The Board of Directors of the company LAN-NET COMMUNICATIONS S.A., during its session on 11.2.2006, approved the share capital increase of the company, due to the conversion of bonds into share capital. Specifically, "Mediterranean Telecom Ltd, holder of 3,000 convertible bonds send to the company a statement for the conversion of its bonds into shares, in accordance with the terms of the convertible bond loan of 11.11.2005, amounting EUR 5,720,000, which has been issued within the framework of the 2nd Recurring Shareholders' Extraordinary General Meetings resolutions of 30.6.2005. According to the terms of the aforementioned bond loan, each bond is converted into 1,000 shares and thus, from the above conversion, 3,000,000 new shares of the same category will be issued with a nominal value of EUR 1.04 each. Consequently, the share capital of the company will be increased by EUR 3,120,000.