Telecom Italia S.p.A. announces final results and pricing of its tender offers

Not for distribution in or into or to any person located or resident in the united states, its territories and possessions, any state of the united states or the district of Columbia (including Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, wake island and the Northern Mariana Islands) or in or into or to any person located or resident in any other jurisdiction where it is unlawful to distribute this document.

Telecom Italia S.p.A. (the Company) hereby announces the final results and pricing of its invitation to eligible Noteholders of its €650,000,000 6.75 per cent. Notes due 2013 (ISIN: XS0418509146) (the March 2013 Notes), €500,000,000 Floating Rate Notes due 2013 (ISIN: XS0312208407) (the July 2013 Notes), €500,000,000 7.875 per cent. Notes due 2014 (ISIN: XS0409510590) (the January 2014 Notes) and €750,000,000 4.75 per cent. Notes due 2014 (ISIN: XS0254905846) (the May 2014 Notes and together with the March 2013 Notes and the January 2014 Notes, the Fixed Rate Notes and together with the July 2013 Notes, the Notes and each a Series) to tender their Notes for purchase by the Company for cash (the Offers).

The Offers were made on the terms and subject to the conditions set out in the tender offer memorandum dated 6 July 2012 (the Tender Offer Memorandum). Capitalised terms used in this announcement and not otherwise defined have the meanings ascribed to them in the Tender Offer Memorandum.
 

As at the Expiration Deadline of 5.00 p.m. (CET) on 12 July 2012, an aggregate nominal amount of €777,298,000 of Notes has been validly tendered in the Offers.

The Company regards the Offers as being very successful in achieving its objectives and has decided to (i) increase the Maximum Acceptance Amount from €500,000,000 to €777,298,000; and (ii) accept for purchase all Notes validly tendered as set out below.

The Company is therefore very pleased to provide liquidity to all those Noteholders who validly tendered their Notes in the Offer.

The Purchase Price for each Series of Fixed Rate Notes accepted for purchase was determined at or around 2.00 p.m. (CET) today in the manner described in the Tender Offer Memorandum by reference to the sum of the relevant Purchase Spread and the relevant Benchmark Rate as follows:

The applicable Purchase Price together with Accrued Interest will be paid to Noteholders whose Notes have been accepted for purchase by the Company. Settlement is expected to occur on 17 July 2012.

BNP Paribas, Citigroup Global Markets Limited and Merrill Lynch International acted as the Dealer Managers for the Offers and Citibank, N.A. acted as the Tender Agent.

Questions and requests for assistance in connection with the Offers may be directed to:

Disclaimer

This announcement must be read in conjunction with the Tender Offer Memorandum.

Neither this announcement nor the Tender Offer Memorandum constitutes an invitation to participate in the Offers in any jurisdiction in which, or to any person to or from whom, it is unlawful to make such invitation or for there to be such participation under applicable securities laws. The distribution of this announcement and the Tender Offer Memorandum in certain jurisdictions may be restricted by law. Persons into whose possession either this announcement or the Tender Offer Memorandum comes are required by each of the Company, the Dealer Managers and the Tender Agent to inform themselves about, and to observe, any such restrictions.

Rome, 13 July 2012