Stock options exercised to subscribe for Elcoteq shares and increase in share capital

A/B/C/D options under Elcoteq Network Corporation's 2001 stock option scheme have been exercised to subscribe for 9,115 new Elcoteq Series A shares between April 19 and July 22, 2005. The share subscription price was EUR 7.19 per share, as stipulated in the option scheme's conditions. The subscription period for the A warrants under the 2001 stock option scheme began on April 1, 2002, for the B warrants on April 1, 2003, for the C options on April 1, 2004 and for the D options on April 1, 2005.
 
The 9,115 new shares will be recorded in the Trade Register on or about August 10, 2005. Elcoteq's share capital will increase by altogether EUR 3,646 as a result of the subscription, totaling EUR 12,309,190.80 from the date of registration. Following the increase the number of A shares will total 20,195,977.
 
The new shares will carry dividend rights from the date of registration and Elcoteq will apply for their listing on the Helsinki Exchanges with the company's existing shares. Trading in these shares will start on or about August 11, 2005.