Deutsche Telekom International Finance B.V., Jaarlijkse financiële verslaggeving

Report of the Supervisory Board

As per December 31, 2022 the Supervisory Board of Deutsche Telekom International Finance B.V. comprised the following members:

S. Wiemann, (m), Group Treasurer at Deutsche Telekom AG, Bonn, Germany; appointed on March 7, 2016

Dr. Ch. Dorenkamp, (m), Head of Group Tax at Deutsche Telekom AG, Bonn, Germany; appointed on July 1, 2014

Dr. A. Lützner (m), Head of Legal GD/USA & Organization EU at Deutsche Telekom AG, Bonn, Germany; appointed on November 1, 2007

According to the regulations of the Dutch Civil Law (Wet Toezicht Bestuur effective as of January 1, 2013 and the gender appointment quota for supervisory boards effective as of January 1, 2022), the Company's Supervisory Board is unbalanced since less than 30% of its members are female. The Company's Supervisory Board members have been appointed for an indefinite period and based on qualifications and availability, irrespective of gender. In order to create more balance, the Boards will take these regulations into account with respect to future appointments of Board members.

The Supervisory Board met once on March 2, 2022. During this meeting the Management Board presented the business results for the year 2021 and a forecast for 2022. As a result of the withdrawal of the statutory auditor, the Management was requested to tender a new statutory auditor for 2022 and beyond. Furthermore, the German tax audit with DTAG for the years 2018, 2019 and 2020 was discussed. The German Tax Authorities (GTA) concluded that the method used by the Company for calculating its remuneration for its function and bearing certain risks, as agreed upon with the Dutch Tax Authorities (DTA) in the Advance Pricing Agreement (APA), would not be applicable according to the GTA but should be exchanged by the cost-plus-method. It was discussed that, as long as the DTA did not adjust the Corporate Income Tax (CIT) returns for the years past, the Company will file its new CIT returns according to the agreements in the APA, which expired on December 31, 2021.

In the reporting year, bonds and assignable loans to group companies were repaid in aggregate volumes per currency of EUR 2,225 million and GBP 700 million (EUR 840 million), respectively. After the reporting year, the Company redeemed parts of eight EUR bonds for a total nominal value of EUR 2,089 million and parts of two GBP bonds for a total nominal value of GBP 239 million (EUR 271 million). Parts of loans to DTAG with the same aggregate nominal amounts were repaid to the Company, all settled on February 1, 2023. Additionally, on March 13, 2023 the company redeemed parts of two USD bonds for a total nominal value of USD 632 million (EUR 591 million) and parts of loans to DTAG for the same aggregate nominal value were repaid to the Company. On March 17, 2023 the Company redeemed a EUR Bond with a nominal value of EUR 200 million and a loan to DTAG with the same nominal amount was repaid to the Company.

The Supervisory Board has taken notice of the performed ICS control test assessment in 2022. It was concluded that the ICS of the Company is effective, and the risk of fraud has been mitigated by the controls and payment procedures.

The Supervisory Board has taken notice of and agrees with the conclusion of the Management Board that the war in Ukraine and the global economic crisis as a consequence thereof did not trigger impairment of the financial assets.

The financial statements for the year 2022 as presented by the Management Board have been audited and were given an unqualified opinion by the independent external auditor of Deloitte Accountants B.V. The independent auditor's report is included in this report. The Supervisory Board has authorized the financial statements for the year 2022 of Deutsche Telekom International Finance B.V. for issue by the management Board on March 27, 2023 for approval of the General Meeting of Shareholders. The Supervisory Board recommends that the General Meeting of Shareholders adopts the financial statements for the year 2022.

The statement of comprehensive income for the year 2022 discloses a net profit of EUR 46,099 thousand. The Supervisory Board shares the decision of the Management Board to release all deferred taxes in 2022. The Management Board and the Supervisory Board have not yet decided about their proposal for the allocation of the result to the General Meeting of Shareholders.

The Supervisory Board takes this opportunity to express its appreciation for the performance of the Management Board during the financial year 2022.

Maastricht, March 27, 2023

Dr. Ch. Dorenkamp Dr. A. Lützner S. Wiemann

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