Annual Report 2002

By-Laws of the Company. Internal Code of Conduct in Matters relating to the Securities Markets (15 June 1999) and Regulation of the Board (14 March 2000).

Executive Directors

Mr Jesús de Polanco (Chairman):	18 May 1999
Mr Javier Díez de Polanco (Chief Executive Officer):	15 December1998

Independent Directors

Mr Leopoldo Rodés:	18 May 1999
Mr Jaime Terceiro:	16 May 2000
Mr Javier Gómez-Navarro:	17 April 2001

Major-Shareholder Representatives

Mr Xavier Couture:	17 September 2002
Mr Juan Luis Cebrián:	18 May 1999
Bankinter Consultoría, Asesoramiento y Atención Telefónica, S.A.:	18 May 1999
Groupe Canal+, S.A.:	16 April 2002
Mr Francisco Pérez:	18 May 1999
Mr José María García:	16 May 2000
Mr Juan María Arenas:	16 May 2000
Mr Laurent Pérpère:	18 May 1999
Mr Marc-André Feffer:	17 April 2001
Mr Juan Cueto:	18 May 1999
Mr Gregorio Marañón:	14 March 2000
Mr Diego Hidalgo:	17 April 2001
Mr Jorge Semprún:	17 June 1997

(Not a member.)Secretary

Mr Íñigo Dago

Audit and Compliance Committee

Mr Gregorio Marañón (Chairman)

Mr Laurent Pérpère

Mr Jaime Terceiro

Remuneration and Appointment Committee

Mr Leopoldo Rodés (Chairman)

Mr Juan Luis Cebrián

Mr Javier Díez de Polanco

Mr Laurent Pérpére

Meetings

Board of Directors	6
Executive Committee	5
Audit and Compliance Committee	6
Remuneration and Appointment	3

During 2002, remuneration accrued by directors totalled € 2,350,000, consisting of attendance allowances (€ 1,860,000) and per diems (€ 490,000).

General Meeting

	Shareholders	Shares	% shareholding
Quorum obtained	1,721	64,852.441	66,842%
Shareholders present	87	49,725.420	51,251%
Shareholders represented	1.634	15.127.021	15,591%

Votes issued

Agenda	Favourable votes	% Quorum	Unfavourable votes	% Quorum	Abstentions	% Quorum
Point 1	64,496,053	99.7489	621	0.0009	161,720	0.2502
Point 2	64,495,050	99.7474	560	0.0008	162,784	0.2518
Point 3	64,499,200	99.7538	633	0.0009	158,561	0.2453
Point 4	64,492,530	99.7528	1,731	0.0026	158,133	0.2446
Point 5	64,499,571	99.7541	896	0.0013	157,927	0.2443
Point 6	63,986,569	98.9609	188,000	0.2909	483,825	0.7482
Point 7	64,313,003	99.4659	187,909	0.2906	157,482	0.2435
Point 8	64,291,371	99.4323	187,752	0.2905	179,271	0.2772
Point 9	64,498,524	99.7528	2,506	0.0039	157,364	0.2433
Point 10	64,498,928	99.7533	2,480	0.0039	156,986	0.2428
Average	64,407,080	99.6122	57,308	0.0886	193,405	0.2991

1. Examination and approval, if applicable, of the annual accounts (balance sheet, profit and loss account and annual report) and directors' report of the company and the consolidated group for 2001, and the proposed distribution of results.

2. Approval of the Board's management during 2001.

3. Dismissal and appointment of directors.

4. Extension of the mandate granted to the auditors of the company and the consolidated group for 2002.

5. Change of registered office and resulting amendment to Article 4 of the By-laws.

6. Issue of debentures convertible and/or exchangeable into company shares, excluding the pre-emptive subscription right and delegating implementation of the resolution to the Board. Definition of conversion and/or exchange calculation bases and modes and the necessary capital increase. Delegation of matters relating to the debenture issue not resolved by the General Meeting to the Board of Directors.

7. Authorisation for the Board to issue debentures convertible and/or exchangeable into company shares. Definition of conversion and/or exchange calculation bases and modes and the necessary capital increase. Delegation of matters relating to the debenture issue not resolved by the General Meeting to the Board of Directors.

8. Delegation to the Board to increase share capital one or more times, with or without a share premium, including the authority to exclude the pre-emptive subscription right, if applicable, subject to the terms, conditions and deadlines envisaged in Article 153.1 b) of the Spanish Companies Act.

9. Authorisation for the direct or indirect acquisition of own shares subject to legal limits and requirements, superseding the unused portion of the authorisation granted for own share purchases by the General Meeting held on 17 April 2001.

10. Authorisation for the company's Board, in the broadest sense, to fully develop and implement the above-mentioned resolutions, including the power to interpret, correct and complete the resolutions and arrange for execution in a public deed.