History of share issues (2)

For the second share issue (DT2), the offer was extended to private investors in all the Eurozone countries.

Deutsche Telekom ventured into new areas with its second share issue on June 28, 1999: Retail investors throughout all euro countries were now able to participate in this second issue of about 280.9 million shares. These European investors were able to share the advantages enjoyed by retail investors in DT1 - share price reduction in the early order phase compared to the official issue price of 39.50 euros, as well as bonus shares if certain conditions were fulfilled. Never before had such a "retail investor"-based marketing campaign been so extensive. With advertisements on TV and radio in seven languages, as well as direct integration of the Internet as a central information medium, this campaign set new standards in targeting so many different countries. About 1.7 million retail investors, including more than 600,000 investors from other euro countries, made the T-Share the first truly international share. The cash injection for Deutsche Telekom generated by the emission of about 280.9 million shares was about 10.6 billion euros. This issue was the largest second share issue ever recorded in Germany.

After the third share issue (DT3), Deutsche Telekom became a company with one of the world's largest base of shareholders.

The third share issue, on June 19, 2000, released 200 million T-Shares from Germany's reconstruction loan corporation, the Kreditanstalt für Wiederaufbau (KfW) - initially instigated by the German Federal Republic to finance reconstruction after German unification - to the public and institutions. This resulted in a decrease of the KfW's stake in Deutsche Telekom from 22 percent to 15 percent.

Retail investors again received special incentives for this third share issue. The official issue price was set at 66.50 euros. After the enormous success of the second share issue for European retail investors, the third issue now included retail investors in 18 countries - including the USA, Canada and Japan - who also enjoyed reduced purchase prices and bonus shares. More than 3 million share orders were received from retail investors within and outside Germany which resulted in a demand 3.5 times higher than the actual number of shares on offer. This gave Deutsche Telekom one of the broadest shareholder bases worldwide and one of the largest proportions of foreign shareholders.