As filed with the Securities and Exchange Commission on September 29, 2004

# FORM 6-K

# SECURITIES EXCHANGE COMMISSION 
  Washington, D.C. 20549

Report of Foreign Private Issuer 
  Pursuant to Rule 13a-16 or 15d-16 of
  the Securities Exchange Act of 1934 For the month of September 2004

TELE2 AB(Translation of registrants name into English)

Skeppsbron 18
  Box 2094
  S103 13 Stockholm
  Sweden
  (Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F

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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

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If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):
  ..................................................N/A.......................................................................................................................................

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**FOR IMMEDIATE RELEASE**
  Monday, August 2, 2004

IN THE FIRST SIX MONTHS OF 2004 TELE2 INCREASED 
PROFIT AFTER TAX BY 38% WITH A RECORD CASH FLOWAFTER INVESTING ACTIVITIES OF SEK 2.4 BILLION

New York and Stockholm  Monday, August 2, 2004  Tele2 AB ("Tele2", "the Group") (Nasdaq Stock Market: TLTOA and TLTOB and Stockholmsbörsen: TEL2A and TEL2B), the leading and profitable alternative
pan-European telecom operator, today announced its consolidated results for the second quarter ended June 30, 2004.

- Operating revenue for the first six months increased by 18% to MSEK21,090 (MSEK 17,841)
- Profit after tax for the first six months increased by 38% to MSEK 653(MSEK 472)
- Earnings per share after tax for the first six months increased to SEK 4.41(SEK 3.19)
- Net addition of over 1 million customers in the second quarter to a total of24.9 (18.7) million
- Cash flow after investing activities for the second quarter amounted toMSEK 1,167 (MSEK 965)

The figures shown in parenthesis correspond to the comparable periods in 2003 and all negative amounts are distinguished with a minus sign.

Lars-Johan Jarnheimer, President and CEO of Tele2 AB commented:

"Tele2 continues to maintain its balance between customer growth, profitability and cash flow. In the first six months we had our best ever financial result while maintaining strong revenue
growth of over 18%, probably unique in the industry. These results come on the back of a period of heavy investment in ADSL in France, the UK launch, Russian GSM expansion and other new service start-ups. These results fed through to generate a cash
flow after investing activities of SEK 2.4 billion for the first six months.

In the second quarter, we continued our expansion in Russia and Poland, where the market offers high revenue growth and low subscriber acquisition costs. That, in combination with increased investments in dial-up Internet,
has nevertheless led to a certain ARPU dilution.

Competition remains intense in both mobile and fixed telephony in Sweden. Despite this, we improved our EBITDA margins versus the first quarter within fixed telephony and maintained the level within mobile telephony. We
launched our 3G services in Sweden this quarter, with the same tariffs as our GSM services and early indications are encouraging. We have continued to see the positive impact from the introduction of resale of the fixed line subscription fee in
Norway, and anticipate the introduction of this service in Sweden towards the year-end.

In the Baltic & Russia market area we had a strong customer intake and are now witnessing the benefits of our investments in Russian mobile. We maintained our momentum in Central Europe, with its operating revenue
growing by 58% in the quarter, while continuing to improve its EBITDA. Also in Southern Europe the EBITDA margin rose versus the first quarter despite the heavy marketing investments in the UK and ADSL in France. We took on some 0.8 million ADSL and
dial-up Internet customers in this market area over the past 12 months.

Our focus, which has proven to be highly successful, continues to be on low customer acquisition cost, churn management and operational cost control."

1

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**FINANCIAL HIGHLIGHTS FOR THE QUARTER ENDED JUNE 30, 2004**

|                                     |  |          |  |         
|------------------------------------ |  | -------- |  | --------
|SEK millions                         |  | Q2, 2004 |  | Q2, 2003
|                                     |  |          |  |         
|                                    
|Operating Revenue                    |  | 10,711   |  | 9,225   
|Customer intake                      |  | 1 ,082   |  | 1,063   
|EBITDA (i)                           |  | 1 ,689   |  | 1,537   
|EBITA (ii)                           |  | 1 ,194   |  | 1,085   
|EBIT (iii)                           |  | 807      |  | 693     
|EBT (iv)                             |  | 748      |  | 567     
|Operating cash flow                  |  | 1 ,505   |  | 1,498   
|Cash flow after investing activities |  | 1 ,167   |  | 965     
|                                     |  |          |  |         

|(i)   | Operating profit before depreciation and amortization   
|----- | --------------------------------------------------------
|(ii)  | Operating profit after depreciation, before amortization
|(iii) | Operating profit after depreciation and amortization    
|(iv)  | Profit after financial items                            

Group financial overview for the quarter ended June 30, 2004

Operating revenue

Operating revenue amounted to MSEK 10,711 (MSEK 9,225), corresponding to a growth of 16.1% including, and 16.6% excluding currency effects. Comparison between Q2 and Q1 2004 should take into account that growth in Q2 2004
was organic, which was not the case in Q1 2004 as Alpha Telecom was included for only half of Q1 2003. The organic growth, adjusted for Alpha Telecom, in Q1 2004 was slightly less than 18%.

Customer intake

Net customer intake, somewhat higher in Q2 2004 than in Q2 2003, was 1,082,000 (1,063,000) adjusted for the effect of disposed customers in Estonia (see Note 3). The lower customer intake in Benelux was largely related to
Fixed telephony and Internet in the Netherlands, and the lower intake in Nordic was mainly related to Fixed telephony and Internet and Mobile telephony in Sweden. The customer intake in Baltic & Russia increased in Q2 2004 especially within
Mobile telephony in Russia. With all networks now upgraded to GSM, around half of the market area's mobile customer intake is in Russia.

Customer growth was lower compared to Q1 2004. A significant explanation for this is the absence of an expected continued downturn trend in churn. As a percentage, churn remained unchanged, but increased in absolute numbers
as a result of the larger customer base.

Prepaid customers account for 72% (70%) of the total Mobile telephony customer base. Of the total Fixed telephony and Internet customer base, some 2.1 million are dial-up Internet or ADSL customers, compared to some 1.2
million a year ago. Of the increase in, and of the total dial-up Internet and ADSL customer base, roughly 0.8 million is in Southern Europe.

ARPU

Group ARPU was SEK 146 in Q2 2004, versus SEK 169 in Q2 2003. The decline is mainly a dilution effect, as Tele2 experiences its highest growth in countries with lower ARPU. In addition, last year's push in dial-up Internet
in Southern Europe, which has a significantly lower ARPU than fixed telephony, further contributed to the dilution.

Results

EBITDA amounted to MSEK 1,689 (MSEK 1,537). Despite being Tele2's best-ever financial result, it is affected by a number of items that are noteworthy when analyzing the result:

2

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|1) | The launch of fixed telephony in the UK is estimated to require investments of around MSEK 500 during the first year of launch. Both Q1 and Q2 2004 were aligned with this estimate.
|-- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|  
|2) | The magnitude of Tele2's ADSL push in Southern Europe exceeded the UK investments both in Q1 and Q2 2004.                                                                           
|  
|3) | The results in Sweden were impacted by MSEK 42 related to personnel layoffs.                                                                                                       

EBT amounted to MSEK 748 (MSEK 567). Net interest improved as a result of lower debt.

Cash flow and CAPEX

Cash flow from operations amounted to MSEK 1,505 (MSEK 1,498).

CAPEX amounted to MSEK 369 (MSEK 550), or 3.4% (6.0%) of operating revenue. CAPEX for the full year 2004 will fall short of the previous guidance of 5-6% of operating revenue.

Cash flow in terms of EBITDA less CAPEX was MSEK 1,320 (MSEK 987), an increase of 34%. Excess cash flow has been used for continued amortizations and dividend payments for the fiscal year 2003.

Significant events in the quarter

Tele2 launched three GSM networks in Russia in the quarter; in Kursk, Chelyabinsk and Belgorod. With these launches, Tele2 can provide GSM services in all Russian regions where it has mobile operations.

In April 2004, Tele2 launched fixed telephony services in Hungary. Customer intake so far points to a successful launch.

In May 2004, Tele2 sold its cable-TV operations in Estonia for MSEK 38. This resulted in a capital gain of MSEK 26, which is reported under other operating revenues.

In June 2004, Tele2 successfully launched 3G services in Sweden. The build out of the 3G network in Sweden is carried out by the 50% associated company Svenska UMTS-nät AB.

OPERATIONAL REVIEW BY MARKET AREA

Nordic

Operating revenue Q2 2004,MSEK 3,472 (3,366), +3%**EBITDA Q2 2004,** MSEK 990 (1,029), 4% **EBIT Q2 2004**, MSEK 770 (803), 4%

The market area Nordic encompasses operations in Sweden (including Optimal Telecom), Norway, Denmark and Finland and Datametrix operations.

Competition in Sweden remained challenging in the second quarter, within both mobile and fixed telephony.

Within mobile telephony in Sweden, the operating revenue and margin decline we have witnessed has leveled out. A significant explanation for the decline during the previous year was lower interconnect revenue. According to
a statement by the Swedish regulator (PTS), interconnect rates for all big operators should be on the same level going forward. Tele2 will appeal this, but has nevertheless accounting-wise prepared for this for some time. Our margin against
TeliaSonera was only SEK 0.08 in the second quarter versus SEK 0.27 a year ago.

Tele2 successfully launched 3G services in Sweden in June. Any purchase of capacity from Svenska UMTS-nät AB, the jointly owned associated 3G company, has not had any impact as yet, as the 3G company has not yet
reached the minimum volume required to trigger depreciation. Fees to Svenska UMTS-nät AB were MSEK 28 in Q2 2004, which primarily has had a cash flow effect, as they are met by share of profits of associated companies. The fees are expected to
increase during the coming quarters, amounting to no more than MSEK 80 in Q4 2004, while the effect on the income statement will be less (accounting principles for UMTS are explained in Note 7).

Despite the tough competition, we managed to grow operating revenue for fixed telephony in Sweden by 2% in combination with significantly improved profitability. The historic telecom operator has, nevertheless, been very
active in ensuring it benefits from the competitive advantage it has, prior to the introduction of wholesale line rental, which has resulted in an increased level of churn. Our experience tells us that churn will come down sharply once our customers can avoid paying our competitor as well. We expect this
possibility towards the end of 2004.

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The results for Q2 2004 were impacted by one-off costs of MSEK 42 related to a reduction of some 60 employees in Sweden. Of this, MSEK 15 is related to Fixed telephony and Internet and MSEK 27 to Mobile telephony. The
personnel reduction is expected to result in annualized cost savings of some MSEK 50.

Norway and Denmark continued to show good growth in Q2 2004. Growth in Norway was helped by the MVNO agreement with particularly strong online sales, but also by resale of the fixed line subscription fee, which has lowered
churn.

Baltic & Russia

Operating revenue Q2 2004,MSEK 802 (657), +22%EBITDA Q2 2004,MSEK 294 (208), +41%EBIT Q2 2004,MSEK 151 (99), +53%

The market area Baltic & Russia encompasses operations in the Baltic (Estonia, Latvia and Lithuania) and Russia.

Mobile ARPU for Baltic & Russia, including both postpaid and prepaid customers, was SEK 102 (137) in Q2 2004, mainly diluted by the growth in Russia. The improved customer intake is largely related to the Russian mobile
operation.

In the second quarter, Tele2 launched GSM networks in Kursk, Chelyabinsk and Belgorod and can now offer GSM services in all of the eleven Russian regions where it has mobile operations. Russia represented around half of the
market area's Mobile telephony customer intake in Q2 2004.

Tele2 launched fixed international calls in Latvia in the quarter.

In May 2004, Tele2 sold its cable-TV operations in Estonia, enabling increased focus on its core businesses of mobile and fixed telephony and Internet. The divestment resulted in a capital gain of MSEK 26, which positively
affects EBITDA, and a one-off decrease in the customer base of 46,000.

Central Europe

Operating revenue Q2 2004,MSEK 1,197 (759), +58%EBITDA Q2 2004,MSEK 41 (98)EBIT Q2 2004,MSEK6 (141)

The market area Central Europe encompasses operations in Germany, Austria, Poland, the Czech Republic and Hungary.

Central Europe continued its rapid growth combined with improved profitability during the second quarter. The market area's ARPU for Fixed telephony and Internet was SEK 102 (131) for Q2 2004.

Fixed telephony was launched in Hungary in April and customer intake numbers so far point to a successful launch. Tele2 launched dial-up Internet in Germany in May, followed by Poland in the beginning of July.

Southern Europe

Operating revenue Q2 2004,MSEK 4,120 (3,512), +17%EBITDA Q2 2004,MSEK 247 (353), 30%EBIT Q2 2004,MSEK 196 (312), 37%

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The market area Southern Europe encompasses operations in France, Italy, Spain, Switzerland, Portugal and the UK and C3 operations.

Comparison between Q2 and Q1 2004 should take into account that growth in Q2 2004 was organic, which was not the case in Q1 2004 as Alpha Telecom was included for only half of Q1 2003. The organic growth for Southern
Europe, adjusted for Alpha Telecom, in Q1 2004 was slightly less than 17%.

Fixed telephony and Internet ARPU for Southern Europe was SEK 177 (206) for Q2 2004.

The launch of fixed telephony in the UK in Q4 2003 is estimated to require investments of some MSEK 500 during the first year of launch. Both Q1 and Q2 2004 were aligned with this estimate.

The magnitude of Tele2's ADSL push in Southern Europe exceeded the UK investments both in Q1 and Q2 2004.

Benelux

Operating revenue Q2 2004,MSEK 1,062 (892), +19%EBITDA Q2 2004,MSEK 104 (45), +131%EBIT Q2 2004,MSEK 70 (12), +483%

The market area Benelux includes operations in the Netherlands, Luxembourg (including Tango), Liechtenstein and Belgium and Transac.

Fixed telephony and Internet ARPU for Benelux was SEK 139 (158) for Q2 2004. The market area's lower customer intake is largely related to fixed telephony and Internet in the Netherlands.

Services

Operating revenue Q2 2004,MSEK 58 (39), +49%EBITDA Q2 2004,MSEK 13
  (0)EBIT Q2 2004,MSEK 4 (4)

The market area Services includes 3C operations, ProcureITright, Radio Components and X-Source operations.

OTHER ITEMS

Investments

In Q1 2004, Tele2 increased its ownership in its mobile telephony operations in St Petersburg, Russia.

Divestments

Tele2 is considering the divestment of its Swedish Cable TV operations and is negotiating with a number of potential buyers. If divested it will lead to a loss of MSEK 150-300, based on the current price negotiations.

On May 12, 2004 Tele2 sold its Cable-TV operation in Estonia for MSEK 38. This resulted in a capital gain of MSEK 26, reported under other operating revenues. The operation had 46,000 customers at the time of the
divestment.

Parent company

At the Parent company level, Tele2 reported at June 30, 2004 operating revenue of MSEK 11 (9), EBIT of MSEK 26 (46) and liquidity MSEK 24 compared to MSEK 1 at December 31, 2003.

At July 1, 2004, 6,173,141 class A shares have been reclassified into class B shares (see Note 6).

5

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Events post June 30, 2004

On July 9, 2004 Tele2 acquired the outstanding 10% of the shares in the holding company that conducts mobile operations in the Baltic, through its 100% ownership in Tele2 Lithuania and 52% ownership in Tele2 Estonia. After
the acquisition, Tele2 has a 100% share in and full control over Tele2 Lithuania and Tele2 Estonia, in which the Tele2 Group already held the remaining 48%.

Company disclosure

Tele2 will release the financial and operating result for the period ended September 30, 2004 on October 20, 2004.

Stockholm, August 2, 2004

Lars-Johan Jarnheimer President and CEO, Tele2 AB

REPORT REVIEW

We have made a review of this interim report in accordance with the recommendation issued by the Swedish Institute of Authorized Public Accountants FAR. A review is substantially limited in scope in comparison to an
audit.

Nothing has come to our attention that indicates that this interim report fails to comply with the requirements of the Swedish Annual Accounts Act.

Stockholm, August 2, 2004

Deloitte & Touche AB

Tommy MårtenssonAuthorized Public Accountant

Tele2 is Europe's leading and profitable alternative telecom operator. Tele2 always strives to offer the market's best prices. With our unique values, we provide cheap and simple telecom for all Europeans every day. We
have close to 25 million customers in 24 countries. We offer products and services in fixed and mobile telephony, Internet access, data networks, cable TV and content services. Our main competitors are the former government monopolies. Tele2 was
founded in 1993 by Jan Stenbeck and has been listed on Stockholmsbörsen since 1996. The share has also been listed on Nasdaq since 1997.

|                                                    |  |            |  |                  
|--------------------------------------------------- |  | ---------- |  | -----------------
|CONTACTS                                            |  |            |  |                  
|                                                   
|Lars-Johan Jarnheimer                               |  | Telephone: |  | + 46 8 562 640 00
|President and CEO, Tele2 AB                         |  |            |  |                  
|                                                   
|Håkan Zadler                                        |  | Telephone: |  | + 46 8 562 640 00
|CFO, Tele2 AB                                       |  |            |  |                  
|                                                   
|Dwayne Taylor / Lena Glader                         |  | Telephone: |  | + 44 20 7321 5038
|Investor enquiries                                  |  |            |  |                  
|                                                   
|Tele2 AB  company registration number: 556410-8917 |  |            |  |                  
|Skeppsbron 18                                       |  |            |  |                  
|P.O. Box 2094                                       |  |            |  |                  
|SE-103 13 Stockholm                                 |  |            |  |                  
|Sweden                                              |  |            |  |                  

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Tel+ 46 8 562 000 60

Visit us at our homepage:http://www.Tele2.com

CONFERENCE CALL DETAILSA conference call to discuss the results will be held at 16.00 (CET) / 10.00 (New York time), on August 2, 2004. The dial-in number is: +44 (0)20 7019 9504 or US Toll Free: 1 866 850 2201. Please dial in 10 minutes prior
to the start of the conference call to allow time for registration. A recording of the conference call will be available for 10 days after the call on: +44 (0)20 7984 7578 or US Toll Free: 1 866 883 4489 with access code 593410#. The conference call
will be web-cast on Tele2's websitewww.Tele2.com.

|APPENDICESConsolidated Income StatementConsolidated Balance SheetConsolidated Cash flow StatementChange of Consolidated Shareholders' EquityNumber of CustomersMarket Areas split by Business AreasInvestmentsTele2 Operations in SwedenFive-Year SummaryNotes to the Accounts
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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CONSOLIDATED INCOME STATEMENT (MSEK)

|                                                   |  |        |  |             |  |             |  |             |  |        |  |       
|-------------------------------------------------- |  | ------ |  | ----------- |  | ----------- |  | ----------- |  | ------ |  | ------
|                                                   |  |        |  | 2004        |  | 2003        |  | 2003        |  | 2004   |  | 2003  
|                                                   |  |        |  | Jan 1      |  | Jan 1      |  |             |  |        |  |       
|                                                   |  |        |  | June 30     |  | June 30     |  | Full year   |  | Q2     |  | Q2    
|                                                   |  |        |  |             |  |             |  |             |  |        |  |       
|                                                  
|Operating revenue                                  |  | Note 1 |  | 21,090      |  | 17,841      |  | 36,911      |  | 10,711 |  | 9,225 
|Operating expenses                                 |  | Note 2 |  | 19,674     |  | 16,492     |  | 35,039     |  | 9,955 |  | 8,543
|Share of profit (loss) of associated companies     |  |        |  | 37          |  | 2          |  | 18         |  | 21     |  | 1    
|Other operating revenues                           |  | Note 3 |  | 55          |  | 45          |  | 78          |  | 39     |  | 25    
|Other operating expenses                           |  |        |  | 21         |  | 31         |  | 66         |  | 9     |  | 13   
|                                                   |  |        |  |             |  |             |  |             |  |        |  |       
|Operating profit, EBIT                             |  |        |  | 1,487       |  | 1,361       |  | 1,866       |  | 807    |  | 693   
|                                                  
|Net interest and other financial expenses          |  | Note 4 |  | 120        |  | 303        |  | 599        |  | 59    |  | 126  
|                                                   |  |        |  |             |  |             |  |             |  |        |  |       
|Profit after financial items, EBT                  |  |        |  | 1,367       |  | 1,058       |  | 1,267       |  | 748    |  | 567   
|                                                  
|Taxes                                              |  | Note 5 |  | 698        |  | 607        |  | 1,092       |  | 377   |  | 293  
|Minority interest                                  |  |        |  | 16         |  | 21          |  | 37          |  | 4     |  | 11    
|                                                   |  |        |  |             |  |             |  |             |  |        |  |       
|Profit after taxes                                 |  |        |  | 653         |  | 472         |  | 2,396       |  | 367    |  | 285   
|                                                   |  |        |  |             |  |             |  |             |  |        |  |       
|                                                  
|Earnings per share after tax (SEK)                 |  |        |  | 4.43        |  | 3.20        |  | 16.25       |  | 2.49   |  | 1.93  
|Earnings per share after tax, after dilution (SEK) |  |        |  | 4.41        |  | 3.19        |  | 16.20       |  | 2.48   |  | 1.93  
|                                                  
|Number of shares, basic                            |  | Note 6 |  | 147,560,175 |  | 147,460,175 |  | 147,560,175 |  |        |  |       
|Number of shares, weighted average                 |  | Note 6 |  | 147,560,175 |  | 147,460,175 |  | 147,460,175 |  |        |  |       
|Number of shares after dilution                    |  | Note 6 |  | 148,203,675 |  | 148,223,175 |  | 148,203,675 |  |        |  |       
|Number of shares after dilution, weighted average  |  | Note 6 |  | 147,908,278 |  | 147,782,309 |  | 147,869,175 |  |        |  |       

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CONSOLIDATED BALANCE SHEET (MSEK)

|                                 |  |        |  |         |  |         |  |       
|-------------------------------- |  | ------ |  | ------- |  | ------- |  | ------
|                                 |  |        |  | 2004    |  | 2003    |  | 2003  
|                                 |  |        |  | June 30 |  | June 30 |  | Dec 31
|                                 |  |        |  |         |  |         |  |       
|ASSETS                           |  |        |  |         |  |         |  |       
|                                
|Fixed assets                     |  |        |  |         |  |         |  |       
|Intangible assets                |  |        |  | 23,011  |  | 24,790  |  | 23,556
|Tangible assets                  |  |        |  | 8,843   |  | 9,315   |  | 9,036 
|Long-term financial assets       |  | Note 5 |  | 2,617   |  | 1,455   |  | 3,057 
|                                 |  |        |  |         |  |         |  |       
|                                 |  |        |  | 34,471  |  | 35,560  |  | 35,649
|                                
|Current assets                   |  |        |  |         |  |         |  |       
|Materials and supplies           |  |        |  | 323     |  | 415     |  | 350   
|Current receivables              |  |        |  | 9,606   |  | 8,764   |  | 9,198 
|Cash and cash equivalents        |  |        |  | 3,179   |  | 3,339   |  | 2,773 
|                                 |  |        |  |         |  |         |  |       
|                                 |  |        |  | 13,108  |  | 12,518  |  | 12,321
|                                 |  |        |  |         |  |         |  |       
|                                
|Total assets                     |  |        |  | 47,579  |  | 48,078  |  | 47,970
|                                 |  |        |  |         |  |         |  |       
|                                
|EQUITY AND LIABILITIES           |  |        |  |         |  |         |  |       
|                                
|Shareholders' equity             |  |        |  |         |  |         |  |       
|Restricted equity                |  |        |  | 24,622  |  | 24,473  |  | 24,444
|Non-restricted equity            |  |        |  | 6,182   |  | 4,295   |  | 5,916 
|                                 |  |        |  |         |  |         |  |       
|                                 |  |        |  | 30,804  |  | 28,768  |  | 30,360
|                                
|Minority interests               |  |        |  | 30      |  | 18      |  | 7     
|                                
|Provisions                       |  |        |  |         |  |         |  |       
|Shares in associated companies   |  |        |  | 6       |  | -       |  | 6     
|Other provisions                 |  |        |  | 20      |  | 20      |  | 20    
|                                 |  |        |  |         |  |         |  |       
|                                 |  |        |  | 26      |  | 20      |  | 26    
|                                
|Long-term liabilities            |  |        |  |         |  |         |  |       
|Interest-bearing liabilities     |  |        |  | 3,242   |  | 7,367   |  | 4,775 
|                                 |  |        |  |         |  |         |  |       
|                                 |  |        |  | 3,242   |  | 7,367   |  | 4,775 
|                                
|Short-term liabilities           |  |        |  |         |  |         |  |       
|Interest-bearing liabilities     |  |        |  | 2,462   |  | 2,412   |  | 2,461 
|Non-interest-bearing liabilities |  |        |  | 11,015  |  | 9,493   |  | 10,341
|                                 |  |        |  |         |  |         |  |       
|                                 |  |        |  | 13,477  |  | 11,905  |  | 12,802
|                                 |  |        |  |         |  |         |  |       
|Total equity and liabilities     |  |        |  | 47,579  |  | 48,078  |  | 47,970
|                                 |  |        |  |         |  |         |  |       

9

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CONSOLIDATED CASH FLOW STATEMENT (MSEK)

|                                      |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|------------------------------------- | ------ | ------- |  | ------- |  | ------ |  | ------ |  | ----- |  | ------ |  | ------ |  | ----- |  | -----
|                                      |        | 2004    |  | 2003    |  | 2003   |  | 2004   |  | 2004  |  | 2003   |  | 2003   |  | 2003  |  | 2003 
|                                      |        | Jan 1  |  | Jan 1  |  | Full   |  |        |  |       |  |        |  |        |  |       |  |      
|                                      |        | June 30 |  | June 30 |  | year   |  | Q2     |  | Q1    |  | Q4     |  | Q3     |  | Q2    |  | Q1   
|                                      |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|Cash flows from operation             |        | 2,920   |  | 2,678   |  | 5,062  |  | 1,499  |  | 1,421 |  | 896    |  | 1,488  |  | 1,360 |  | 1,318
|Change in working capital             |        | 214     |  | 196     |  | 912    |  | 6      |  | 208   |  | 498    |  | 218    |  | 138   |  | 58   
|                                      |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|Cash flows provided by operating      |        | 3,134   |  | 2,874   |  | 5,974  |  | 1,505  |  | 1,629 |  | 1,394  |  | 1,706  |  | 1,498 |  | 1,376
|activities                            |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|                                     
|Capital expenditure in intangible and |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|tangible assets                       |        | 765    |  | 983    |  | 1,890 |  | 369   |  | 396  |  | 483   |  | 424   |  | 550  |  | 433 
|Change of long-term receivables       |        | 2       |  | 55      |  | 12     |  | 13     |  | 11   |  | 69    |  | 26     |  | 45    |  | 10   
|Sale of companies, less liquid funds  | Note 3 | 33      |  | -       |  | 21     |  | 33     |  | -     |  | 1     |  | 22     |  | -     |  | -    
|Purchase of companies                 |        | 26     |  | 817    |  | 910   |  | 15    |  | 11   |  | 4     |  | 89    |  | 111  |  | 706 
|Liquid funds in purchased companies   |        | -       |  | 208     |  | 211    |  | -      |  | -     |  | 1     |  | 4      |  | 83    |  | 125  
|                                      |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|Cash flow after investing activities  |        | 2,378   |  | 1,337   |  | 3,418  |  | 1,167  |  | 1,211 |  | 836    |  | 1,245  |  | 965   |  | 372  
|                                     
|Financing activities                  |        | 1,995  |  | 417    |  | 2,940 |  | 2,111 |  | 116   |  | 1,471 |  | 1,052 |  | 680  |  | 263  
|                                      |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|Net change in cash                    |        | 383     |  | 920     |  | 478    |  | 944   |  | 1,327 |  | 635   |  | 193    |  | 285   |  | 635  
|                                     
|Cash at beginning of period           |        | 2,773   |  | 2,473   |  | 2,473  |  | 4,194  |  | 2,773 |  | 3,386  |  | 3,339  |  | 3,014 |  | 2,473
|Exchange difference in cash           |        | 23      |  | 54     |  | 178   |  | 71    |  | 94    |  | 22     |  | 146   |  | 40    |  | 94  
|                                      |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|Cash at end of period*                |        | 3,179   |  | 3,339   |  | 2,773  |  | 3,179  |  | 4,194 |  | 2,773  |  | 3,386  |  | 3,339 |  | 3,014
|                                      |        |         |  |         |  |        |  |        |  |       |  |        |  |        |  |       |  |      
|*of which restricted funds            |        | 456     |  | 945     |  | 830    |  | 456    |  | 801   |  | 830    |  | 922    |  | 945   |  | 986  

CHANGES OF CONSOLIDATED SHAREHOLDERS ́ EQUITY (MSEK

|                                           |  |               |  |        |  |            |  |               |  |        |  |           
|------------------------------------------ |  | ------------- |  | ------ |  | ---------- |  | ------------- |  | ------ |  | ----------
|                                           |  |               |  | 2004   |  |            |  |               |  | 2003   |  |           
|                                           |  |               |  |        |  |            |  |               |  |        |  |           
|                                           |  | Restricted    |  | Non    |  | Restricted |  | Non          
|                                           |  |               |  |        |  | restricted |  |               |  |        |  | restricted
|                                           |  | Share capital |  | Other  |  |            |  | Share capital |  | Other  |  |           
|                                           |  |               |  |        |  |            |  |               |  |        |  |           
|Equity, January 1                          |  | 738           |  | 23,706 |  | 5,916      |  | 737           |  | 24,401 |  | 3,590     
|Dividend                                   |  | -             |  | -      |  | 443       |  | -             |  | -      |  | -         
|Other transfers                            |  | -             |  | 135   |  | 135        |  | -             |  | 258   |  | 258       
|Translation differences                    |  | -             |  | 313    |  | 79        |  | -             |  | 407   |  | 25       
|Profit, year-to-date                       |  | -             |  | -      |  | 653        |  | -             |  | -      |  | 472       
|                                           |  |               |  |        |  |            |  |               |  |        |  |           
|Equity, June 30                            |  | 738           |  | 23,884 |  | 6,182      |  | 737           |  | 23,736 |  | 4,295     
|                                           |  |               |  |        |  |            |  |               |  |        |  |           
|Total restricted and non-restricted equity |  |               |  | 24,622 |  | 6,182      |  |               |  | 24,473 |  | 4,295     
|                                           |  |               |  |        |  |            |  |               |  |        |  |           

10

---

|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|-------------------------------- |  | ------ |  | ------------------ |  | ------- |  | ---------- |  | ----- |  | ----- |  | ----- |  | ----- |  | ----- |  | ---
|NUMBEROF CUSTOMERS(in thousands)
|                                
|                                 |  |        |  | Numberof customers |  |         |  | Net intake |  |       |  |      
|                                 |  |        |  |                    |  |         |  |            |  |       |  |      
|                                 |  |        |  | 2004               |  | 2003    |  | 2004       |  | 2004  |  | 2003  |  | 2003  |  | 2003  |  | 2003 
|                                 |  |        |  | June 30            |  | June 30 |  | Change     |  | Q2    |  | Q1    |  | Q4    |  | Q3    |  | Q2    |  | Q1 
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                
|Nordic                           |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|Mobile telephony                 |  |        |  | 3,681              |  | 3,487   |  | 6%         |  | 45    |  | 36    |  | 45    |  | 68    |  | 182   |  | 84 
|Fixed telephony and Internet     |  |        |  | 2,821              |  | 2,892   |  | 2%        |  | 54   |  | 67   |  | 14    |  | 36    |  | 8     |  | 62 
|Cable TV                         |  |        |  | 178                |  | 186     |  | 4%        |  | 1    |  | 1     |  | 13   |  | 5     |  | 11   |  | 12
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                 |  |        |  | 6,680              |  | 6,565   |  | 2%         |  | 10   |  | 30   |  | 46    |  | 109   |  | 179   |  | 134
|                                
|Baltic & Russia                  |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|Mobile telephony                 |  |        |  | 2,679              |  | 1,609   |  | 67%        |  | 327   |  | 148   |  | 377   |  | 218   |  | 181   |  | 62 
|Fixed telephony and Internet     |  |        |  | 58                 |  | 58      |  | 0%         |  | 1     |  | -     |  | -     |  | 1    |  | 2    |  | 1 
|Cable TV                         |  | Note 3 |  | 20                 |  | 65      |  | 69%       |  | 46   |  | -     |  | 2     |  | 1    |  | 1     |  | -  
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                 |  |        |  | 2,757              |  | 1,732   |  | 59%        |  | 282   |  | 148   |  | 379   |  | 216   |  | 180   |  | 61 
|                                
|Central Europe                   |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|Mobile telephony                 |  |        |  | 68                 |  | 20      |  | 240%       |  | 13    |  | 5     |  | 15    |  | 15    |  | 11    |  | 9  
|Fixed telephony and Internet     |  |        |  | 4,427              |  | 2,325   |  | 90%        |  | 378   |  | 630   |  | 582   |  | 512   |  | 263   |  | 245
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                 |  |        |  | 4,495              |  | 2,345   |  | 92%        |  | 391   |  | 635   |  | 597   |  | 527   |  | 274   |  | 254
|                                
|Southern Europe                  |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|Mobile telephony                 |  |        |  | 41                 |  | 37      |  | 11%        |  | -     |  | 1     |  | 1     |  | 2     |  | 1     |  | 13
|Fixed telephony and Internet     |  |        |  | 8,375              |  | 6,067   |  | 38%        |  | 267   |  | 661   |  | 749   |  | 631   |  | 256   |  | 266
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                 |  |        |  | 8,416              |  | 6,104   |  | 38%        |  | 267   |  | 662   |  | 750   |  | 633   |  | 257   |  | 253
|                                
|Benelux                          |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|Mobile telephony                 |  |        |  | 587                |  | 474     |  | 24%        |  | 42    |  | 17    |  | 18    |  | 36    |  | 27    |  | 44 
|Fixed telephony and Internet     |  |        |  | 1,975              |  | 1,517   |  | 30%        |  | 64    |  | 136   |  | 142   |  | 116   |  | 146   |  | 164
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                 |  |        |  | 2,562              |  | 1,991   |  | 29%        |  | 106   |  | 153   |  | 160   |  | 152   |  | 173   |  | 208
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                
|Total number of customers        |  |        |  | 24,910             |  | 18,737  |  | 33%        |  | 1,036 |  | 1,568 |  | 1,932 |  | 1,637 |  | 1,063 |  | 910
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                
|BY BUSINESS AREA                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|Mobile telephony                 |  |        |  | 7,056              |  | 5,627   |  | 25%        |  | 427   |  | 207   |  | 456   |  | 339   |  | 402   |  | 186
|Of which prepaid                 |  |        |  | 5,087              |  | 3,935   |  | 29%        |  | 351   |  | 138   |  | 351   |  | 312   |  | 375   |  | 197
|Fixed telephony and Internet     |  |        |  | 17,656             |  | 12,859  |  | 37%        |  | 656   |  | 1,360 |  | 1,487 |  | 1,294 |  | 671   |  | 736
|Cable TV                         |  | Note 3 |  | 198                |  | 251     |  | 21%       |  | 47   |  | 1     |  | 11   |  | 4     |  | 10   |  | 12
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    
|                                
|Total number of customers        |  |        |  | 24,910             |  | 18,737  |  | 33%        |  | 1,036 |  | 1,568 |  | 1,932 |  | 1,637 |  | 1,063 |  | 910
|                                 |  |        |  |                    |  |         |  |            |  |       |  |       |  |       |  |       |  |       |  |    

11

---

MARKET AREAS SPLIT BY BUSINESS AREAS (MSEK)

OPERATING REVENUE

|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|------------------------------ |  | ------ |  | ------- |  | ------- |  | ------ |  | ------ |  | ----- |  | ----- |  | ----- |  | -----
|                               |  |        |  | 2004    |  | 2003    |  | 2004   |  | 2004   |  | 2003  |  | 2003  |  | 2003  |  | 2003 
|                               |  |        |  | Jan 1  |  | Jan 1  |  |        |  |        |  |       |  |       |  |       |  |      
|                               |  |        |  | June 30 |  | June 30 |  | Q2     |  | Q1     |  | Q4    |  | Q3    |  | Q2    |  | Q1   
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Nordic                         |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Mobile telephony               |  |        |  | 3,639   |  | 3,548   |  | 1,903  |  | 1,736  |  | 1,839 |  | 1,943 |  | 1,861 |  | 1,687
|Fixed telephony and Internet   |  |        |  | 3,344   |  | 3,132   |  | 1,667  |  | 1,677  |  | 1,627 |  | 1,551 |  | 1,575 |  | 1,557
|Cable TV                       |  |        |  | 104     |  | 101     |  | 51     |  | 53     |  | 53    |  | 53    |  | 50    |  | 51   
|Other operations               |  |        |  | 168     |  | 129     |  | 89     |  | 79     |  | 83    |  | 69    |  | 66    |  | 63   
|Adjustments mobile Sweden      |  | Note 1 |  | -       |  | -       |  | -      |  | -      |  | 374  |  | -     |  | -     |  | -    
|Adjustments for internal sales |  |        |  | 459    |  | 373    |  | 238   |  | 221   |  | 250  |  | 189  |  | 186  |  | 187 
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                               |  |        |  | 6,796   |  | 6,537   |  | 3,472  |  | 3,324  |  | 2,978 |  | 3,427 |  | 3,366 |  | 3,171
|Baltic & Russia                |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Mobile telephony               |  |        |  | 1,468   |  | 1,164   |  | 772    |  | 696    |  | 713   |  | 723   |  | 622   |  | 542  
|Fixed telephony and Internet   |  |        |  | 51      |  | 54      |  | 27     |  | 24     |  | 27    |  | 25    |  | 30    |  | 24   
|Cable TV                       |  |        |  | 11      |  | 13      |  | 4      |  | 7      |  | 7     |  | 6     |  | 7     |  | 6    
|Adjustments for internal sales |  |        |  | 2      |  | 4      |  | 1     |  | 1     |  | 2    |  | 2    |  | 2    |  | 2   
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                               |  |        |  | 1,528   |  | 1,227   |  | 802    |  | 726    |  | 745   |  | 752   |  | 657   |  | 570  
|Central Europe                 |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Mobile telephony               |  |        |  | 35      |  | 18      |  | 19     |  | 16     |  | 25    |  | 15    |  | 12    |  | 6    
|Fixed telephony and Internet   |  |        |  | 2,572   |  | 1,699   |  | 1,299  |  | 1,273  |  | 1,171 |  | 993   |  | 862   |  | 837  
|Adjustments for internal sales |  |        |  | 253    |  | 236    |  | 121   |  | 132   |  | 125  |  | 119  |  | 115  |  | 121 
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                               |  |        |  | 2,354   |  | 1,481   |  | 1,197  |  | 1,157  |  | 1,071 |  | 889   |  | 759   |  | 722  
|Southern Europe                |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Mobile telephony               |  |        |  | 16      |  | 16      |  | 8      |  | 8      |  | 7     |  | 9     |  | 8     |  | 8    
|Fixed telephony and Internet   |  |        |  | 8,763   |  | 7,087   |  | 4,379  |  | 4,384  |  | 4,033 |  | 3,527 |  | 3,671 |  | 3,416
|Adjustments for internal sales |  |        |  | 575    |  | 293    |  | 267   |  | 308   |  | 248  |  | 195  |  | 167  |  | 126 
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                               |  |        |  | 8,204   |  | 6,810   |  | 4,120  |  | 4,084  |  | 3,792 |  | 3,341 |  | 3,512 |  | 3,298
|Benelux                        |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Mobile telephony               |  |        |  | 539     |  | 413     |  | 291    |  | 248    |  | 266   |  | 264   |  | 221   |  | 192  
|Fixed telephony and Internet   |  |        |  | 1,645   |  | 1,319   |  | 812    |  | 833    |  | 798   |  | 717   |  | 684   |  | 635  
|Cable TV                       |  |        |  | 6       |  | 6       |  | 5      |  | 1      |  | 2     |  | 3     |  | 3     |  | 3    
|Other operations               |  |        |  | 4       |  | 17      |  | -      |  | 4      |  | 2    |  | 6     |  | 7     |  | 10   
|Adjustments for internal sales |  |        |  | 90     |  | 45     |  | 46    |  | 44    |  | 36   |  | 24   |  | 23   |  | 22  
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                               |  |        |  | 2,104   |  | 1,710   |  | 1,062  |  | 1,042  |  | 1,028 |  | 966   |  | 892   |  | 818  
|Services                       |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Fixed telephony and Internet   |  |        |  | 14      |  | 25      |  | 7      |  | 7      |  | 7     |  | 11    |  | 11    |  | 14   
|Other operations               |  |        |  | 176     |  | 112     |  | 92     |  | 84     |  | 86    |  | 60    |  | 57    |  | 55   
|Adjustments for internal sales |  |        |  | 86     |  | 61     |  | 41    |  | 45    |  | 51   |  | 32   |  | 29   |  | 32  
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                               |  |        |  | 104     |  | 76      |  | 58     |  | 46     |  | 42    |  | 39    |  | 39    |  | 37   
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                              
|Total operating revenue        |  |        |  | 21,090  |  | 17,841  |  | 10,711 |  | 10,379 |  | 9,656 |  | 9,414 |  | 9,225 |  | 8,616
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|                              
|BY BUSINESS AREA               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Mobile telephony               |  |        |  | 5,697   |  | 5,159   |  | 2,993  |  | 2,704  |  | 2,850 |  | 2,954 |  | 2,724 |  | 2,435
|Fixed telephony and Internet   |  |        |  | 16,389  |  | 13,316  |  | 8,191  |  | 8,198  |  | 7,663 |  | 6,824 |  | 6,833 |  | 6,483
|Cable TV                       |  |        |  | 121     |  | 120     |  | 60     |  | 61     |  | 62    |  | 62    |  | 60    |  | 60   
|Other operations               |  |        |  | 348     |  | 258     |  | 181    |  | 167    |  | 167   |  | 135   |  | 130   |  | 128  
|Adjustments mobile Sweden      |  | Note 1 |  | -       |  | -       |  | -      |  | -      |  | 374  |  | -     |  | -     |  | -    
|Adjustments for internal sales |  |        |  | 1,465  |  | 1,012  |  | 714   |  | 751   |  | 712  |  | 561  |  | 522  |  | 490 
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      
|Total operating revenue        |  |        |  | 21,090  |  | 17,841  |  | 10,711 |  | 10,379 |  | 9,656 |  | 9,414 |  | 9,225 |  | 8,616
|                               |  |        |  |         |  |         |  |        |  |        |  |       |  |       |  |       |  |      

12

---

MARKET AREAS SPLIT BY BUSINESS AREAS (MSEK), continued

EBITDA

|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|---------------------------- |  | ------ |  | ------- |  | ------- |  | ----- |  | ----- |  | ----- |  | ----- |  | ----- |  | -----
|                             |  |        |  | 2004    |  | 2003    |  | 2004  |  | 2004  |  | 2003  |  | 2003  |  | 2003  |  | 2003 
|                             |  |        |  | Jan 1  |  | Jan 1  |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | June 30 |  | June 30 |  | Q2    |  | Q1    |  | Q4    |  | Q3    |  | Q2    |  | Q1   
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Nordic                       |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 1,445   |  | 1,580   |  | 726   |  | 719   |  | 803   |  | 907   |  | 819   |  | 761  
|Fixed telephony and Internet |  |        |  | 515     |  | 451     |  | 254   |  | 261   |  | 205   |  | 231   |  | 200   |  | 251  
|Cable TV                     |  |        |  | 20      |  | 17      |  | 7     |  | 13    |  | 9     |  | 14    |  | 9     |  | 8    
|Other operations             |  |        |  | 2       |  | 1      |  | 3     |  | 1    |  | 2     |  | 1    |  | 1     |  | 2   
|Adjustments mobile Sweden    |  | Note 1 |  | -       |  | -       |  | -     |  | -     |  | 374  |  | -     |  | -     |  | -    
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | 1,982   |  | 2,047   |  | 990   |  | 992   |  | 645   |  | 1,151 |  | 1,029 |  | 1,018
|Baltic & Russia              |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 499     |  | 429     |  | 271   |  | 228   |  | 159   |  | 221   |  | 211   |  | 218  
|Fixed telephony and Internet |  |        |  | 5      |  | 3      |  | 3    |  | 2    |  | 13   |  | 8     |  | 4    |  | 1    
|Cable TV                     |  | Note 3 |  | 26      |  | 1      |  | 26    |  | -     |  | -     |  | -     |  | 1     |  | 2   
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | 520     |  | 425     |  | 294   |  | 226   |  | 146   |  | 229   |  | 208   |  | 217  
|Central Europe               |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 21     |  | 28     |  | 14   |  | 7    |  | 13   |  | 12   |  | 15   |  | 13  
|Fixed telephony and Internet |  |        |  | 70      |  | 162    |  | 55    |  | 15    |  | 7     |  | 95   |  | 83   |  | 79  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | 49      |  | 190    |  | 41    |  | 8     |  | 6    |  | 107  |  | 98   |  | 92  
|Southern Europe              |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 7      |  | 2      |  | -     |  | 7    |  | 1    |  | 1    |  | -     |  | 2   
|Fixed telephony and Internet |  |        |  | 441     |  | 651     |  | 247   |  | 194   |  | 168   |  | 289   |  | 353   |  | 298  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | 434     |  | 649     |  | 247   |  | 187   |  | 167   |  | 288   |  | 353   |  | 296  
|Benelux                      |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 125     |  | 44      |  | 60    |  | 65    |  | 67    |  | 42    |  | 32    |  | 12   
|Fixed telephony and Internet |  |        |  | 105     |  | 34      |  | 49    |  | 56    |  | 36    |  | 19    |  | 13    |  | 21   
|Cable TV                     |  |        |  | 8      |  | 3      |  | 5    |  | 3    |  | 3    |  | 3    |  | 1    |  | 2   
|Other operations             |  |        |  | 4      |  | -       |  | -     |  | 4    |  | 9    |  | 1    |  | 1     |  | 1   
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | 218     |  | 75      |  | 104   |  | 114   |  | 91    |  | 57    |  | 45    |  | 30   
|Services                     |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Fixed telephony and Internet |  |        |  | 1      |  | -       |  | -     |  | 1    |  | 3     |  | 1     |  | 3    |  | 3    
|Other operations             |  |        |  | 25      |  | 10      |  | 13    |  | 12    |  | 2     |  | 9     |  | 3     |  | 7    
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | 24      |  | 10      |  | 13    |  | 11    |  | 5     |  | 10    |  | -     |  | 10   
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                            
|Total EBITDA                 |  |        |  | 3,227   |  | 3,016   |  | 1,689 |  | 1,538 |  | 1,048 |  | 1,628 |  | 1,537 |  | 1,479
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                            
|                            
|                            
|BY BUSINESS AREA             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 2,041   |  | 2,023   |  | 1,043 |  | 998   |  | 1,015 |  | 1,157 |  | 1,047 |  | 976  
|Fixed telephony and Internet |  |        |  | 1,125   |  | 971     |  | 602   |  | 523   |  | 406   |  | 453   |  | 476   |  | 495  
|Cable TV                     |  | Note 3 |  | 38      |  | 13      |  | 28    |  | 10    |  | 6     |  | 11    |  | 9     |  | 4    
|Other operations             |  |        |  | 23      |  | 9       |  | 16    |  | 7     |  | 5    |  | 7     |  | 5     |  | 4    
|Adjustments mobile Sweden    |  | Note 1 |  | -       |  | -       |  | -     |  | -     |  | 374  |  | -     |  | -     |  | -    
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Total EBITDA                 |  |        |  | 3,227   |  | 3,016   |  | 1,689 |  | 1,538 |  | 1,048 |  | 1,628 |  | 1,537 |  | 1,479
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                            
|EBITDA MARGIN                |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Nordic                       |  | Note 1 |  | 29%     |  | 31%     |  | 29%   |  | 30%   |  | 22%   |  | 34%   |  | 31%   |  | 32%  
|Baltic & Russia              |  | Note 3 |  | 34%     |  | 35%     |  | 37%   |  | 31%   |  | 20%   |  | 30%   |  | 32%   |  | 38%  
|Central Europe               |  |        |  | 2%      |  | 13%    |  | 3%    |  | 1%    |  | 1%   |  | 12%  |  | 13%  |  | 13% 
|Southern Europe              |  |        |  | 5%      |  | 10%     |  | 6%    |  | 5%    |  | 4%    |  | 9%    |  | 10%   |  | 9%   
|Benelux                      |  |        |  | 10%     |  | 4%      |  | 10%   |  | 11%   |  | 9%    |  | 6%    |  | 5%    |  | 4%   
|Services                     |  |        |  | 23%     |  | 13%     |  | 22%   |  | 24%   |  | 12%   |  | 26%   |  | 0%    |  | 27%  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Total EBITDA margin          |  |        |  | 15%     |  | 17%     |  | 16%   |  | 15%   |  | 11%   |  | 17%   |  | 17%   |  | 17%  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      

13

---

MARKET AREAS SPLIT BY BUSINESS AREAS (MSEK), continued

|                             |  |          |  | EBIT    |  |         |  |      |  |      |  |      |  |      |  |     
|---------------------------- |  | -------- |  | ------- |  | ------- |  | ---- |  | ---- |  | ---- |  | ---- |  | ----
|                            
|                            
|                             |  |          |  | 2004    |  | 2003    |  | 2004 |  | 2004 |  | 2003 |  | 2003 |  | 2003
|                             |  |          |  | Jan 1  |  | Jan 1  |  |      |  |      |  |      |  |      |  |     
|                             |  |          |  | June 30 |  | June 30 |  | Q2   |  | Q1   |  | Q4   |  | Q3   |  | Q2  
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Nordic                       |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Mobile telephony             |  | Note 2   |  | 1,230   |  | 1,376   |  | 618  |  | 612  |  | 686  |  | 804  |  | 715 
|Fixed telephony and Internet |  | Note 2   |  | 321     |  | 236     |  | 157  |  | 164  |  | 12   |  | 135  |  | 95  
|Cable TV                     |  |          |  | 8      |  | 14     |  | 7   |  | 1   |  | 6   |  | 1   |  | 6  
|Other operations             |  |          |  | -       |  | 6      |  | 2    |  | 2   |  | 1   |  | 2   |  | 1  
|Adjustments mobile Sweden    |  | Note 1   |  | -       |  | -       |  | -    |  | -    |  | 374 |  | -    |  | -   
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                             |  |          |  | 1,543   |  | 1,592   |  | 770  |  | 773  |  | 317  |  | 936  |  | 803 
|Baltic & Russia              |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Mobile telephony             |  |          |  | 224     |  | 247     |  | 129  |  | 95   |  | 61   |  | 146  |  | 104 
|Fixed telephony and Internet |  |          |  | 6      |  | 2      |  | 4   |  | 2   |  | 13  |  | 6    |  | 2  
|Cable TV                     |  | Note 3   |  | 24      |  | 7      |  | 26   |  | 2   |  | 2   |  | 1   |  | 3  
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                             |  |          |  | 242     |  | 238     |  | 151  |  | 91   |  | 46   |  | 151  |  | 99  
|Central Europe               |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Mobile telephony             |  |          |  | 26     |  | 32     |  | 16  |  | 10  |  | 15  |  | 14  |  | 17 
|Fixed telephony and Internet |  |          |  | 15     |  | 240    |  | 10   |  | 25  |  | 37  |  | 137 |  | 124
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                             |  |          |  | 41     |  | 272    |  | 6   |  | 35  |  | 52  |  | 151 |  | 141
|Southern Europe              |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Mobile telephony             |  |          |  | 7      |  | 3      |  | -    |  | 7   |  | 1   |  | -    |  | 1  
|Fixed telephony and Internet |  |          |  | 341     |  | 563     |  | 196  |  | 145  |  | 129  |  | 248  |  | 313 
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                             |  |          |  | 334     |  | 560     |  | 196  |  | 138  |  | 128  |  | 248  |  | 312 
|Benelux                      |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Mobile telephony             |  |          |  | 77      |  | 1       |  | 35   |  | 42   |  | 43   |  | 17   |  | 10  
|Fixed telephony and Internet |  | Note 2   |  | 92      |  | 14      |  | 43   |  | 49   |  | 45  |  | 14   |  | 6   
|Cable TV                     |  |          |  | 11     |  | 7      |  | 6   |  | 5   |  | 5   |  | 3   |  | 4  
|Other operations             |  |          |  | 7      |  | 4      |  | 2   |  | 5   |  | 11  |  | 1   |  | -   
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                             |  |          |  | 151     |  | 4       |  | 70   |  | 81   |  | 18  |  | 27   |  | 12  
|Services                     |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Fixed telephony and Internet |  |          |  | 2      |  | 2      |  | -    |  | 2   |  | -    |  | 1    |  | 4  
|Other operations             |  |          |  | 8       |  | 2       |  | 4    |  | 4    |  | 4   |  | 3    |  | -   
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                             |  |          |  | 6       |  | -       |  | 4    |  | 2    |  | 4   |  | 4    |  | 4  
|                            
|Group adjustments,           |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                             |  | Note 2   |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|depreciation/amortization    |  |          |  | 748    |  | 761    |  | 378 |  | 370 |  | 740 |  | 387 |  | 388
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Total EBIT                   |  |          |  | 1,487   |  | 1,361   |  | 807  |  | 680  |  | 323 |  | 828  |  | 693 
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                            
|BY BUSINESS AREA             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Mobile telephony             |  | Note 2   |  | 1,498   |  | 1,589   |  | 766  |  | 732  |  | 774  |  | 953  |  | 811 
|Fixed telephony and Internet |  | Note 2   |  | 731     |  | 569     |  | 402  |  | 329  |  | 46   |  | 267  |  | 284 
|Cable TV                     |  | Note 3   |  | 5       |  | 28     |  | 13   |  | 8   |  | 13  |  | 5   |  | 13 
|Other operations             |  |          |  | 1       |  | 8      |  | 4    |  | 3   |  | 16  |  | -    |  | 1  
|Adjustments mobile Sweden    |  | Note 1   |  | -       |  | -       |  | -    |  | -    |  | 374 |  | -    |  | -   
|Group adjustments,           |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|depreciation/amortization    |  | Note 2   |  | 748    |  | 761    |  | 378 |  | 370 |  | 740 |  | 387 |  | 388
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Total EBIT                   |  |          |  | 1,487   |  | 1,361   |  | 807  |  | 680  |  | 323 |  | 828  |  | 693 
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|                            
|EBIT MARGIN                  |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Nordic                       |  | Note 1,2 |  | 23%     |  | 24%     |  | 22%  |  | 23%  |  | 11%  |  | 27%  |  | 24% 
|Baltic & Russia              |  | Note 3   |  | 16%     |  | 19%     |  | 19%  |  | 13%  |  | 6%   |  | 20%  |  | 15% 
|Central Europe               |  |          |  | 2%     |  | 18%    |  | 1%  |  | 3%  |  | 5%  |  | 17% |  | 19%
|Southern Europe              |  |          |  | 4%      |  | 8%      |  | 5%   |  | 3%   |  | 3%   |  | 7%   |  | 9%  
|Benelux                      |  | Note 2   |  | 7%      |  | 0%      |  | 7%   |  | 8%   |  | 2%  |  | 3%   |  | 1%  
|Services                     |  |          |  | 6%      |  | 0%      |  | 7%   |  | 4%   |  | 10% |  | 10%  |  | 10%
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     
|Total EBIT margin            |  |          |  | 7%      |  | 8%      |  | 8%   |  | 7%   |  | 3%  |  | 9%   |  | 8%  
|                             |  |          |  |         |  |         |  |      |  |      |  |      |  |      |  |     

14

---

INVESTMENTS (MSEK)

|                                   |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|---------------------------------- |  | ------- |  | ------- |  | ---- |  | ---- |  | ---- |  | ---- |  | ---- |  | ----
|                                   |  | 2004    |  | 2003    |  | 2004 |  | 2004 |  | 2003 |  | 2003 |  | 2003 |  | 2003
|                                   |  | Jan 1  |  | Jan 1  |  |      |  |      |  |      |  |      |  |      |  |     
|                                   |  | June 30 |  | June 30 |  | Q2   |  | Q1   |  | Q4   |  | Q3   |  | Q2   |  | Q1  
|                                   |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|Market areas                       |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|Nordic                             |  | 247     |  | 257     |  | 141  |  | 106  |  | 86   |  | 111  |  | 122  |  | 135 
|Baltic & Russia                    |  | 272     |  | 453     |  | 94   |  | 178  |  | 221  |  | 234  |  | 278  |  | 175 
|Central Europe                     |  | 103     |  | 81      |  | 67   |  | 36   |  | 53   |  | 29   |  | 48   |  | 33  
|Southern Europe                    |  | 62      |  | 91      |  | 41   |  | 21   |  | 14   |  | 29   |  | 27   |  | 64  
|Benelux                            |  | 51      |  | 83      |  | 8    |  | 43   |  | 54   |  | 18   |  | 61   |  | 22  
|Services                           |  | 30      |  | 18      |  | 18   |  | 12   |  | 55   |  | 3    |  | 14   |  | 4   
|                                   |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|Investments in intangible and      |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|tangible assets                    |  | 765     |  | 983     |  | 369  |  | 396  |  | 483  |  | 424  |  | 550  |  | 433 
|Investments, non-cash transactions |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|Finance lease                      |  | -       |  | -       |  | -    |  | -    |  | 5    |  | -    |  | -    |  | -   
|                                   |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|Total, CAPEX                       |  | 765     |  | 983     |  | 369  |  | 396  |  | 488  |  | 424  |  | 550  |  | 433 
|                                   |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|                                  
|Business areas                     |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|Mobile telephony                   |  | 471     |  | 610     |  | 182  |  | 289  |  | 361  |  | 279  |  | 366  |  | 244 
|Fixed telephony and Internet       |  | 257     |  | 335     |  | 166  |  | 91   |  | 78   |  | 132  |  | 165  |  | 170 
|Cable TV                           |  | 4       |  | 21      |  | 2    |  | 2    |  | 1    |  | 10   |  | 9    |  | 12  
|Other operations                   |  | 33      |  | 17      |  | 19   |  | 14   |  | 43   |  | 3    |  | 10   |  | 7   
|                                   |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|Investments in intangible and      |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     
|tangible assets                    |  | 765     |  | 983     |  | 369  |  | 396  |  | 483  |  | 424  |  | 550  |  | 433 
|                                   |  |         |  |         |  |      |  |      |  |      |  |      |  |      |  |     

15

---

TELE2 OPERATIONS IN SWEDEN (MSEK)*

|                             |  |        |  | 2004    |  | 2003    |  | 2004  |  | 2004  |  | 2003  |  | 2003  |  | 2003  |  | 2003 
|---------------------------- |  | ------ |  | ------- |  | ------- |  | ----- |  | ----- |  | ----- |  | ----- |  | ----- |  | -----
|                             |  |        |  | Jan 1  |  | Jan 1  |  |       |  |       |  |       |  |       |  |       |  |      
|                             |  |        |  | June 30 |  | June 30 |  | Q2    |  | Q1    |  | Q4    |  | Q3    |  | Q2    |  | Q1   
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Operating revenue            |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 3,145   |  | 3,241   |  | 1,622 |  | 1,523 |  | 1,637 |  | 1,748 |  | 1,697 |  | 1,544
|Fixed telephony and Internet |  | 1,966  |  | 1,880   |  | 970     |  | 996   |  | 976   |  | 937   |  | 950   |  | 930  
|Cable TV                     |  |        |  | 104     |  | 92      |  | 51    |  | 53    |  | 50    |  | 49    |  | 46    |  | 46   
|Adjustments mobile           |  | Note 1 |  | -       |  | -       |  | -     |  | -     |  | 374  |  | -     |  | -     |  | -    
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Total                        |  |        |  | 5,215   |  | 5,213   |  | 2,643 |  | 2,572 |  | 2,289 |  | 2,734 |  | 2,693 |  | 2,520
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                            
|EBITDA                       |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 1,464   |  | 1,622   |  | 737   |  | 727   |  | 777   |  | 917   |  | 855   |  | 767  
|Fixed telephony and Internet |  | 402    |  | 343     |  | 201     |  | 201   |  | 174   |  | 197   |  | 158   |  | 185  
|Cable TV                     |  |        |  | 20      |  | 14      |  | 7     |  | 13    |  | 8     |  | 13    |  | 7     |  | 7    
|Adjustments mobile           |  | Note 1 |  | -       |  | -       |  | -     |  | -     |  | 374  |  | -     |  | -     |  | -    
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Total                        |  |        |  | 1,886   |  | 1,979   |  | 945   |  | 941   |  | 585   |  | 1,127 |  | 1,020 |  | 959  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                            
|EBITDA margin                |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 47%     |  | 50%     |  | 45%   |  | 48%   |  | 47%   |  | 52%   |  | 50%   |  | 50%  
|Fixed telephony and Internet |  | 20%    |  | 18%     |  | 21%     |  | 20%   |  | 18%   |  | 21%   |  | 17%   |  | 20%  
|Cable TV                     |  |        |  | 19%     |  | 15%     |  | 14%   |  | 25%   |  | 16%   |  | 27%   |  | 15%   |  | 15%  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Total                        |  |        |  | 36%     |  | 38% 36% |  | 37%   |  | 26%   |  | 41%   |  | 38%   |  | 38%  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                            
|EBIT                         |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 1,264   |  | 1,423   |  | 637   |  | 627   |  | 663   |  | 817   |  | 755   |  | 668  
|Fixed telephony and Internet |  | 248    |  | 176     |  | 125     |  | 123   |  | 7     |  | 125   |  | 75    |  | 101  
|Cable TV                     |  |        |  | 8      |  | 16     |  | 7    |  | 1    |  | 6    |  | 1    |  | 8    |  | 8   
|Adjustments mobile           |  | Note 1 |  | -       |  | -       |  | -     |  | -     |  | 374  |  | -     |  | -     |  | -    
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Total                        |  |        |  | 1,504   |  | 1,583   |  | 755   |  | 749   |  | 290   |  | 941   |  | 822   |  | 761  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|                            
|EBIT margin                  |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Mobile telephony             |  |        |  | 40%     |  | 44%     |  | 39%   |  | 41%   |  | 41%   |  | 47%   |  | 44%   |  | 43%  
|Fixed telephony and Internet |  | 13%    |  | 9%      |  | 13%     |  | 12%   |  | 1%    |  | 13%   |  | 8%    |  | 11%  
|Cable TV                     |  |        |  | 8%     |  | 17%    |  | 14%  |  | 2%   |  | 12%  |  | 2%   |  | 17%  |  | 17% 
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |       |  |      
|Total                        |  |        |  | 29%     |  | 30% 29% |  | 29%   |  | 13%   |  | 34%   |  | 31%   |  | 30%  
|                             |  |        |  |         |  |         |  |       |  |       |  |       |  |       |  |      

* Tele2 Sverige AB, Optimal Telecom AB, Cable TV operations in Sweden and profit/loss from share in the associated company Svenska UMTS-nät AB

16

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|                                                 |  |        |  |         |  |         |  |        |  |        |  |        |  |     
|------------------------------------------------ |  | ------ |  | ------- |  | ------- |  | ------ |  | ------ |  | ------ |  | ----
|FIVE-YEARSUMMARY                                
|                                                
|                                                 |  |        |  | 2004    |  | 2003    |  | 2003   |  | 2002   |  | 2001   |  | 2000
|                                                 |  |        |  | Jan 1  |  | Jan 1  |  |        |  |        |  |        |  |     
|                                                 |  |        |  | June 30 |  | June 30 |  |        |  |        |  |        |  |     
|                                                 |  |        |  |         |  |         |  |        |  |        |  |        |  |     
|Income Statement and Balance Sheet(MSEK)         |  |        |  |         |  |         |  |        |  |        |  |       
|Operating revenue                                |  | 21,090 |  | 17,841  |  | 36,911  |  | 31,282 |  | 25,085 |  | 12,440
|EBITDA                                           |  | 3,227  |  | 3,016   |  | 5,692   |  | 5,091  |  | 1,731  |  | 1,776 
|EBIT                                             |  | 1,487  |  | 1,361   |  | 1,866   |  | 1,494  |  | 1,323 |  | 376   
|EBT                                              |  | 1,367  |  | 1,058   |  | 1,267   |  | 796    |  | 1,944 |  | 165   
|Profit (loss) after taxes                        |  | 653    |  | 472     |  | 2,396   |  | 223    |  | 392    |  | 396  
|                                                
|Shareholders' equity                             |  | 30,804 |  | 28,768  |  | 30,360  |  | 28,728 |  | 29,517 |  | 26,539
|Shareholders' equity, after dilution             |  | 30,927 |  | 28,910  |  | 30,487  |  | 28,870 |  | 29,547 |  | 26,584
|Total assets                                     |  | 47,579 |  | 48,078  |  | 47,970  |  | 46,872 |  | 49,258 |  | 42,397
|                                                
|Cash flow provided by operating activities       |  | 3,134  |  | 2,874   |  | 5,974   |  | 4,365  |  | 413    |  | 883   
|Liquidity                                        |  | 4,178  |  | 2,393   |  | 3,444   |  | 2,332  |  | 1,625  |  | 1,304 
|Net borrowing                                    |  | 2,488  |  | 6,370   |  | 4,427   |  | 7,729  |  | 9,286  |  | 7,095 
|Investments in intangible and tangibleassets,    |  | 765    |  | 983     |  | 1,895   |  | 1,956  |  | 2,162  |  | 1,514 
|CAPEX                                            |  |        |  |         |  |         |  |        |  |        |  |       
|Investments in shares and long-termreceivables   |  | 9     |  | 554     |  | 767     |  | 626    |  | 304    |  | 20,512
|                                                
|Key ratios                                       |  |        |  |         |  |         |  |        |  |        |  |       
|Solidity, %                                      |  | 65     |  | 60      |  | 63      |  | 61     |  | 60     |  | 63    
|Debt/equity ratio, %                             |  | 0.08   |  | 0.22    |  | 0.15    |  | 0.27   |  | 0.31   |  | 0.27  
|EBITDA margin, %                                 |  | 15.3   |  | 16.9    |  | 15.4    |  | 16.3   |  | 6.9    |  | 14.3  
|EBIT margin, %                                   |  | 7.1    |  | 7.6     |  | 5.1     |  | 4.8    |  | 5.3   |  | 3.0   
|Return on shareholders' equity, %                |  | 2.1    |  | 1.6     |  | 8.1     |  | 0.8    |  | 1.4    |  | 2.4  
|Return on shareholders' equity, afterdilution, % |  | 2.1    |  | 1.6     |  | 8.1     |  | 0.8    |  | 1.4    |  | 2.4  
|Return on capital employed, %                    |  | 4.2    |  | 3.7     |  | 5.0     |  | 3.9    |  | 3.3   |  | 1.9   
|Average interest rate, %                         |  | 3.8    |  | 5.3     |  | 5.0     |  | 6.4    |  | 6.3    |  | 4.8   
|                                                
|Per share data (SEK)                             |  |        |  |         |  |         |  |        |  |        |  |       
|Profit (loss)                                    |  | 4.43   |  | 3.20    |  | 16.25   |  | 1.51   |  | 2.70   |  | 3.47 
|Profit (loss), after dilution                    |  | 4.41   |  | 3.19    |  | 16.20   |  | 1.51   |  | 2.70   |  | 3.47 
|Shareholders' equity                             |  | 208.76 |  | 195.09  |  | 205.88  |  | 194.95 |  | 203.56 |  | 232.62
|Shareholders' equity, after dilution             |  | 209.10 |  | 195.62  |  | 206.17  |  | 195.55 |  | 203.46 |  | 232.74
|Cash flow from operating activities              |  | 21.24  |  | 19.49   |  | 40.51   |  | 29.62  |  | 2.85   |  | 7.74  
|Dividend                                         |  | -      |  | -       |  | 3.00    |  | -      |  | -      |  | -     
|Market value at closing day                      |  | 330.00 |  | 297.50  |  | 384.00  |  | 230.50 |  | 378.00 |  | 392.00
|                                                 |  |        |  |         |  |         |  |        |  |        |  |       

17

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NOTES

Accounting principles and definitions

The Interim report has been prepared in accordance with recommendation RR20 of the Swedish Financial Accounting Standards Council. In 2004, Tele2 has changed accounting principles for accounting of profit/loss in associated
companies, from previously having reported these as a financial item to including them in the operating results. The new principle better reflects Tele2's financial performance, as results from the associated company Svenska UMTS-nät AB is
viewed to be of an operating rather than of a financial nature. Tele2 has in all other respects reported its interim report in accordance with the accounting principles and methods used in the Annual Report and Accounts for the financial year of
2003. Definitions are stated in the Annual Report for 2003.

Note 1 Adjustment: Operating revenue

Revenue from mobile telephony is shown as calls are made, which means that sold but not yet used prepaid cards should not be included in revenues. To estimate this, revenues in Sweden have, up until Q3 2003, been recognized
according to a model that has been used unchanged since the start of Tele2's prepaid telephony in 1997, rather than a system to measure the value of sold but not used prepaid cards. In Q4 2003, Comviq brought such a system into use, and it was
established that sold but not used prepaid cards had been undervalued by around MSEK 374 in total for the period 1997 through September 30, 2003, of which MSEK 95 is related to 2003.

Note 2 Adjustment: Operating expenses

As a result of valuation of loss-carry-forwards for some companies in Continental Europe to their full value in Q4 2003 the part of loss carry forwards that existed when Tele2 acquired SEC and that could have reduced
goodwill by MSEK 322, is accounted for as a write-down according to the Swedish Financial Accounting Standards Council's recommendation RR9-Income taxes.

Write-downs on fixed assets amounted to MSEK 172 was made in Q4 2003 and relate to Atlantic undersea cable, in which Tele2 Sweden and Tele2 Luxembourg invested in the late 1990s. They have been expensed as a result of
Tele2's assessment of continued excess supply of capacity.

Note 3 Disposal of cable-TV operation

On May 12, 2004, Tele2 sold its Estonian cable-TV operation for MSEK 38. The sale resulted in a capital gain of MSEK 26, reported as other operating revenue. The operation's number of customers at the time of the disposal
totalled 46,000.

Note 4 Adjustment: Net interest and other financial expenses

The Q4 2003 result is affected by a write-down of MSEK 75 regarding shares in TravelLink AB.

Note 5 Adjustment: Taxes

At June 30, 2004 and December 31, 2003 the group's total deferred tax receivable is MSEK 1,970 and MSEK 2,459, respectively, and is included in the item "Long-term financial assets".

Note 6 Shares and Convertibles

At June 30, 2004 and December 31, 2003 Tele2 has outstanding warrants, corresponding to 643,500 B shares and 643,500 B shares respectively, with a subscription price of SEK 191 per share and a subscription period from 2005
to 2007.

At July 1, 2004, 6,173,141 class A shares have been reclassified into class B shares. The reclassification is made in accordance with the resolution passed at the AGM on May 12, 2004. The number of class A shares following
the reclassification is 15,516,663 and the number of class B shares is 132,043,512. The total number of outstanding shares remains unchanged at 147,560,175.

Note 7 UMTS-nät AB in Sweden

Tele2 and TeliaSonera each own 50% of Svenska UMTS-nät AB, which has a 3G license in Sweden. Both companies have injected capital in Svenska UMTS-nät AB. In addition to this, the build out has external financing,
with a loan facility of SEK 7 billion, which is 50% guaranteed by each party. Tele2 and TeliaSonera are technically MVNO's with the UMTS company and hence act as capacity purchasers. In the longer run the cost will be variable in relation to
purchased volume but until a certain volume threshold is reached the fees are equal for both parties. The size of the fee is mainly proportional to the total investment. The UMTS company is to generate a certain return which in simple terms means
that depreciation and interest costs will be covered by a certain margin. In Tele2's quarterly reports an abbreviated version of Svenska UMTS-nät AB's balance sheet will be disclosed and hence the level of investment at that time.

Tele2's
  investments in the UMTS company are included in EBITDA as a share of results from associated companies. This means that a positive result for the UMTS company is settled against the cost for purchasing capacity.

18

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At June 30, 2004 Tele2's guarantee amounted to MSEK 588 compared to MSEK 363 at December 31, 2003.

|                                                                          |  |       |  |                              |  |      
|------------------------------------------------------------------------- |  | ----- |  | ---------------------------- |  | -----
|The balance sheet forSvenska UMTS-nätAB at June 30, 2004 is stated below: |  |      
|                                                                          |  | MSEK  |  |                              |  | MSEK 
|Fixed assets                                                              |  | 2,142 |  | Equity                       |  | 1,049
|Other current assets                                                      |  | 273   |  | Long-term liabilities        |  | 1,175
|Liquid funds                                                              |  | 27    |  | Short-term liabilities       |  | 218  
|                                                                          |  |       |  |                              |  |      
|Total assets                                                              |  | 2,442 |  | Total equity and liabilities |  | 2,442
|                                                                          |  |       |  |                              |  |      

19

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SIGNATURES

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.

TELE2 AB 
      By:   /s/ Håkan Zadler
  Name: Håkan Zadler
  Title: Chief Financial Officer 
  Date: September 29, 2004