Telefonica Moviles Selects Smartner's Mobile Office for Its Nationwide Enterprise Customers in Spain (SEVEN acquired Smartner in April 2005)

Smartner's solution will expand Telefonica Moviles' range of services to its customers with real-time email and calendar for standard devices

Madrid, Spain and Helsinki, Finland - (November 12, 2004) - Smartner and Telefonica Moviles Espana have entered a strategic partnership to bring to the market a new mobile email service for standard mobile devices. The new service - Correo Empresas de MoviStar - will be based on the award-winning Smartner Duality Always-On mail.

"It is a real fact that instant email is becoming the killer application in the mobile professional segment" says Luis Ezcurra, general manager of Service Development in Telefonica Moviles Espana. "Nowadays the development of new services over GPRS/UMTS networks and the new smartphones can give an excellent user experience in managing our email, calendar and contacts. Smartner has brought into the market a service that fits perfectly in Windows Mobile and Symbian handsets, complementing the BlackBerry solution that we already offer to our clients. On the other hand, email in mobile phones has just begun and there is still a long way to walk."

Powered by Smartner, Telefonica Moviles new mobile office solution delivers all the benefits of real-time enterprise messaging to a standard mobile device with a very comfortable user experience. It automatically pushes e-mail and calendar to PDAs, smartphones and symbian mobile handsets instantly, mirroring changes to the desktop. In addition, it enables viewing, editing and sending of typical email attachments. The solution is easy and fast to install and end-to-end secure making it a perfect solution for enterprises.

"Smartner Duality Always-On Mail offers a powerful tool for operators that want to be a market leader in the mobile applications space while keeping their total costs of ownership to a minimum," said Paul Hedman, CEO of Smartner. "With an efficient and easy to use mobile office application for standard devices, Telefonica can satisfy the needs of the most demanding enterprise customers."

Telefonica Moviles and Smartner will keep on exploring new fields in order to enlarge this collaboration.

Service Availability
The new service - Correo Empresas MoviStar - based on Smartner Duality Always-on Mail will be showcased at SIMO 2004 as in Telefonica Moviles' booth between November 9th and 14th. Correo Empresas de MoviStar has just begun a pre-commercial trial with some corporate clients.

About Telefonica Moviles Espana
Telefonica Moviles Espana (www.empresa.movistar.com) is the operator of Telefonica Moviles Group in the Spanish market, where it has 18,7 million customers and offers a comprehensive portfolio of data services and applications using the latest mobile technologies, including UMTS. Telefonica Moviles is one of the world's largest mobile operators and the leading cellular company in the Spanish- and Portuguese-speaking markets. At 30th September 2004, Telefonica Moviles' customer base reached 71,9 million managed clients in 16 countries, as a result of the agreement to acquire the cellular assets of BellSouth in Latin America. During 2003, Telefonica Moviles obtained revenues of EUR 10,070 million, or 10.2% more than in 2002. EBITDA rose 19.5% to EUR 4,463 million, while net profit totalled EUR 1,608 million. Telefonica Moviles is a founding member of the FreeMove alliance of European mobile operators.

The company's shares trade on the Spanish stock exchanges and the New York Stock Exchange under the ticker symbol TEM.

For further information about TEM, please visit the group's website at www.telefonicamoviles.com