Continuing strong market position and relatively stable earnings of the group's core German fixed-line and mobile businesses. Strong business with ongoing emphasis on operating and capital efficiency, which will enable the group to generate significant free cash flow. This will boost group liquidity and lower net debt. Weakened domestic wire-line competition due to the decline of alternative telecoms and cable operators. Commitment to financial discipline and debt reduction. Aggressive financial profile following significant debt-funded investments in second- (2G) and third-generation (3G) wireless operations. Continuing uncertainty about the future cash-generating ability of 3G operations. Introduction of local call carrier preselection in 2003, which will result in a loss of market share and profitability at Deutsche Telekom's key domestic fixed-line business. Threat
