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TWST: Can we begin with brief historical sketch of Tele2 (Nasdaq:TLTOB), bringing us up-to-date with where the company is today?

Mr. Jarnheimer: Tele2 was initially formed in Sweden where we actually started mobile telephony before the incumbent. But in those days it was still a state monopoly so it didn’t allow us to get more than approximately 20,000 subscribers. But that was a good help for us in getting the GSM license in 1992 when we started our mobile operation and also started up our fixed line telephony here in Sweden. Then gradually we moved into Norway, Denmark and the Baltic region and then two years ago we acquired a fixed line operation in Continental Europe. Right now we are up and running in 21 countries. Just to give you short brief regarding the revenue progress, when I came aboard in 1992 the revenue was US $1.8 million and today we are expecting to reach the analysts’ predictions of roughly US $3 billion. So we have had significant growth during these 10 years.

TWST: How do you maintain profitability while providing the most competitive pricing?

Mr. Jarnheimer: I think that is probably the biggest issue when it comes to the share price because we are probably the only alternative provider that is making money. The way we are trying to run the business is not the normal way of running telecommunications. In the old telecommunications, it was very much conducted by engineers who had a bigger interest in the products than in the customers. As far as my background goes, I come from retail both at IKEA and Hennes & Mauritz (H&M), and we have managed to implement a different view of providing telecom services. We are actually selling minutes and that’s our key task everyday, not to be able to develop further technical solutions.

TWST: Can we take a brief step back and look at some of the important trends and developments that will affect the company?

Mr. Jarnheimer: The most positive thing, and certainly key for us, is that everybody says the market is deregulated, but I think the last step, which is to provide local calls, is still not implemented in Germany and was only implemented in Holland on August 1st. Further down the road I am sure that we will be able to invoice the fixed telephony fee, which is a monopoly for the incumbents today. This whole process will allow us to take a bigger piece of the telecom cake every year. So that is probably the key development. The second key point is that our competitors are pulling out.

TWST: As a summary, what are the three or four key points you would give to investors for them to consider taking a position in Tele2?

Mr. Jarnheimer: Last year, we were the fastest growing telecom operator in the world. From a marketing perspective, we are focusing on leveraging on different telecom services – what you might call the bundle opportunity. Then we have also actually done what everybody says they will do. We have the most profitable mobile operation in Europe despite our prices being roughly 10% lower than our competitors. We are profitable and we are cash flow positive. In this environment it may be that the last two points are the most important.