UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Form 6-K
REPORT OF
FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE
SECURITIES EXCHANGE ACT OF 1934
For the
month of May 2010
Commission
file number 001-14540
Deutsche
Telekom AG
(Translation
of Registrant’s Name into English)
Friedrich-Ebert-Allee
140,
53113
Bonn,
Germany
(Address
of Principal Executive Offices)
Indicate
by check mark whether the registrant files or will file annual reports under
cover of Form 20-F or Form 40-F.
Form
20-F x Form
40-F o
Indicate
by check mark whether the registrant by furnishing the information contained in
this form is also thereby furnishing the information to the Commission pursuant
to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes o No x
This
report is deemed submitted and not filed pursuant to the rules and
regulations of the Securities and Exchange Commission.
Press
release
Bonn, May
3, 2010
Deutsche
Telekom AG presents shareholders the route to a gigabit society
Deutsche
Telekom AG reaffirms its stakeholder-oriented policy.
|
Doubling
of revenue planned by 2015 to almost EUR 30 billion with five growth
areas.
|
Proposed
dividend of EUR 0.78 per share for 2009.
____________________________________________________________
Deutsche
Telekom AG intends to exploit the major future potential of its industry by
implementing a new strategy and tapping clearly defined growth areas. This was
CEO René Obermann's promise to shareholders at the shareholders’ meeting in
Cologne on Monday. Transparency and confidence in collaboration with all
interest groups are essential prerequisites for Deutsche Telekom AG’s sustained
business success.
"Our
results enable us to pursue a policy that gives appropriate consideration to all
interest groups," Mr. Obermann emphasized. "For example, our employees
benefit from the fact that we have retained over 7,000 internal jobs by pursuing
a consistent insourcing strategy. Our creditors are satisfied, as our liquidity
has not suffered in spite of the restructuring and the financial crisis. And of
course, our shareholders are happy, too, because a strong cash flow is an
important basis for an attractive dividend."
Fix
– Transform – Innovate
Customers
are using increasingly diverse and complex applications on telecommunications
networks, fueling unabated and massive growth in the volume of data transmitted
every day.
"With our
new Fix – Transform – Innovate strategy, we are getting Deutsche Telekom AG
in shape for the gigabit society and we are ensuring future evolution.”
Mr. Obermann talked about the Board of Management’s efforts to realign the
company and he gave a comprehensive insight into the development of the Group
from a conventional telecommunications corporation into a "telco plus" – a
multi-product Internet company. This progress is aimed at pushing forward and
expanding the company's business and driving up revenue from growth areas
through investment in intelligent networks and its IT portfolio, Internet and
network services.
To this
end, five growth areas – mobile Internet, the connected home, proprietary
Internet services, systems solutions, and intelligent network solutions for
energy, healthcare, media, and the connected car – have been defined. Overall,
revenue is to be almost doubled in these areas from EUR 15 billion today to
around EUR 29 billion in 2015.
Internationally
– where Deutsche Telekom AG generates over half of its revenue – expectations of
significant growth are also focused on mobile Internet use, with the North
American market to benefit, too. By the end of the year, T-Mobile USA plans to
supply over 100 major U.S. cities and their surrounding areas with the
high-speed transmission technology HSPA+. "This will make our network the
fastest mobile network in key U.S. markets within the next two years," said
Mr. Obermann. Despite the current challenges in U.S. business, T-Mobile USA
has for the first time moved into the top spot among the highest-earning German
companies in the U.S. according to the German-American Chamber of
Commerce.
In terms
of proprietary Internet services, the international footprint of the Scout
Group, which already operates in 13 European countries, is to be expanded
further. Furthermore, T-Systems' Systems Solutions arm recently boosted business
by winning a major contract in South Africa and is currently in talks with
potential corporate customers on specific developments in Brazil.
René
Obermann also underscored the commitment in Greece with OTE. The difficult
situation in the country at present has not yet had any tangible impact on the
company's business development.
Another
focus for Deutsche Telekom AG is on reducing greenhouse gas emissions.
"Ecologically sound business practice and actions as well as better energy
efficiency are important areas of future business for us. And we, in turn, also
need to be credible in these areas," said Mr. Obermann. For this reason,
Deutsche Telekom AG has introduced measures including a voluntary commitment to
limiting the average CO2 emissions
of its new fleet of cars to 110 grams per kilometer by 2015, which is ten grams
better than the EU target for the automotive industry. Five percent of
Deutsche Telekom AG shares are held by investors for whom sustainability is
particularly important, the CEO continued. "I would like to significantly
increase this proportion by 2012."
Sustainable
HR development and dividend
Under the
new strategy, the stakeholder-oriented policy is to be maintained over the
coming years. In terms of employees, this means around 9,000 new hires are
planned for the next few years. At today's shareholders' meeting, the Board of
Management and the Supervisory Board are proposing to the shareholders as
stakeholders a dividend of EUR 0.78 per share for the 2009 financial year.
As in the previous year, the 2009 dividend will be tax-free in
Germany.
Deutsche
Telekom AG is planning – subject to the approval of the relevant bodies on the
respective dividend payment proposals and the right financial preconditions
being in place – to pay out EUR 3.4 billion per year over the next three
years until 2012. The Group is thus the first DAX-listed company to communicate
a dividend strategy for three years in conjunction with a share buy-back also
over three years. The Board of Management and Supervisory Board are underscoring
their faith in the positive development of Deutsche Telekom AG, in particular
future free cash flow and sound balance sheet figures.
What is
more, Mr. Obermann emphasized, over the past three years the T-Share –
including the dividend – has outperformed the sector, comfortably outperformed
the Euro Stoxx 50 and has developed roughly in line with the DAX. "But we are,
of course, aiming for a higher rating. This is why we are now taking the next
step. We are moving at a rapid pace into the world of Internet technology and
high-bit-rate networks, and are expanding our portfolio to include Internet
services. We are establishing the basis for new growth."
Deutsche
Telekom AG is today presenting its new Data Privacy Report at the shareholders’
meeting. The report is available on the Internet at
www.telekom.com.
This
press release contains forward-looking statements that reflect the current views
of Deutsche Telekom AG management with respect to future events. These also
include statements on market potential, statements on finance guidance, as well
as on the dividend outlook. They are generally identified by the terms "expect,"
"anticipate," "believe," "intend," "estimate," "aim for," "goal," "plan,"
"will," "strive for," "outlook" or similar expressions and often include
information that relates to net revenue expectations or targets for adjusted
EBITDA, profit or loss, earnings performance, and other indicators, as well as
personnel-related measures, and workforce adjustments. Forward-looking
statements are based on current plans, estimates, and projections. They should
therefore be considered with caution. Such statements are subject to risks and
uncertainties, most of which are difficult to predict and are generally beyond
Deutsche Telekom AG's control, including those described in the sections
"Forward-Looking Statements" and "Risk Factors" of the Company's Form 20-F
annual report filed with the U.S. Securities and Exchange Commission. Among the
relevant factors are the progress of Deutsche Telekom AG’s workforce reduction
initiative, the restructuring of operating activities in Germany, and the impact
of other significant strategic or business initiatives, including acquisitions,
dispositions, business combinations, and cost reduction measures. In addition,
regulatory decisions, stronger than expected competition, technological change,
litigation and regulatory developments, among other factors, may have a material
adverse effect on costs and revenue development. Furthermore, changes in the
economic and business environments – for example, the current economic slump –
in markets where we, our subsidiaries, and affiliates operate, the enduring
instability and volatility on the global financial markets, as well as exchange
rate and interest rate fluctuations can also adversely affect our business
development and the availability of capital at favorable terms. If these or
other risks and uncertainties materialize, or if the assumptions underlying any
of these statements prove incorrect, Deutsche Telekom AG's actual results may be
materially different from those expressed or implied by such statements.
Deutsche Telekom AG can offer no assurance that its expectations or targets will
be met. Deutsche Telekom AG does not assume any obligation to update
forward-looking statements to take new information or future events into account
or otherwise. Deutsche Telekom AG does not reconcile its adjusted EBITDA
guidance to a GAAP measure because it would require unreasonable effort to do
so. As a rule, Deutsche Telekom AG does not predict the net effect of future
special factors due to their uncertainty. Special factors and interest, taxes,
depreciation and amortization (including impairment losses) can have a
significant effect on Deutsche Telekom AG's results.
In
addition to figures prepared in accordance with IFRS, Deutsche Telekom AG
presents non-GAAP financial performance measures, including EBITDA, EBITDA
margin, adjusted EBITDA, adjusted EBITDA margin, adjusted EBT, adjusted net
profit, free cash flow, gross debt, and net debt. These non-GAAP measures should
be considered in addition to, but not as a substitute for, the information
prepared in accordance with IFRS. Non-GAAP financial performance measures are
not subject to IFRS or any other generally accepted accounting principles. Other
companies may define these terms in different ways. For further information
relevant to the interpretation of these terms, please refer to the chapter
“Reconciliation of pro forma figures” posted on Deutsche Telekom AG’s website
(www.telekom.com) under the link "Investor Relations."
Deutsche
Telekom AG
Corporate
Communications
Tel.:
+49 (0) 228 181-49 49
E-mail:
presse@telekom.de
Further
information is available for journalists at www.telekom.com/media
http://twitter.com/deutschetelekom
About
Deutsche Telekom AG
Deutsche
Telekom AG is one of the world’s leading integrated telecommunications companies
with over 151 million mobile customers, over 38 million fixed-network lines and
more than 15 million broadband lines. The Group provides products and services
for the fixed network, mobile communications, the Internet and IPTV for
consumers, and ICT solutions for business customers and corporate customers.
Deutsche Telekom AG is present in over 50 countries and has around 260,000
employees worldwide. The Group generated revenues of EUR 64.6 billion in the
2009 financial year – almost half of it outside Germany. (As at December 31,
2009)
SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
DEUTSCHE
TELEKOM AG
By: /s/
Dr. Guillaume Maisondieu
Name: Dr.
Guillaume Maisondieu
Title:
Chief Accounting Officer
Date: May
3, 2010