TPSA net profits increase 5.7% due to fixed line business

Telekomunikacja Polska S.A. (TPSA) had a 5.7% increase in net profits in 1999 over the previous year. Sales grew by 22.3%, but costs also increased rapidly. Sales costs rose by 63.4%, management costs by 47.8% and debt servicing costs by 112.3%. Due to the lower real income tax TPSA recorded a profit of zl. 1.079 billion. The company has finished last year with increased liabilities of 9.2%. Compared with 1998 profits in 1999 grew the quickest from fixed-line operators by 139%. By the end of the previous year TPSA had 9.643 million subscribers, 21.3% of who were in rural-areas. (Rzeczpospolita, May 2-3, page B3) M.M.