NETHERLANDS

Jeff Dodds, CEO Tele2 Netherlands

Fixed broadband back to growth

0

2000

4000

6000

8000

10000

12000

Activations Churn

Jan-13 Sep-14

3

Already high smartphone penetration

High mobile phone tariffs compared to the rest of Europe

4G data positioned as a premium service by

many brands

Enormous potential for data growth

It is good to be a challenger in the Netherlands

4

Source: Telecompaper

78% 82%

16%24%

11%17%

April May June July August September

78% 82%

Smartphone Penetration Tele2 4G Enabled Phones Tele2 VoLTE Enabled Phones Tele2

Smartphone penetration, 4G and VoLTE enabled phones in Tele2 NL customer base

Smartphone penetration the Netherlands +12% vs. last year

High smartphone penetration,and still growing

0%

10%

20%

30%

40%

50%

60%

70%

80%

2010 2011 2012 2013 2014

72%

60%

58%

39%

19%

5

1517 17 18 19

32 32

DK IR UK TP16 Countries FI BE NL

High mobile tariffs compared to the rest of Europe

Source: Telecompaper: 2014 Q3 analysis of price plans offered in 16 European countries

2014 Q3: SIM only Median TCO per country for 360+ minutes and 2GB+

6

High mobile tariffs compared to the rest of Europe

T-Mobile offer KPN offer Vodafone offer

7

Enormous potential for data growthComparing our two biggest markets

Tele2 NL Data per user per month | NL vs SE

-

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2012 2013 2014

NL SE

+ 425%

+ 252%

500 MB

1,800 MB

60 MB

350 MB

8

Enormous potential for data growth,Netherlands lagging behind

Source: Tefficient 2013 H1 9

Consistent growth in customer base

600,000

620,000

640,000

660,000

680,000

700,000

720,000

740,000

760,000

780,000

800,000

Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014

Mobile Customer Base Tele2: 12th consecutive quarter of growth as an MVNO without 4G

10

New entrant – No legacy

Acquired the 2600mhz spectrum

Implemented Network sharing

deal with T-Mobile

Acquired 800mhz 4G spectrum.

Spend 80% less than other

operators during the 2012 auction

Faster Roll-Out of the network

Reduced Setup Costs

Reduced Ongoing Costs

11

Now Low datausage

Expecteddata usge

High datausage

MVNO MNO

- 85%

• 4G should not be priced at a premium• Our low cost structure provides the basis for

a uniquely priced 4G product in the Netherlands

• No legacy and much lower costs as an MNO provide financial incentive to aggressively promote 4G over 3G

Huge advantage in direct costs

Key takeaways

MVNO (3G)

MNO (4G)

12

High quality 4G network to deliver an outstanding customer experience in the Netherlands

Nationwide 4G coverage both in-building and

outdoors

LTE-Advanced from launch, with speeds tested

up to 225 MB

The Network will be VoLTEcapable

13

4G launch timetableQ1 2016Q1 2015Q4 2014 Q2 – Q4 2015

Full transfer of employees

Begin new and existing customer

transfer

Completion of national coverage

Expected national Coverage

14

The Netherlands remains a high priced

market

Huge potential for data growth in the

Netherlands

Lowest cost operation, with Significant cost

advantage as MNO

Summary

LTE-Advanced network from launch

15

>20%

Our market share ambition

16

THE BEGINNING

Q&A

18