Agreement to offer services

Telefonica SA
27 June 2007




Press Release


TELEFONICA AND SOGECABLE TO JOIN FORCES TO BUY CONTENT AND OFFER A TRIPLE
PLAY SERVICE TO BE BRANDED 'TRIO +'


Madrid, 27 June 2007.- Telefonica and Sogecable have signed today an agreement
to offer telecommunications and digital satellite television services and to
work together to buy pay-TV content in the Spanish market.


As from 30 November 2007, Telefonica and Sogecable will provide a joint offer
branded 'Trio +' via  their respective sales channels. It will consist of
Telefonica's DUO service (ADSL and Voice) and the satellite television service
offered by Digital+.


Each company will invoice its respective customers separately and will continue
to provide customer care and service via their corresponding centres.


Telefonica and Sogecable will therefore be able to offer a competitive Triple
Play service whereby Sogecable can offer all its current and future customers
the option of ADSL television while Telefonica can widen its current offer to
include satellite pay-television, on top of its Imagenio service.


Sogecable and Telefonica have also agreed to join forces to buy pay-TV content
in Spain. Sogecable will take the lead in these initiatives and supply the
content to Telefonica. As a result, both parties to the agreement expect to
leverage the size of their joint customer base in order to acquire content which
will benefit both companies' customers and enhance the catalogue of content on
offer.


The agreements are set to last for four years. As they are non-exclusive, they
leave the door open for future agreements between the parties and with other
operators.



For further information


Press Office

Gran Via, 28 - 3a Planta

28013

MADRID

Tef: + 34 91 5840920

Fax: + 34 91 532 7118

e-mail: [e-mail]

http://www.telefonica.es/saladeprensa

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