Telia Lietuva : Quarterly Earnings

SUSTAINABILITY REPORT 2020

CONTENT

WHAT IS TELIA	YEAR 2020:	COVID-19	RESPONSIBLE	ENVIRONMENTAL	SHARED VALUE
LIETUVA?	WHAT WAS IT	CHALENGES	BUSINESS	PROTECTION	CREATION
	LIKE FOR US?
What is Telia Lietuva	Key Figures of the Group	Welfare Of Employees	Responsible Business	Reduction of Carbon	Technology: Society's
Group?	Financial Indicators	During the Quarantine	Transparency and Anti-	Dioxide Emissions	Involvement and
		Reduction of Daily Waste	Education
What is Telia Company?	Investment	Telia's Contribution	Corruption
Our Business Strategy	in Combating the	Freedom of Expression	Employee Engagement	Innovation: New Services
CEO message
Consequences of	and Opportunities
Memberships in	Personal Privacy	and Involvement
	the Pandemic	Volunteering and Support
	Promoting Sustainability
Organisations			Diversity and Equal Rights
		About the Report
			Attention to Employees
			Responsibility in the
			Market

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WHAT

IS TELIA LIETUVA?

We are Telia Lietuva - the largest telecommunications company in Lithuania. By integrating fixed-line and mobile communications, we provide the most advanced telecommunications, television and IT services as well as solutions to people and businesses.

We work to keep our customers connected anywhere and anytime, no matter which technology is being used. We also work to ensure that technological innovations and smart IT solutions help businesses operate efficiently and successfully. The COVID-19 pandemic and quarantine have shown that we are the ones who ensure critical infrastructure and services for hundreds of thousands users for both their daily life and successful business over distance.

The majority of our customers are Lithuanian residents and businesses. We also provide services to domestic and international telecommunications operators.

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WHO ARE WE?	YEAR 2020: WHAT WAS IT LIKE	COVID-19 CHALLENGES	RESPONSIBLE BUSINESS	ENVIRONMENTAL PROTECTION	SHARED VALUE CREATION
FOR US?

WHAT IS TELIA LIETUVA

GROUP?

In 2020, Telia Customer Services LT, AB, a fully owned subsidiary of Telia Lietuva, taking care of Telia Lietuva customers and providing Directory Inquiry service 118 in Lithuania, was merged into Telia Lietuva, AB. All employees of the merged company became employees of Telia Lietuva.

In addition, at the beginning of 2020, Telia Lietuva, together with other shareholders - Bitė Lietuva and Tele2 - decided to sell the shares of UAB Mobilieji Mokėjimai, their jointly controlled entity operating under MoQ brand, to SEPAexpress FS. The provision of mobile payment services and the operation of mobile application MoQ were ceased from the middle of May 2020.

VšĮ Numerio Perkėlimas, a joint not-for-profit organization, established in Lithuania together with other operators Bitė Lietuva and Tele2, in collaboration with Mediafon from 2016 administers the central database to ensure telephone number portability in Lithuania (Telia Lietuva holding a 50 per cent stake, while Bitė Lietuva and Tele2 holding a 25 per cent stakes each).

We are part of the international Telia Company Groupoperating in the Nordic and Baltic countries. By creating together, sharing experiences and ideas, we provide millions of customers in seven countries with more opportunities and quality. In 2020, Dan Strömberg, CEO of Telia Lietuva, was appointed as Senior Vice President of Telia Company AB in charge of cluster Lithuania, Estonia and Denmark (LED) at Telia Company Group.

Telia Lietuva shares are listed on  Nasdaq Vilniusstock exchange (ticker - TEL1L). We have been recognized by the stock exchange as a Nasdaq ESG Transparency Partner, and ranked sixth among all Baltic market companies that have achieved the best results in terms of transparency, good corporate governance and investor relations.

The Communication Regulatory Authority (CRA) of Lithuania has designated the company together with its related legal entities as an operator with significant market power (SMP) on six markets.

The head-office of Telia Lietuva is located at Saltoniškių str. 7A, Vilnius. The company provides services throughout Lithuania.

In the fourth quarter of 2020, the company's market share in terms of revenue amounted to

38.2%

What is Telia Lietuva Group?

What is Telia Company? Our Business Strategy Memberships in Organisations

€ 1 BILLION

At the year-end Telia Lietuva market capitalisation exceeded EUR 1 billion for the first time in history.

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WHO ARE WE?	YEAR 2020: WHAT WAS IT LIKE	COVID-19 CHALLENGES	RESPONSIBLE BUSINESS	ENVIRONMENTAL PROTECTION	SHARED VALUE CREATION
FOR US?

WHAT IS TELIA COMPANY?

Telia Company is one of the largest developers and providers of integrated telecommunications services in the Nordic and Baltic countries. Its companies provide services in 7 markets - Sweden, Denmark, Norway, Finland, Estonia, Latvia and Lithuania.

In 2020, Allison Kirkby took office as new President and CEO of Telia Company.

Employees

20,700

Sales revenue

€ 8.75 BILLION

Subscriptions

24.3 MILLION

What is Telia Lietuva Group?

What is Telia Company?

Our Business Strategy

Memberships in Organisations

SWEDEN

NORWAY

DENMARK

FINLAND

#1	34%	#2	33%		#3	18%		#2	31%
#1	49%	#2	11%		#3	7%		#3	25%
#1	31%	#2	12%		#5	3%		#3	20%
#2	19%	#2	14%		#4	1%
Ownership1: 100%	Ownership1: 100%		Ownership1: 100%		Ownership1: 100%

ESTONIA	LATVIA	LITHUANIA	TV AND MEDIA

#1	50%				#1	46%		#2	29%
#1	83%							#1	80%
#1	51%							#1	52%
#2	38%							#1	37%
Ownership1: 100%		Ownership1: 60.3%	Ownership1: 88.2%		Ownership1: 100%

1) Ownership is defined as direct and indirect ownership, i.e. effective ownership	# Market position
an is equal to consolidated share.			% Market share
Telia Company's market share estimate is based on the number of subscriptions.
Mobile	Fixed voice	Broadband	TV

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