• Total revenues reach €1,368 million, up 6.3% over first quarter 2008
• EBITDA grows to €468 million, up 2.7% over the first three months of 2008; EBITDA margin at 34.2%
• EBIT reaches €211 million, growing 7.0% over €197 million recorded in Q1 2008
• Group net profit in first quarter of 2009 of €59 million, vs a net profit of €40 million recorded in the first three months of the previous year
• Over €200 million generated in the quarter
• 1.85 million total direct fixed-line subscribers, up 20.5% over previous year
• 17.2 million mobile subscribers, up 8.5% over March 31, 2008
• Finalised contract for the acquisition of over 130 shops strengthening commercial presence in shopping malls

The Board of Directors of Wind met today to review and approve the financial results for the period ended March 31, 2009.

Results as of March 31, 2009
In the first quarter of 2009, Wind generated total revenues of €1,368 million, up 6.3% over the same period of 2008, driven by further by solid performance in both mobile revenues, which grew 3.1% over previous year, and in fixed-line and Internet revenues, which increased 13.3% over the first quarter of 2008. The strong improvement in fixed-line revenues is a combined result of the solid performance of the business in the first quarter, and of the acquisition of M-link by Wind in January 2009.
Wind’s EBITDA in the first quarter of 2009 reached €468 million, a 2.7% increase over Q1 2008, with a 34.2% margin. EBITDA growth was driven by top-line performance and control on costs, but was partially offset by the negative impact of the ULL fee increase by Telecom Italia which became effective on January 1, 2009.
EBIT in three months ended March 31, 2009 grew 7.0% over the same period of 2008 reaching €211 million.
The consolidated group net profit for the first quarter of the year reached €59 million, growing 49.8% over the net profit of €40 million recorded in the corresponding period of the previous year.

Wind’s net financial indebtedness as of March 31, 2009 was €6,196 million, growing slightly over December 31, 2008, as a result of the payment of a €185 million dividend to the parent company, the acquisition of M-Link for €55 million and the mark to market of derivatives. The net debt to EBITDA ratio remains stable at 3.06x against 3.02x recorded as of December 31, 2008. The continued strong cash flow generation, which exceeded €200 million in the quarter, enabled Wind to distribute a dividend to the holding company, Wind Acquisition Holdings Finance S.p.A., used to buyback part of the PIK loan for a total nominal amount of about €255 million.

Commercial performance

Mobile
In the first quarter of 2009 Wind continued to pursue its value focussed strategy in the mobile market, through its simple offer structure that provides tangible benefits for the customer, achieving an 8.5% growth of its customer base, which, as of March 31, 2009, counted 17.2 million subscribers.
Wind’s mobile ARPU in the first three months of the year decreased to €16.8 from €18.3 recorded in the same period of 2008, mainly driven by the decline in incoming revenues resulting from the termination rate cut in July 2008.
Overall traffic volumes continued to grow sharply, up 9.6% YoY, reaching 8.4 billion minutes while the number of SMSs in the first three months of the year grew 70% to over 5.4 billion messages.
Wind has also continued to focus its offerings on higher value customer segments and on the further development of its HSDPA Mobile Internet offerings, the latter through highly innovative pricing plans. Currently, Wind’s Mobile Internet offering is available in the 103 main Italian cities, with speeds up to 7.2 Mbps.
As a result of the investments made in customer service Wind has managed to maintain a very high level of customer satisfaction, as measured by industry surveys, which continues to positively impact its churn rate.

During the first quarter of 2009 Wind signed the contract for the acquisition of over 130 shops located in shopping malls throughout the country which will further strengthen its distribution presence through mono-brand stores. The shops are scheduled to start their sales activity under Wind in the coming months, subject to all the relevant approvals by the local authorities.

Fixed-line and Internet
In the first three months of 2009 Infostrada has continued to focus its commercial efforts on the further growth of its subscriber base and in particular of its direct customer base, both for voice and broadband Internet services. The success of Infostrada’s voice offerings has been further strengthened by an appealing communication campaign centered around the concept of maintaining prices stable as opposed to the incumbent having increased its prices. In the first quarter of the year, Infostrada recorded a 9.3% increase in voice customers which now exceed 2.69 million. This success was in part driven by the further expansion of Infostrada’s direct access network, which counted, as of March 31, 2009, 1,094 ULL sites and which resulted in a sharp increase of the total direct customer base which reached 1.85 million, growing 20.5% over Q1 2008, with 78 thousand net adds in the quarter. Of this, voice direct customers exceeded 1.8 million as of March 31, 2009, up 21.8% over the first quarter of the previous year.
During the first quarter of 2009 Infostrada increased its focus on dual-play integrated offerings, selected by over 1.13 million subscribers (+33.3% over same period of previous year), having added 97 thousand net subscribers in the first quarter alone. This performance has enabled Infostrada to further expand its broadband Internet customers to 1.45 million as of March 31, 2009, growing 30.1% over the previous year. In the first three months of the year Infostrada recorded 95 thousand Broadband net additions.

2009 Outlook
Notwithstanding the negative economic situation and unfavourable regulatory developments, the positive results recorded in the first quarter of 2009 lead Wind to believe that, based on available information, the year will see a further strengthening of its results and competitive position.