Group Headquarters & Shared Services.

Vivento, our personnel service provider consistently supported us once again in 2010 in staff restructuring in the Group. The focus was on securing external employment opportunities for civil servants and employees, predominantly in the public sector. Vivento paid particular attention to transferring employees, especially to the Federal Employment Agency. In addition, Vivento offers Group employees employment opportunities at Vivento Customer Services GmbH.

As of December 31, 2010, Vivento had a workforce of about 8,900, including around 3,600 employees who were deployed externally, mainly in the public sector, for example at the Federal Employment Agency. Another 3,300 or so employees were employed within the Group, especially in service centers. About 2,000 employees were placed in Vivento’s operational and strategic units or continued to be managed by Vivento. Vivento took on a total of around 2,200 employees from our Group in 2010, while around 2,800 employees left Vivento in the reporting period to pursue new employment opportunities. Vivento found permanent public-sector positions for around 800 of them, some 700 of which were at the Federal Employment Agency.

Property management continued to focus in 2010 on streamlining and improving the Company’s real estate portfolio. Deutsche Telekom closed a total of 196 property sales deals in the reporting year, involving 149,000 square meters of floor space and 1.5 million square meters of land. Cash inflows from the disposal of real estate totaled EUR 0.1 billion. We reduced leased floor space by another 106,000 square meters thanks to the ongoing drive to optimize floor space and corporate sites. Overall, leasing and facility management costs in 2010 remained at the prior-year level.