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ELTEL: Eltel's smart metering roll-out in progress in Norway - roll-out starting up in Denmark

Eltel's smart metering roll-out in Norway has passed an important
milestone and the company is now making over 1,000 installations per
day. Eltel and Hafslund Nett signed a smart metering roll-out
contract for 630,000 direct measured meters in April 2015, to be
completed by 2019. Roll-out with Kamstrup A/S in Denmark for Radius
(formerly DONG Energy Eldistribution) has started and is now in the
pilot phase. Eltel's total reference is exceeding roll-outs of more
than five million smart meters.

Already in 2006, Eltel started its smart metering business in Finland
and Sweden and in ten year's time the company has installed 3.5
million smart meters in Finland, Sweden and Denmark. After the
Hafslund contract, Eltel also in 2015 won projects with Skagerak Nett
and the Soria consortium, both in Norway. Norway is now the last
Nordic country to roll-out modern smart metering systems and
according to regulation these have to be completed by 2019.

In November 2015, Eltel announced a roll-out and implementation
contract with Kamstrup in their project with Radius in Denmark. The
Radius project is the largest smart meter roll-out in Denmark and
Eltel's share will be 500,000 smart meter changes. Today, Eltel
counts a total order backlog of approximately 1.6 million smart meter
roll-outs to be completed during 2019, bringing the total reference
of roll-outs to more than five million smart meters. In spring 2016,
Eltel entered the German metering market through two acquisitions.

Project ramp-up with Hafslund - piloting phase with Kamstrup in

The Eltel scope in the Hafslund project comprises project management,
roll-out planning, end customer communication, logistics and
installations. In the Hafslund project, the planning and scheduling
took place during the autumn of 2015 and piloting was done between
spring and summer 2016, followed by a two-month ramp-up in the autumn
of 2016.

The pilot phase in the Kamstrup project for Radius started in December
and is planned to be completed in February 2017. The plan is to start
mass roll-out in summer 2017 to be completed by the end of 2019.

Juha Luusua - President Eltel Power Distribution comments:

"Smart metering is one of Eltel's most prospective growth areas where
we have ten years of experience and a clear market leading position
in the Nordic countries. The experience in starting and ramping up of
the project with Hafslund Nett has been really good, our team is
highly motivated, roll-outs are ongoing according to schedule and end
customer feedback has been positive. This roll-out has passed an
important milestone and we are now making over 1,000 installations
daily. The model has been tested with great success in Finland and
Sweden and is now showing good results also in Norway. Currently, we
have more than 100 technicians making installations for Hafslund.

In Denmark, Eltel has rolled out over 800,000 smart meters in the
years 2007-2012. The Kamstrup project for Radius is an important
proof of our efficient solution and continued competitiveness. We
recently won another rollout contract for 50,000 smart meters for
electricity, heat and water. Our entry in Germany has added to the
portfolio of Eltel's metering services and more references also with
gas and water. Eltel will participate the e-world in Essen on 7-9
February, the largest exhibition of its kind in Germany."

For further information:
Hannu Tynkkynen
Director - External Communications and Sustainability
Tel: +358 40 311 4503,

About Eltel
Eltel is a leading European provider of technical services for
critical infrastructure networks - Infranets - in the segments of
Power, Communication and Transport & Security, with operations
throughout the Nordic and Baltic regions, Poland, Germany, the United
Kingdom and Africa. Eltel provides a broad and integrated range of
services, spanning from maintenance and upgrade services to project
deliveries. Eltel has a diverse contract portfolio and a loyal and
growing customer base of large network owners. In 2015 Eltel net
sales amounted to EUR 1,255 million. The current number of employees
is approximately 9,600. Since February 2015, Eltel AB is listed on
Nasdaq Stockholm.


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