Greek Austerity Measures Hit Owner of Bulgarian Globul

Bulgaria's Globul is the second-biggest mobile operator in the country.

An anti-crisis tax imposed on profitable Greek companies has severely hit telecom OTE, who owns Bulgarian mobile operator Globul, making it register a net lost of EUR 61 M for the second quarter of 2010.

For the same period 2009 OTE had a EUR 6.4 M net profit.

It had to pay a tax amounting to EUR 96 M in a bid on the part of the Greek government to rein in the debt crisis.

Another reason for OTE's losses is seen in the drop in use of mobile services in the time of recession.

OTE's CEO Panagis Vourloumis stated the company does not expect improvement in the short term but is doing everything possible to maintain its potential for growht.

The biggest shareholder in OTE, which operates an extensive network in the region, is Deutsche Telekom at 30%.

We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!