Deutsche Telekom 1Q Net Loss Euro1.1 Billion

GEORGE FREY

FRANKFURT (AP) — Germany's Deutsche Telekom AG reported Thursday a large first quarter net loss which the company blamed on a "strong economic slowdown" and more intense competition, especially in the U.K.

The Bonn-based company said it lost euro1.1 billion ($1.46 billion) in the January-March period compared with a net profit of euro924 million in the first quarter of 2008.

Revenues were 6.2 percent higher at euro16 billion compared with euro15 billion in the first quarter of 2008.

"The figures we are presenting today show a mixed picture: Despite the difficult environment in some markets, we are in a relatively stable position," Rene Obermann, the company's chief executive said in the company's report.

Deutsche Telekom did not offer a detailed outlook for the current quarter or the full year in Thursday's report.

In late April however, the company said it expects pretax earnings to be between 2 percent and 4 percent lower for the year compared to 2008, when earnings before interest, taxes, depreciation and amortization amounted to euro18 billion.