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Telecom Italia: Decision of The Board 15 September 2006

09/16/2006 - 12:00 PM

The Board of Directors of Telecom Italia S.p.A. met today, in relation to the recent events regarding the Company following the meeting of 11 September 2006, at which the operation of re-organization of the Company through the splitting off of the branches relative to the local fixed network and the domestic mobile telephone business was approved.

During the meeting, the Chairman Marco Tronchetti Provera tendered his resignation. This decision was motivated by the intention of protecting the interests of the company and shareholders in the continuation of the strategic direction identified by the Board, removing the Company from the tensions which have emerged and avoiding that the unjustified personalization of the events of the last few days compromise the realization of that strategic direction and the consequent re-organization decided.

The Board of Directors unanimously rejected the resignation and with force requested Mr. Tronchetti Provera to withdraw the decision. Acknowledging the irrevocability of the resignation and sharing the primary interest of ensuring continuity in the pursuit of the strategies and operations decided, the Board assumed as its own the recommendations of Mr. Tronchetti Provera and nominated Mr. Guido Rossi to substitute him in the role of Chairman. The Board also nominated as Executive Deputy Chairman Mr. Carlo Buora and conferred to him the organizational responsibilities and the powers which had been Mr. Tronchetti Provera’s, with the exception of the functions of general counsel and the management of institutional relations, which will report to the Chairman. The Board of Directors also confirmed Mr. Gilberto Benetton as Deputy Chairman and Mr. Riccardo Ruggiero as Chief Executive Officer.

Mr. Guido Rossi, in accepting the appointment, confirmed the intention of carrying out his mandate in continuity with the strategies and objectives already identified by the board, continuing with the realization of the operations communicated to the market.


Milan, 15 September 2006