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Deutsche Telekom AG - Interim Group report - January 1 to March 31, 2011

43Interim Group management report Risks and opportunities. This section provides important additional information and explains recent changes in the risks and opportunities as described in the combined manage- ment report for the 2010 financial year. Readers are also referred to the Dis- claimer at the end of this report. Proceedings by Anti-Monopoly Commission in Poland. The Polish Anti- Monopoly Commission (UOKiK) initiated several legal proceedings in 2010 against a number of Polish telecommunications companies. In 2011, these investigations were extended to include further proceedings against PTC, which is suspected of illegal price fixing. The UOKiK also accuses PTC of infringing customer interests in various ways. PTC believes these allegations are unfounded. The outcome and any associated fine cannot be determined at present, nor is it clear how a potential fine would be set. In Poland, the maxi- mum fine is set at 10 percent of the revenues from telecommunications ser­ vices or 10 percent of taxable revenues. OTE Lannet case. In May 2009, Lannet Communications SA filed a lawsuit claiming compensation for damages of EUR 176 million arising from the allegedly unlawful termination of services (mainly interconnection services, unbundling of ULLs, and leasing of dedicated lines) by OTE. The court hearing set for February 17, 2011 was postponed until May 30, 2013. IPR lawsuits in mobile communications. Patent management company IPCom GmbH & Co. KG has initiated proceedings against Deutsche Telekom AG and individual members of the Board of Management of Deutsche Telekom AG for alleged infringement of patents that are supposedly essential to certain standards in the field of mobile communications. In addition to damages, IPCom seeks abstention from the alleged use of patents in connection with important mobile services, which could lead to their compulsory deactivation. Eight infringement proceedings relating to six different patents are currently pending. IPCom lost two of the proceedings on all counts and has lodged an appeal in each case; another has been suspended. Several nullity suits and op- position proceedings are running in parallel to the infringement proceedings to review the validity of the patents that IPCom GmbH & Co. KG alleges have been infringed. Further rulings are expected in the course of the year. Eutelsat arbitration proceedings. On April 12, 2011, Deutsche Telekom AG received an application from Eutelsat S.A. for initiation of ICC arbitration pro- ceedings against Deutsche Telekom AG and Media Broadcast GmbH. Eutelsat particularly requested clarification regarding a right of use of a certain orbit position to which Eutelsat believes it has a long-standing entitlement and the term of an agreement concluded between Deutsche Telekom AG and Eutelsat S.A. on the use of this orbit position by Eutelsat satellites. Furthermore, Eutelsat is asserting claims to various payments depending on the term of this agree- ment. Deutsche Telekom had transferred its satellite business to Media Broad- cast GmbH, a company with which it is no longer associated. As part of this transaction, Deutsche Telekom AG indemnified the buyer of Media Broadcast GmbH against certain claims, some of which also relate to the agreements with Eutelsat. Risks related to the sale of T-Mobile USA. The closing of our sale of T-Mobile USA to AT&T is subject to the satisfaction of a number of conditions. In parti­ cular, the transaction is subject to approval by the Federal Communications Commission and U.S. Department of Justice (DoJ). The uncertainty regarding the closing of the deal may also impact T-Mobile USA’s business operations in the course of the year. We have committed to have T-Mobile USA operate in the ordinary course until the transaction is closed. The consummation of the planned sale may reduce the size of our global mobile telecommunications business, which may have adverse effects on our economies of scale and the diversification of our business. The portion of the consideration for T-Mobile USA to be paid in AT&T common stock may be reduced in return for a higher cash portion. For further details on the T-Mobile USA deal, please refer to the disclosures in the notes to the interim consolidated financial statements under “Non-current assets and disposal groups held for sale.”