* Revenue was EUR 367 million (378) * Revenue was negatively affected by 2007 revenue adjustment of mobile segment, approximately EUR 7 million. This was due to correction of 2007 revenue estimate of delayed customer billing * New mobile interconnection fees as of 1st of January lowered revenue by approximately EUR 14 million compared to the previous quarter * EBITDA exclusive of non-recurring items of EUR 3 million was EUR 111 million (115) and EBIT EUR 57 million (68) * Revenue adjustment and implementation costs of the new billing and CRM system affected negatively on EBITDA and EBIT by approximately EUR 12 million, which is not booked as a non-recurring item * Profit before tax amounted to EUR 52 million (64) * Earnings per share was EUR 0.25 (0.30) * Cash flow after investments more than tripled to EUR 66 million Key indicators: +-----------------------------------------------------------+ | Income statement | 1-3/2008 | 1-3/2007 | 1-12/2007 | | EUR million | | | | |-------------------------+----------+----------+-----------| | Revenue | 367 | 378 | 1 568 | |-------------------------+----------+----------+-----------| | EBITDA | 108 1) | 115 | 499 2) | |-------------------------+----------+----------+-----------| | EBIT | 57 | 68 | 302 | |-------------------------+----------+----------+-----------| | Profit before tax | 52 | 64 | 285 | |-------------------------+----------+----------+-----------| | Earnings per share, EUR | 0.25 | 0.30 | 1.38 | |-------------------------+----------+----------+-----------| | Capital expenditures | 38 | 45 | 206 | +-----------------------------------------------------------+ EBITDA excluding non-recurring items: 1) EUR 111 million, 2) EUR 491 million. Financial position and cash flow: +----------------------------------------------------------------+ | Financial position | 31 Mar 2008 | 31 Mar 2007 | 31 Dec 2007 | |----------------------+-------------+-------------+-------------| | Net debt | 955 | 578 | 738 | |----------------------+-------------+-------------+-------------| | Net debt / EBITDA 1) | 2.2 | 1.3 | 1.5 | |----------------------+-------------+-------------+-------------| | Gearing ratio, % | 120.6 | 51.6 | 71.3 | |----------------------+-------------+-------------+-------------| | Equity ratio, % | 37.7 | 51.0 | 47.9 | |----------------------+-------------+-------------+-------------| | Cash flow statement | 1-3/2008 | 1-3/2007 | 1-12/2007 | | Cash flow after | | | | | investments | 66 | 18 | 114 | +----------------------------------------------------------------+ 1) (interest-bearing debt - liquid assets) / (EBITDA excluding non-recurring items x 4) Outlook for 2008 Competition in the Finnish telecommunications market remains challenging, while the focus is increasingly on services. The use of mobile communications and broadband products is continuing to rise. Elisa's aim is to further reinforce its position as the service leader. Elisa's revenue, EBITDA and EBIT excluding non-recurring items are expected to be at the same level as in 2007. The additional implementation costs of the billing and CRM system will continue until the end of the year. This factor combined with the more challenging overall market situation is expected to effect the 2008 EBITDA and EBIT. However, the contributory factors for long-term growth and profitability improvement include the 3G market growth and efficiency measures, which are continuing as expected. Full-year capital expenditures are expected to be 10 to 12 per cent of revenue, and cash flow will substantially improve on the previous year due to factors such as change in net working capital. Comprehensive January-March 2008 report Elisa will publish the January-March 2008 Interim Report on Friday 25 April 2008. ELISA CORPORATION Vesa Sahivirta Director, IR and Financial Communications Additional information: Mr Veli-Matti Mattila, CEO, tel. +358 10 262 2635 Mr Jari Kinnunen, CFO, tel. +358 10 262 9510 Mr Vesa Sahivirta, Director, IR and Financial Communications, tel. +358 50 520 5555 Distribution: Helsinki Stock Exchange Principal media www.elisa.com