any case not more than 480,000 (four hundred eighty thousand)
litas (EUR 139,018) (VAT excluded) for the audit of the Company's annual
consolidated financial statements for the two financial years and assessment of
the Company's consolidated annual reports (i.e. 240,000 (two hundred forty
thousand) litas (EUR 69,509) (VAT excluded) per each financial year). 

- To authorise the General Manager of the Company to implement all above
mentioned decisions, sign all the related documents and conclude all the
transactions required for implementation of the indicated decisions. The
General Manager of the Company shall be entitled to authorise any other person
to perform the indicated actions and to sign the indicated documents. 



ENCL.:

- TEO LT, AB Financial Statements, Consolidated Annual and Independent
Auditor's Report for the Year Ended 31 December 2011. 

- Statement of the Company's Profit Allocation for the Year 2011.




         Eglė Gudelytė-Harvey,
         Director of Corporate Administration and Legal Affairs Unit,
         tel. +370 5 236 72 92

Attachments:

2011_IFRS_TEO.pdf

2011_profit_allocation.pdf