Vodafone - Panafon Hellenic Telecommunications Company S.A. and Ideal Telecom S.A announce their intention to merge by absorption of Ideal Telecom by Vodafone - Panafon. Ideal Telecom is 100% owned by Vodafone - Panafon as of 27 September 2002 and was consolidated in its annual results. No new shares will be issued. The Board of Directors of both companies took the decision on 30 September 2002.

The merger is expected to contribute positively to the cost of the offered services as well as to the portfolio of products and services offered to their customers.

The transformation date of the balance sheet has been set for 30 September 2002. The merger will be subject to clearance from legal competent authorities.