The Swedish State and the Finnish State
The Swedish State currently owns 37.3 percent and the Finnish State 13.7 percent of the outstanding shares in TeliaSonera AB. The remaining 49.0 percent of the outstanding shares are widely held.
The TeliaSonera Group's services and products are offered to the Swedish and the Finnish State, their agencies, and state-owned companies in competition with other operators and on conventional commercial terms. Certain state-owned companies run businesses that compete with TeliaSonera. Likewise, TeliaSonera buys services from state-owned companies at market prices and on otherwise conventional commercial terms. Neither the Swedish and Finnish State and their agencies, nor state-owned companies represent a significant share of TeliaSonera's net sales or earnings.
The Swedish telecommunications market is governed mainly by the Electronic Communications Act and ordinances, regulations and decisions in accordance with the Act. Notified operators are required to pay a fee to finance measures to prevent serious threats and disruptions to electronic communications during peacetime. The required fee from TeliaSonera was SEK 46 million in 2008 and SEK 57 million in 2007. In addition, TeliaSonera, like other operators, pays annual fees to the Swedish National Post and Telecom Agency (PTS) to fund the Agency's activities under the Electronic Communications Act and the Radio and Telecommunications Terminal Equipment Act. TeliaSonera paid fees of SEK 47 million in 2008 and SEK 48 million in 2007.
The Finnish telecommunications market is governed mainly by the Communications Market Act and the Act on the Protection of Privacy and Data Security in Electronic Communications as well as by regulations, decisions and technical directions in accordance with these acts. In 2008 and 2007, TeliaSonera paid EUR 2.0 million and EUR 1.7 million, respectively, for the use of radio frequencies and EUR 0.8 million and EUR 0.8 million, respectively, for the use of numbers. In 2008 and 2007, TeliaSonera paid EUR 0.1 million and EUR 0.1 million, respectively, for data privacy supervision and EUR 0.8 million and EUR 0.8 million, respectively, as communications market fee, i.e. a general fee paid for the regulatory activities of the Finnish Communications Regulatory Authority (FICORA).
Associated companies and joint ventures
TeliaSonera sells and buys services and products to and from associated companies and joint ventures. These transactions are based on commercial terms. Sales to as well as purchases from these companies mainly related to Svenska UMTS-nät AB in Sweden and, up until August 2007, to Telefos AB through its former subsidiaries in the Eltel Group in Sweden and Finland, and comprised 3G capacity and network construction services bought and sold.
Summarized information on transactions and balances with associated companies and joint ventures was as follows.
|
|
January–December or December 31, |
|
|---|---|---|
| SEK in millions | 2008 | 2007 |
| Sales of goods and services |
|
|
| Svenska UMTS-nät AB (joint venture) | 357 | 212 |
| Other | 145 | 124 |
| Total sales of goods and services | 502 | 336 |
| Purchases of goods and services |
|
|
| Svenska UMTS-nät AB (joint venture) | 550 | 551 |
| Telefos AB (including the Eltel Group up until August 9, 2007) | – | 1,079 |
| Other | 159 | 184 |
| Total purchases of goods and services | 709 | 1,814 |
| Total trade and other receivables | 61 | 63 |
| Loans receivable |
|
|
| OAO MegaFon | 362 | 301 |
| Total loans receivable | 362 | 301 |
| Total trade and other payables | 206 | 186 |
Pension funds
As of December 31, 2008, TeliaSonera's pension funds held 1,746,948 TeliaSonera shares, or 0.04 percent of the voting rights. For information on transactions and balances, see Note 23 “Provisions for Pensions and Employment Contracts.”
Commitments and collateral held
TeliaSonera has made certain commitments on behalf of group companies, associated companies and joint ventures and holds collateral in the form of shares in associated companies. See Note 30 “Contingencies, Other Contractual Obligations and Litigation” for further details.
Key management
See section “Remuneration to corporate officers” in Note 32 “Human Resources” for further details.