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Group Interim Results for the Six Months Ended September 30, 2003 (Part 3) Johannesburg, November 24 /PRNewswire/ -- With affiliate of director: Ms Nomazizi Mtshotshisa, Chairman of the Board of directors at September 30, 2003 and is director of Beslyn Investments, a company that has a contract to supply Telkom with protective clothing to the value of R4m for the period ended September 30, 2003. Mr Tlhalefang Sekano is a director of the Board of directors at September 30, 2003 and is chairman of Letlapa Security and a director of Telesafe Security. Letlapa Security has an interest in Telesafe Security, a security company that provides physical security services at Telkom premises to the value of R17m for the period ended September 30, 2003. 16. Comparative figures Certain comparative figures for September 30, 2002 have been restated in accordance with the March 31, 2003 financial statements classification and presentation. 17. Subsequent events Swiftnet (Proprietary) Limited On October 20, 2003 Telkom invited bids from empowerment groups to purchase a 30% stake in Swiftnet (Proprietary) Limited, its wholly-owned subsidiary. Restructuring As part of Telkom's restructuring plan, 280 employees accepted voluntary severance packages, at a cost of R33m. The management plan to right skill and align the size of the workforce was only authorised by management and the union on October 10, 2003. Vodacom Mozambique S.A.R.L Vodacom Mozambique S.A.R.L was issued its GSM licence on August 23, 2003. The licence being the only asset of the company, was capitalised on date of acquisition. Although the company was registered on August 14, 2002 no share capital has been issued to date as the shareholder's agreement is still in the process of being finalised. Vodacom International Limited will subsequent to the finalisation of the shareholder's agreement have a controlling interest in the company. The company has not formally started with operational activities at September 30, 2003, but is expected to be operational by December 2003. Service providers Vodacom Group (Proprietary) Limited has mad offers to acquire Vodacom customers from its independent service providers. Certain of these offers have been accepted pending the fulfillment of various suspensive conditions, including the approval from the Competition Commission in terms of the Competition Act of 89, 1998. Econet Wireless Nigeria Limited ("EWN") Vodacom International Limited was invited by EWN to acquire a controlling equity interest in the company earlier this year. Vodacom responded to the invitation by the EWN board by making an offer subject to a successful financial and legal due diligence. The EWN board and shareholders accepted this offer. Vodacom is currently engaged in financial and legal due diligence before the transaction can proceed. This due diligence work is not as yet complete. Should this due diligence reveal any financial or legal obstacle in pursuing the proposed transaction, Vodacom's position will be re-evaluated. Dividends The Telkom board of directors has declared a once-off interim dividend of 90.0 cents per share, payable on December 29, 2003. The board aims to pay a progressively increasing dividend annually. The level of dividend will be based upon a number of factors, including the assessment of financial results, the group's debt level, interest coverage and future expectations, including internal cash flows. Other matters The directors are not aware of any other matter or circumstance since September 30, 2003, not otherwise dealt with in the condensed consolidated interim financial statements, which significantly affects the financial position of the Group and the results of its operations. Company registered office Telkom SA Limited 1991/005476/06 Telkom Towers North 152 Proes Street Pretoria, 0002 South Africa Private Bag X881 Pretoria, 0001 Board of Directors NE Mtshotshisa (Chairman) SE Nxasana (CEO) SM McKenzie (COO)* CK Tan (CSO)[#] JP Klug* Tan Sri Dato'Ir Md Radzi Mansor[#] RP Menell MP Moyo TA Sekano CL Valkin TG Vilakazi VV Mashale (Company Secretary) - American [#] Malaysian Sponsor UBS Securities South Africa (Proprietary) Limited http://www.telkom.co.za/ Special note regarding forward-looking statements All statements contained herein, as well as oral statements that may be made by us or by officers, directors or employees acting on behalf of the Telkom Group, that are not statements of historical fact constitute "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995, specifically Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause our actual results to be materially different from historical results or from any future results expressed or implied by such forward-looking statements. Among the factors that could cause our actual results or outcomes to differ materially from our expectations are those risks identified under the caption "Risk Factors" contained in item 3 of Telkom's most recent annual report on Form 20-F filed with the U.S. Securities Exchange Commission (SEC) and our other filings with the SEC, available on Telkom's website at http://www.telkom.co.za/ir, including, but not limited to, increased competition in the South African fixed-line and mobile communications markets; developments in the regulatory environment; Telkom's ability to reduce expenditure, customer non-payments, theft and bad debt, the outcome of arbitration or litigation proceedings with Telcordia Technologies Incorporated and others; general economic, political, social and legal conditions in South Africa and in other countries where Vodacom invests; fluctuations in the value of the Rand and inflation rates, our ability to retain key personnel; and other matters not yet known to us or not currently considered material by us. You should not place undue reliance on these forward-looking statements. All written and oral forward-looking statements, attributable to us, or persons acting on our behalf, are qualified in their entirety by these cautionary statements. Moreover, unless we are required by law to update these statements, we will not necessarily update any of these statements after the date hereof either to conform them to actual results or to changes in our expectations. DATASOURCE: Telekom SA Limited Belinda Williams, Investor Relations, E. , T. + 27 12 311 5720

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