Organizational Change

Telefonica SA
29 November 2007





TELEFONICA S.A., as provided in article 82 of the Spanish Stock Market Act
(Ley del Mercado de Valores), hereby reports the following





SIGNIFICANT EVENT





Telefonica, S.A. announces that Mr. Peter Erskine will step down as General
Manager of Telefonica O2 Europe, retaining his position on the Board of
Directors of the Company and on its Executive Commission (Comision Delegada), as
non-executive Director.



Mr. Matthew Key, currently Chief Executive Officer of O2 UK plc., will replace
him as General Manager of Telefonica O2 Europe and as member of the Executive
Committee (Comite Ejecutivo) of Telefonica, S.A.











Madrid, November 29th, 2007.








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