Most of the euro area MFI interest rates on new deposits and loans were slightly lower in March 2004 than in the previous month.

Selected MFI interest rates (weighted averages on new business)

percentages per annum excluding charges)

MFI interest rates on new business: The weighted average rate on overnight deposits from non-financial corporations decreased by 2 basis points to 0.86% in March 2004. The weighted average rate on deposits from households redeemable at up to and including three months? notice also decreased by 2 basis points, to 2.00% in March. In contrast, the weighted average rate on deposits from households with an agreed maturity up to and including one year increased by 5 basis points to 1.92% in March.
The weighted average rate on bank overdrafts of households decreased by 9 basis points to 9.72% in March 2004. In the case of loans up to and including EUR 1 million to non-financial corporations at floating rate or up to and including one year initial rate fixation, the weighted average rate decreased by 13 basis points to 3.89%. Similarly, the weighted average rate on loans over EUR 1 million to non-financial corporations with the same initial rate fixation decreased by 4 basis points to 2.93% in March. For longer-term loans, the weighted average rate on loans to non-financial corporations over EUR 1 million with over five years? initial rate fixation increased by 9 basis points to 4.39% in March. For households, the weighted average rate on loans for house purchase with over five and up to and including ten years? initial rate fixation decreased by 11 basis points to 4.86% in March.

MFI interest rates on outstanding amounts: The weighted average interest rate paid on outstanding amounts of deposits from households with an agreed maturity up to and including two years declined by 2 basis points to 1.92% in March 2004. The weighted average interest rate paid on outstanding amounts of deposits from non-financial corporations with an agreed maturity up to and including two years remained broadly unchanged at 2.07% in March.

The weighted average interest rate charged on outstanding amounts of loans to households for house purchases with over five years? maturity decreased by 7 basis points to 5.04% in March. The weighted average interest rates on outstanding amounts of loans with over five years? maturity to non-financial corporations increased by 3 basis points to 4.61% in March.

Weighting method: The new business interest rates are weighted by the size of the individual agreements, by the reporting agents and when computing the national and euro area averages. In addition to changes in the actual interest rates, changes in the euro area average interest rates on new business therefore reflect changes in the weights of the countries within the instrument categories.

Notes

• New business refers to any new agreement between the customer and the MFI, while outstanding amounts refer to the stock of all deposits and all loans at a specific moment in time. Three instrument categories ? overnight deposits, bank overdrafts and deposits redeemable at notice ? form a separate group for which interest rates on new business and on outstanding amounts coincide.

• More detailed information on MFI interest rate statistics is available under "MFI interest rate statistics" in the "Statistics" section of the ECB's website (http://www.ecb.int).

• The corresponding business volumes for each of the MFI interest rate categories are shown in Tables 2 and 4 of the Annex.

The company continues the realization of significant investments in development and production of software products as well as improvement of existing products according to the Business Plan dated December 2002, issued for the listing of the company in the Parallel Market of Athens Stock Exchange.

The development of Notos Com financials over the first quarter of 2004 was particularly positive. Specifically:

COMPANY RESULTS

PROFITS BEFORE TAXES: euro 7.87 mln

PBT reached euro 7.87 mln v. euro 6.21 mln for FY 2003, giving a marked increased by 26.6% compared to the same period in the previous year.

EBITDA euro 10.15 mln

EBITDA for the period was euro 10.15 mln (20% on Turnover), compared to euro 8.93 mln in the previous year, an increase of 13.7%.

GROSS PROFIT euro 21.73 mln

Gross Profit was higher, reaching euro 21.73 mln (a Gross Profit Margin of 42.85%) versus euro 19.73 mln at the end of the same quarter in 2003 (GM Margin 40.71%), a increase of 10.2% in absolute figures.

TURNOVER euro 50.73 mln

Turnover increased at a rate of 4.69% compared to 2003, reaching euro 50.73 mln, from euro 48.45 mln in the previous financial year.

The rate of growth of Turnover falls short of what has been budgeted for the year (an increase of 9.7%), one reason being the delay witnessed in deliveries of apparel from foreign suppliers, and another the fact that one floor in the Notos Galleries Lambropoulos (traditional) department store, through which sales of home products were effected, closed down over the duration of the quarter since its use was being altered (hitherto the floor caters for younger generation trendy apparel).

The satisfactory increase in Turnover was achieved with a better product mix in terms of profitability. Thus, the increased Gross Margin was improved by 2.14 points, at 42.85% on Turnover, due to a more ideal mix and the fact that the sales period during the current year was shorter. The effect of the slight increase in operating expenses as a percentage of Turnover (due to higher advertising expenses) was set off by the increase in other expenses, as a result of which EBITDA was higher by about 14%, reaching euro 10.1 mln, with an improved margin by 1.58 points, i.e. 20% on Turnover, from 18.42% over the same period in 2003.

Finally, the 31.4% drop in financing costs due to lower debt by euro 24 mln following the repayment of the first two installments of the syndicated loan, in combination with the improvement in operating profits and the lower extraordinary losses, led to an important increase in Net Profits by 26.6%, with a 15.5% margin on Turnover, i.e. increased by 2.69 points compared to last years performance.

On the basis of these developments, Notos Com management is certain that the results as presented and published in March 2004, will once again be realized.

CONSOLIDATED RESULTS

Consolidated Turnover exhibited a higher growth rate, since they were increased by 6.72% compared to the respective quarter in 2003, reaching euro 58.53 mln. This is due to the positive contribution of AIAKOS SA, i.e. the new home products department store Notos Galleries Home, a contribution that was set back by the fact that there was no Turnover from Big City Corporation, the Group's computer company whose activities were terminated at the end of 2003.

Gross Profits reached euro 26.3 mln, increased by 11.46%, while the Margin on Turnover was at 44.95% versus 43.04% last year.

Higher operating expenses (30% on Turnover v. 27% in 2003) resulting from increased advertising costs, limited the rate of growth of EBITDA to 6.5%, reaching euro 9.9 mln, or 16.9% on Turnover.

Finally, Earnings before Tax were improved by about 8%, at euro 6.63 mln, with a margin of 11.33% on Turnover versus 11.2% last year. Compared to EBT at the company level, consolidated figures exhibit a lower increase due, on the one hand, to depreciation allowances for AIAKOS SA and, on the other, the comparatively slower fall in financing expenses, since the positive effect of the lower balance on the syndicated loan was reduced by the effect of loans of subsidiaries.

INTRACOM, exhibiting for the 5th consecutive year in the event, presented iselectTM Order Management, iselectTM Catalogue Management, iselectTM Resource Management, iselectTM SelfCare and ActionStreamerTM products, which comprise a comprehensive, end-to-end provisioning process, from service creation to order fulfillment.

In particular, iselect Catalogue Management enables Telecom Operators or Service Providers to define products and relevant pricing policies, with optimal flexibility and according to market needs, allowing for multiple product variations, market driven bundling, and highly personalized pricing schemes.

iselect Order Management provides the tools and functions needed to control sales and activation of the Operator or Provider?s Products. It supports a configurable Service Ordering Process from Creation to Fulfillment, via dynamically driven flows (Process Flow System).

iselect Self Care, provides a unique and common access point, through which the Operator/Provider and its customers can place orders, log complaints and modify account details. In addition, Electronic Bill Presentment and Payment is seamlessly supported.

Following the above decision COSMOTE's Board of Directors was formed into a body and elected Mr. P. Vourloumis as the new Chairman, Mr. A. Johansen as Vice Chairman and Mr. E. Martigopoulos as Managing Director.

Mr. Vourloumis thanked the members of the Board and commented, 'COSMOTE is one of the key growth drivers of the OTE Group. As the new Chairman of the Board of Directors I intend to contribute to the continuation of COSMOTE's successful track record and performance, and create enhanced value for the Company's customers, employees and shareholders'

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