THE VALUE OF THE TRANSACTION IS APPROXIMATELY 71 MILLION EURO, WITH A GROSS CONSOLIDATED CAPITAL GAIN OF APPROXIMATELY 34 MILLION EURO
THE OPERATION WILL HAVE A POSITIVE IMPACT ON TELECOM ITALIA GROUP FINANCIAL DEBT OF APPROXIMATELY 70 MILLION EURO BEFORE TAX
Telecom Italia states that as a part of its programme of real estate disposals for a total value of over 1 billion euro, approved on 21 December 2005 by the Board of Directors, its subsidiary Olivetti Multiservices on 30 March 2006 concluded the transaction of a second tranche of 120 properties to the closed-end fund denominated Spazio Industriale (the first transaction took place on 29 December 2005).
The value of the transaction is approximately 71 million euro, with a gross capital gain of approximately 34 million euro.
The transaction will have a positive impact on the consolidated financial debt of the Telecom Italia Group of approximately 70 million euro, before tax.
Units in the Spazio Industriale fund were sold to institutional investors headed by The Cypress Grove International Funds, and participated with a minority stake by Pirelli & C. Real Estate.
Milan, 30 March 2006