Telekom Austria-Carlos Slim pact to remain stable

A surprise writedown of Telekom Austria's Bulgarian business will not affect a recently agreed partnership between its major shareholders America Movil, the telecoms firm of Mexican billionaire Carlos Slim, and the Austrian government, the Austrian OIAG state holding company said.

"The partnership between OIAG and America Movil will of course continue. A stable shareholder structure is exactly what Telekom Austria needs at this moment," a spokesman for OIAG said.

Telekom Austria, which is being taken over by Carlos Slim's America Movil under the shareholder pact with Austria, said it was writing down its Bulgarian unit, its biggest foreign business, by $545 million.

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