Uniprex- Radio Blanca Award

Telefonica SA
17 March 2004



Pursuant to the request of the Spanish National Securities Market Commission
(CNMV) dated March 17th , 2004 and as provided in article 82 of the Spanish
Stock Market Act (Ley del Mercado de Valores), Telefonica S.A. hereby reports
the following




                               SIGNIFICANT EVENT



Telefonica S. A. and Kort Geding S. L. entered into an agreement on May 21st ,
2003 whereby the former sold to the latter 25.1% of the share capital of Antena
3 de Television S.A. The agreement includes a covenant whereby the seller
undertakes to adjust the price in Kort Geding's in an amount equal to 25.1% of
any eventual negative economic consequences that could arise from the terms of
the award handed down in the arbitration between Uniprex and the Radio Blanca
group.


To date, Telefonica, S.A. has not been informed of the terms of the arbitration
award handed down in the proceedings between the company Uniprex and the Radio
Blanca group, given that the Radio Blanca's contractual relation is exclusively
with Uniprex and its investee companies.


Nor is it known if there have been filed or if there will be filed challenges to
the award, nor the reasons on which such challenges could be based.


Therefore, Telefonica does not have any relation with Uniprex or with Antena 3
de Television, S.A. in relation to that award.








Madrid, March 17th , 2004





                      This information is provided by RNS
            The company news service from the London Stock Exchange