- 3,938 new customers and operating profit of NOK 18 million*) in 4th quarter

* ) Before one-off cost related to VAT claim

Telio continues to deliver strong results, thereby confirming their position as a leading European provider of access independent broadband telephone services. Telio increased its customer base by 3,938 net new customers in the fourth quarter. Revenues in the fourth quarter ended at NOK 95.9 million.

Telio and the Norwegian tax authorities have finally decided to close the “VAT issue/case”, which has been ongoing since the tax authorities initiated a tax audit in spring 2006. The tax authorities have issued a ruling which comprises the whole period from 2004 until the Norwegian tax authorities introduced VAT on all electronic services on 1 July 2011. According to the ruling, Telio will pay NOK 50 million, including interest, as a complete and final settlement of the VAT issue. Telio has decided not to appeal the ruling which consequently constitutes a complete and final solution to the “VAT issue” as described in the risk section of Telio’s financial reports.

- 3,883 new customers and operating profit of NOK 20.5 million in 3rd quarter

Telio continues to deliver strong results, thereby confirming their position as a leading European provider of access independent broadband telephone services. Telio increased its customer base by 3,883 net new customers in the third quarter. Revenues in the third quarter ended at NOK 94.0 million. The third quarter is the company’s first reporting after the introduction of VAT on electronic services from 1 July.