COMUNICADO DE AVENIR TELECOM

Consolidated turnover for the year: Figures in line with the

strategy announced two years ago

MARSEILLES (FRANCE), 22 (PRNewswire)

Million EUR 2002-2003 2001-2002

4th quarter FY FY

Consolidated turnover 92.7 478.7 633.7

Consolidated Group turnover for the financial year ended 30 June

2003 reached 478.7 million euros, a fall of 24% compared with the

previous year. International turnover amounted 226.7 million euros

(47.4%).

The fall mainly stemmed from the decisions announced over the

past 24 months to refocus our strategy. Avenir Telecom has focused

its activities on value-added distribution and considerably reduced

its SIMFREE handset sales, which have a low margin, particularly in

Belgium, Spain and France.

Controlled distribution: optimisation of the network of stores

produces results

Controlled distribution, which combines the sales made in the

fully-owned store network and the affiliated stores operating under

the Internity and Mobile Hut brands, grew by 8% compared with the

previous year.

France :

Internity continued to actively manage its store network with

the closure of 8 points of sale and the opening of 5 new stores.

Over the quarter, the rise was 19% compared with the same

quarter of the previous year and 7% sequential.

This rise stemmed mainly from telephone activities with new

subscriptions performing well and a larger number of upgrade offers

which allow the client to change handset at a lower cost. Digital

imaging also performed very well benefiting from the dynamic of the

market and the brand's expertise.

Spain: Direct distribution rose by 42% compared with the previous

year. Internity benefited from its agreement with Vodafone, the

opening of 9 new stores over the year, raising the total number to

42 and an increase in upgrade offers.

Poland: Avenir Telecom Poland opened seven stores under the

operator's name of PLUS GSM under an agreement which delegated

management of the operator's own network to the Company.

Romania : Internity sales grew by 2%. The year was marked by the

strengthening of the links with Orange. The number of stores remained

unchanged but should increase this year with 4 new openings planned,

one of which has already been active since July.

Controlled distribution, the Group's main growth area, accounted

for 25% of the total for the financial year, compared with 18% last

year.

Indirect distribution, a contrasting activity

Indirect distribution, which at 68% is still currently the

highest contribution to group turnover, fell by 31% for the financial

year, particularly since the withdrawal from the Asian and Czech

markets announced at the start of the financial year which reduced

turnover by 26 million euros and the fall in sales of handsets

without service plans. Turnover in the UK grew by 11% in a very

competitive market. New promotions launched by UMTS "3" (Hutchison

3G) in particular had a very positive impact on sales in June.

After sales service: Cetelec restructures its business due to the

rapid decline the market

CETELEC's after sales activities currently account for 4% of the

group's consolidated turnover.

France and Belgium : CETELEC has seen a sharp drop in business in

recent months. The cost cutting programme being conducted by most

manufacturers is resulting in the loss of some major contracts and a

considerable reduction in the number of products offered. The

business was also penalised by the constant improvement in product

reliability reducing the number of returns under guarantee. CETELEC

had to bear the brunt of this situation, a situation which does not

show any signs of improving in the medium term. A restructuring plan

involving the loss of around hundred jobs is currently being

discussed with the various social partners.

Spain : CETELEC has a value-added service contract which was

signed with Vodafone at the start of the year.

Morocco and Romania: Business in Morocco, which has recently

obtained ISO 9001 certification, and Romania is benefiting from more

dynamic markets and a more favourable cost structure and sales

doubled.

Internet activities: withdrawal process continues

The remaining Internet activities had a limited turnover of 12.7

million euros. The final withdrawal from these activities was already

provided for last year and will not therefore have impact on the

Group's results .

"The turnover for the financial year reflects the policies we

announced several quarters ago, commented Jean-Daniel Beurnier,

Avenir Telecom Group Chairman and CEO. "Internity and international

business are confirming themselves as the Group's growth areas. Our

market is now gaining dynamic from the large scale arrival of new

multi-functional handsets that can be used a digital camera, as an

MP3 player or as a game console. The new multimedia applications

offered by operators is speeding up handset replacements. The first

commercial launches of 3G in the UK have been encouraging. We are

going to capitalise on the experience acquired and the professional

approach of our direct sales networks to derive maximum benefit from

all markets where we have a presence".

The consolidated annual results of the Avenir Telecom Group will

be published on 14 October before the markets open.

About Avenir Telecom

Founded in 1989 and listed on the Nouveau Marché of the Euronext

Paris Stock Exchange since 1998, Avenir Telecom is one of the leading

direct and indirect distributors of telecommunications products and

services in Europe. The Group notably distributes mobile phones and

service plans from major mobile phone and fixed line operators and

Internet service providers, as well as its own Top Suxess brand

accessories.

Avenir Telecom distributes its products and services through

leading mass distribution chains, independent retailers and toward

corporate customers. In addition, Avenir Telecom operates an

international network of more than 300 company-owned stores,

primarily under the Internity chain.

Avenir Telecom has operations in the United Kingdom, France,

Benelux, Spain, Poland, Romania and Morocco. It is the market leader

in most of the European countries it serves. The Group employs a

workforce of almost 1,700 worldwide. ISIN: FR0000066052 Reuters:

AVOM.LN; Bloomberg: AVTE

Shareholder hotline : 826 888 666 (0.15 euro / min)

Source: Avenir Telecom

Contacts: Press: Aude Morlet, Investor and shareholder contacts,

Céline Bouquerel, tel +33 4 88 66 60 12, fax: +33 4 88 66 60 10,

e-mail presse@avenir-telecom.com, tel +33 4 88 66 61 28, fax +33 4 88

66 61 11, e-mail: actionnaire@avenir-telecom.com

website: www.avenir-telecom.com

(104197)

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22-Ago-2003 15:29:58

(EUROPA PRESS)

08/22/15-29/03
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