14th Feb 2005 14:25
Telefonica SA14 February 2005 Telefonica S.A., as provided in article 82 of the Spanish Stock Market Act (Leydel Mercado de Valores), hereby reports the following SIGNIFICANT EVENT The Executive Committee of Telefonica S.A., in its meeting held February 9th2005, agreed to propose to Terra Networks S.A. the starting of negotiationsleading potentially to merge both companies. The proposal under the terms of thenegotiation fixes an exchange ratio of 2 shares of Telefonica S.A. of 1 Euronominal value each for 9 shares of Terra Networks S.A. of 2 Euro nominal valueeach. Madrid, February, 14th , 2005 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
TDE.L