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Report on

Sustainable Business

Operations

2011

Report onSustainable Business Operations for 2011

The report presents social, environmental and commercially re-sponsible projects by Telenor d.o.o. and the Telenor Foundation, realized in 2011.

The photographs included in this publication were taken in the course of actions involving Telenor d.o.o. or the Telenor Founda-tion, or were taken from Telenor’s archives or those of its part-ners.

This report is printed in a limited number of copies, on recycled paper, in line with the Corporation’s effort to protect the environ-ment.

For more detail about Telenor’s responsible business practice visit www.telenor.rs/info/cr.

For the 10th year in a row, Telenor Group has been named one of the top performers on the Dow Jones Sustainability Indexes (DJSI), which is the world’s most comprehensive annual analysis of corporate sustainability performance. Telenor Group’s overall score has improved from last year. This is the 10th consecutive year Telenor has maintained its position as a member of the Dow Jones Sustainability World Index, in the mobile telecommunica-tions sector.

Telenor is the two-time winner of the Virtus Award, presented by the Balkan Community Initiatives Fund (BCIF) to companies con-tributing to the social good in Serbia. In 2011 Telenor received the award for long-term partnership between the corporate and nonprofit sector, for its cooperation with the UNICEF Office in Bel-grade.

Telenor d.o.o. is included in the global initiative for linking socially responsible companies with United Nations agencies, the com-mercial sector, governments and civil society. This largest global voluntary initiative, called the UN Global Compact, was created for the purpose of promoting ten universally accepted principles on the protection of human and labor rights, preserving the envi-ronment and the struggle against corruption.

Content

Introduction by Telenor CEO:Trust as a Pillar and Motive

Responsible Employer

Business Based on Assurance

Policy on the Environmentand its Resources

5 Years of Social Contribution

We Removed Barriers

Supporting the Arts

Award

8

6

16

22

22

49

36

42

TRUST AS A PILLAR AND MOTIVE6/7

5 years of Telenor’s dedication to its employees, partners and users have been guided by internal rules, external expert advice, laws and interna-tional standards. Our company is interested in

society, vulnerable social groups, youths and their profes-sional advancement, culture and art, and environmental protection.

Telenor collaborates with prominent and influential in-stitutions and organization with the aim for our assistance to reach those that it is intended for. This is why more than 50 of our projects in 2011 were realized with partners such as UNICEF, the Serbian Ministry of Interior and the Ministry of Health. We also collaborated with universities, cultural institutions with a long tradition, such as the National The-atre in Belgrade, as well as smaller groups such as the “…Iz kruga” women’s organization, which is fighting against violence against women with disabilities. We provided im-mediate assistance by activating humanitarian numbers in order to help resolve the consequences of natural disasters and other adversities in Serbia and around the world.

Allow me to name several significant projects from the past year. The first of these is related to our company’s un-wavering commitment to the safety of the services that we provide on the Internet. Namely, with the aim of preventing access to Internet websites with elements of sexual abuse of children, Telenor has implemented filters that prevent visiting these websites, and provided modern computer equipment and software to the Serbian Ministry of Interior Cyber Crime Department.

Last year specially trained mediators established a database on the Roma community in Serbia, which is now available to state institutions in charge of their integration. Our collaboration with UNICEF and the Serbian Ministry of Health on this strategic project, called Enable, will continue in the following years.

I proudly point out that in 2011 the SGS Belgrade cer-tification company confirmed our systematic approach to environmental protection, through the implementation of the ISO 14001 international standard, i.e. the Environmen-tal Management System. Among these activities I would

also emphasize the equipping of the First Basic Court in Belgrade with boxes for recycling paper and the dona-tion by our company to Belgrade – the Telenor Park at the Nebojša Tower.

In 2012 we will be consistent in our responsible ap-proach to society and we will strive to remain the leader in corporate responsibility in Serbia.

Trust asa Pillar and Motive

Introduction by Telenor Serbia CEO

Kjell-Morten JohnsenCEO Telenor d.o.o.

RESPONSIBLE EMPLOYER

ResponsibleEmployer

Our company is a dynamic highly-profession-al environment with continuous advance-ments in employee protection and invest-ment. The interest that Telenor company has for the general welfare of employees is pri-marily empirical, based on our good practice,

through which we have demonstrated that a large company can successfully implement recommendations of the highest internation-al institutions, such as the United Nations, to achieve international standards and respect Serbia’s positive law.

8/9

RESPONSIBLE EMPLOYER10/11

Telenor employs 1,404 persons* between the ages of 21 and 61, with an equal proportion of female and male employees. Employees ages 31 to 50 account for the highest percentage – 83%: 66% are ages 31 to 40, and 17% are ages 41 to 50. More than half of the em-ployees, 56%, hold higher education degrees (42% - university degrees, 14% college degrees).

All our employees abide by the “Telenor Code of Conduct” – from the Senior Management to persons acting on behalf of the company. Telenor has also de-veloped a style of internal communication, called the Telenor Way.

Working at Telenor should be a pleasure because employees should be bound by promises, respect and inspiration. Such a style of conduct is also applied in communication with users, partners and clients.

Telenor asserts human dignity, health, safety, pro-tection, devotion, freedom of choice, open competition, confidentiality of personal information and respecting privacy. We do not approve of discrimination on any grounds, forced labor, child labor, sexual or other forms of harassment, or conflict of interest.

Respectful Employer with High Expectations and Vision

up to a year and are paid. To date they have included 48 students: 28 interns up to three months, and 20 up to one year.

In 2011 our employees had a wide range of trainings to choose from, ranging from professional to general corpo-rate advancement, including: communications, leadership, teambuilding and computer use trainings.

The Mobility Program is dedicated to development of Telenor Serbia employees, through their assignments in other Telenor companies and vice versa. In recent years the numbers in these two groups have become balanced.

Last year Telenor improved its program for student internships in the field of communications, finance, engi-neering, marketing and human resources; these now last

We developour employees

123corporate trainings,

totaling 547

hours, with 1,457

participants

118attendants took part in

5external trainings, i.e.

123hours of professional training

*As of 31 December 2011

Offices at the Telenor HQ in Belgrade

BUSINESS BASED ON ASSURANCE

BusinessBased on Assurance

Telenor Group, in all the markets that it oper-ates in, applies the so-called Business Assur-ance approach. This implies operation following the principles of universal civilizational values and strictly abiding by ethics, moral, law, inter-national conventions, as well as the ISO 14001

(environmental management) and OHSAS 18001 (occupational health and safety) standards, Ser-bia’s positive law, rejecting prohibited business practice and unfair competition. Telenor’s policy in this complex domain is covered by the Code of Conduct and Supplier Conduct Principles.

12/13

14/15 BUSINESS BASED ON ASSURANCE

Based on the internal management system of evalu-ation, control and monitoring, a ten-member Business As-surance operating group assesses the areas of highest risk in the corporate chain: from within Telenor itself to its part-ners. Our team is linked to other local operating groups, in markets where the Telenor Group operates.

It is our intention to maintain the following achieve-ments:- absolute implementation of the law- environmental protection, 0-tolerance towards on-the-job injuries, 0 violations of human rights- continuous development of corporate documents that will improve health, safety and environmental standards- creating an employee and supplier culture in this area- cooperation with suppliers with the aim of continuous op-timization of the supply chain.

Our first task was to inspect and improve procedures within the company, and the second was to improve coop-eration with suppliers. Responsible business practice in the supply chain is continuously controlled through:- self-assessment questionnaires (SAQ)- announced and ad-hoc visits to suppliers- additional reference pre-qualification criteria for suppliers- semi-annual supplier risk assessment- accident reporting procedure- the contractual form of the Agreement on Responsible Business Conduct with each Telenor supplier.

Due to our cooperation with numerous construction and assembly services suppliers we have developed a com-prehensive supervision of on-the-job safety for employees at Telenor and at the contractors, as well as a system of reporting irregularities and/or significant discrepancy in operation.

Several procedures were revised at Telenor, along with the risk analysis, and employees received intensive training on safe driving, especially off-road, they were subjected to medical exams in accordance with their job description, and mammography. We additionally printed brochures about on-the-job safety and precautionary measures for certain types of jobs. In addition to regular training, all employees

also underwent electronic training on health and safety. This involved the line manager as a mentor, through which we raised the management’s awareness and responsibil-ity towards employees. The Business Assurance team su-pervises the implementation of laws and other legal norms in these fields at Telenor d.o.o and continuously develops them, with the following indicators:

In 2012 we are determined to remain the leaders in creating a culture of health and safety in the telecommu-nications sector – in its supply chain, and not to tolerate prohibited business practices, not to have a single injury on the job, and for there to be negligibly few accidents in the supply chain. This is why in the first half of 2012 we will

organize electronic on-the-job health and safety train-ing for all suppliers. It is Telenor’s ambition to continue its absolute intolerance of injuries on the job, to consult em-ployees on these and health matters, and to maintain the accident level, as well as improve working conditions at the company.

Rejection of Unsafe Working Conditions and Environmental Pollution

11 inspections at Telenor offices, regional centers and warehouses

3 discrepancies; corrections agreed with employees

quality changes to reporting and controls of the line organization and the accidents

0 accident rate maintained in 2011

0 high-, mid- or low-level risk accidents at the company

4 inspections at Telenor offices, regional centers or warehouses

0 discrepancies; corrections agreed with employees

system of 0-tolerance of on-the-job injuries introduced and formalized, as well as theaccident reporting system

0 on-the-job injuries

0 high-, mid- or low-level risk accidents at the company

201 suppliers signed the Agreement on Responsible Business Conduct

27 field inspections; 5 discrepancies; corrections agreed with suppliers

2 slight on-the-job injuries of people engaged on Telenor contracts

3 low-risk accidents in the supply chain

0 high- or mid-level risk in the supply chain

109 positive ratings on supplier risk evaluation

79 suppliers signed the Agreement on Responsible Business Conduct

20 field inspections; 0 discrepancies; corrections agreed with suppliers

2 on-the-job injuries of people engaged on Telenor contracts: 1 fatal, 1 with slightphysical consequences

0 high- or mid-level risk in the supply chain

113 positive ratings on supplier risk evaluation

2011

2011

2010

2010

POLICY ON THE ENVIRONMENT AND ITS RESOURCES16/17

Policy onthe Environmentand its Resources

Telenor has a systematic approach to environmen-tal protection in Serbia. This is why in this field, through the Environmental Management System, we focus on abiding by Serbian law and the ISO 14001 international standard. Through campaigns

we also strive to raise employee awareness of the necessity to preserve the environment, while through external campaigns and in communica-tion with suppliers we influence the environmental awareness of the general public and our associates.

POLICY ON THE ENVIRONMENT AND ITS RESOURCES18/19

Together with our partners we developed the Telenor Eco Park with solar lighting, on an area of 400 square me-ters, near Nebojša Tower in Belgrade. We thus donated to Belgrade a green oasis and contributed to raising public awareness of the importance of a healthy environment. The project was awarded with Green Star by the Ecotopia Fund, for the best socially responsible campaign in 2011.

Additionally, in partnership with the First Basic Court in Belgrade, the Telenor Foundation equipped eleven court facilities with bins for recycling paper. The Turn the Page – Recycle campaign is compatible with Telenor’s goal of sustainable development, because it is systemic and it has already been joined by other judiciary bodies. The revenue from the processed paper will be invested in sports equip-ment, promoting a healthy lifestyle of Court employees, as well as helping vulnerable groups, especially the under-privileged and children.

Step Closer toGood Environmental Practice

We have joined the celebration of global environmental days, such as Earth Hour, on March 26, and Earth Day, April 22, with appropriate actions. For Earth Hour we turned off all the lights and illuminated advertisements on our office building and at larger shops in Serbia. On Earth Day we col-laborated with the Supernatural movement on a celebration at our Green Corner, at the Jevremovac botanical garden in Belgrade, where we recorded citizens’ wishes for Earth, and handed out mobile applications with instruction on how they can contribute to the preservation of its resources.

Parallel to that, between March and December 2011 we encouraged our employees and visitors to the Telenor build-ing to behave responsibly towards nature, through eco-posters with various themes. We visually and verbally drew attention to the necessity to recycle paper, plastic, alumi-num, batteries and electronic waste. During the spring, sum-mer and winter season we encouraged employees to plant a tree, to clean the filters in their air-conditioning units, to save water and electricity, to walk or ride their bicycles. Each indi-vidual poster contained a comprehensibly calculated saving for the environment and the household budget, which was the consequence of responsible behavior in this domain.

In 2010 Telenor started implementing the ISO 14001 Environmental Management Standard, in order to reduce the negative impact on the environment within which it op-erates. In 2011 our systematic approach was confirmed by the SGS Belgrade certification house.

Since 2008 we have been monitoring energy consump-tion at our facilities, in the telecommunications network and for travel. Telenor’s priority is to contribute to lower energy consumption and lower carbon dioxide emission, based on sectoral analyses.

Compared to 2010, Telenor’s energy consumption in 2011 was up by 6.3%, and carbon dioxide emission was up by 8.2%. This is mainly the consequence of the company’s con-stant growth, and the development of the telecommunica-tions and retail network.

Telenor’s environmental manager in action Telenor employees’ children work on the eco-park

POLICY ON THE ENVIRONMENT AND ITS RESOURCES20/21

In 2011 our facilities consumed a total of 5.96 giga-watt-hours of energy (GWh). The average consumption per facility was 0.101 GWh, which was a reduction of 14% com-pared to consumption in 2010.

The total consumption of energy by the telecommu-nications network in 2011 was 30.3 GWh. The average con-sumption per radio bearer was reduced by 10% compared to consumption in 2010.

Last year we renewed our entire vehicle fleet, which now consists of vehicles with modern engines, guarantee-ing lower fuel consumption and lower emission of harmful gases. This way the average fuel consumption per vehicle was reduced by 12.8% compared to 2010.

Modern Internet and mobile telephony tools have al-lowed Telenor to reduce the number of airplane flights by 120 in 2011 – and to reduce the mileage by 9.8%.

One of the consequences of Telenor’s operations is a significant quantity of waste, which the Company separates and prepares for recycling, in accordance with the law. 92% of the total waste in 2011 was sent to be recycled.

Waste sorted forfurther processing in 2011

Industrial batteries:

229.66 t

Electrical and

electronic waste:

12.82 t

Wood:

9.39 tMetal:

1.48 t

Cables:

2.78 tFurniture:

2.34 t

Plastic:

6.15 tPaper/Cardboard:

12.95 t

Carbon Dioxide Emission (t)

2011

23,746.42

2010

21,953.49

Average Energy Consumption per Facility (GWh)

2011

0.101

2010

0.118

Average Fuel Consumption per Vehicle (liter)

2011

1,513.90

2010

1,736.69

Airplane Flights (km)

2011

909,226.00

2010

1,007,762.00

Waste Management in 2011

Recycled Waste

279.41 t

Generated waste

305.22 t

Partners

Belgrade City Parks

City of Belgrade Secretariat for Environmental Protection

Ringier Axel Springer publishing company

RTV B92

Supernatural movement

Students of the University of Belgrade Faculty of Biology

Vlade Divac, Žarko Paspalj (Olympic Committee of Serbia)

World Wildlife Fund (WWF)

Energy Consumption (GWh)

Travel 5.13Telecommunications network 27.66Facilities 6.12

2010

Travel 5.1Telecommunications network 30.3Facilities 5.96

2011

5 YEARS OF SOCIAL CONTRIBUTION22/23

Years of SocialContribution The most diverse segment of the report on Tele-

nor and Telenor Foundation projects in Serbia last year indicates that its social activity is wide-rang-ing. Our expertise and support in the form of tele-communications and handsets was received by citizens from many social groups in Serbia. These

are to a great extent projects that we have been successfully realizing based on our own ideas and those that we have joined as a corporation that recognizes society’s long-term needs. This is why our partners have been state institutions, the UNI-CEF office, as well as the third sector in Serbia.

24/25 5 YEARS OF SOCIAL CONTRIBUTION

The Telenor company has launched and supported strategic socially responsible projects which have involved various teams in cooperation with different partners, but it also contributes to society through the initiatives of the Telenor Foundation.

In its five-year history, the Telenor Foundation has pro-vided assistance to underprivileged and vulnerable strata of Serbia’s citizens, as well as youths, with the aim of providing for their educational and professional development in cir-cumstances of highly-dynamic progress of modern society. The Foundation also contributes to the decentralization of art, culture, science and art in Serbia, as well as general en-vironmental development.

We create transparent and public partnerships with state institutions and nonprofit organizations, following a two-level procedure, as required by our Statute. Competent teams assess and select ideas that have been sent in, ac-cording to clearly defined criteria, which are then submitted to the Telenor Foundation Board of Directors. The Board then decides, at regular annual sessions, which ideas will receive support. Our partners are required to submit to the Board a public report about their progress and a detailed summary of the results.

The Telenor Foundation Board of Directors consists of six prominent people whose work has been socially veri-fied in practice: five members, two of whom are employed by Telenor, and advisor Dina Johnsen, a photographer with sixteen years of experience in the publishing industry and involvement in culture affirmation projects in Russia. The

Foundation Board is chaired by Kjell-Morten Johnsen, CEO of Telenor d.o.o. In addition to other fields, he built his career in fixed-line and mobile telephony (Telenor, VimpelCom, Golden Telecom). Another Telenor member of the board is Sandra Štajner, CCO, who built her career in communications both in corporations and as an independent consultant lo-cally and abroad. The members of the Board with the high-est academic titles are Prof. Dr. Branko Kovačević, Chan-cellor of the University of Belgrade, and Prof. Dr. Slobodan G. Marković, associate professor at the Faculty of Political

Sustainable Projects for the Progress of Local Communities

Application of core competence in social responsibility:

Corporate philanthropy:

Operating costs*:

TOTAL: RSD 42,402,562.62

* Including taxes, publication production, project promotional activities

Donations inProducts and Services

Sciences and senior associate at the Institute for European Studies in Belgrade. The Board member from the media sec-tor is Veran Matić, founder and editor-in-chief of TV B92. The Foundation managing director since its founding has been Ana Krstić, who was entrusted with these duties because of her long and abundant professional experience in the field of corporate social responsibility and international relations.

In 2011 the Telenor Foundation launched and supported more than 20 projects, and collaborated with more than 30 partner organizations.

RSD 27,445,436.77 65%

RSD 8,130,828.66

RSD 6,826,297.19

19%

16%

The Telenor Serbia CEO, the UNICEF Serbia director and the SerbianMinister of Health at the official signing of partnership contract

26/27 5 YEARS OF SOCIAL CONTRIBUTION

Networking in the Park

As of last summer free Internet browsing and email are available in Belgrade, Subotica, Požarevac, Lazarevac, Aranđelovac, Niš, Zaječar and Loznica.

In the past four years we have helped Serbia’s citizens access the Internet, buy providing free access in 29 Inter-net parks in 16 cities throughout Serbia, with ten located in Belgrade. They function year-round or with a break during the winter. We are proud of this idea because we were the first to come up with it in the Western Balkans.

Towards Comprehensive Roma Integration through Technology

The Povezivanje project is the result of our collabora-tion with UNICEF and the Ministry of Health, with the aim of continuous long-term improvement of the general, health, administrative, legal and telecommunications literacy of the Roma community in Serbia.

Through portable computers with reporting and data-entry software, telephones, Internet and intensive training - contribution of our Company - healthcare mediators from the Roma community have been able to communicate much more efficiently between themselves and with the Romas (last year 105,495 people were visited). Beforehand 60 me-diators underwent training at our Belgrade offices by Telenor experts on how to use the provided equipment and programs, and UNICEF instructed them on public health, prevention of contagious diseases, healthcare and insurance rights, regis-tering children in Roma families and communications skills.

Last year the Roma mediators created a database that is used by all relevant state institutions dealing with inte-gration of Roma people.

According to the words of Serbian Minister of Health Zoran Stanković “The support that the Ministry of Health has received through the Povezivanje project has helped the mediators in a number of ways to do their job with greater quality and efficiency.”

.

Between 1 April 2010 and 31 December 2011, 75 medi-

ators from 60 cities throughout Serbia received training;

7,367 persons received personal and identity documents;

12,212 children and 1,381 grown ups were vaccinated;

1,514 pregnant women and new mothers were examined;

13,234 adults were assigned a doctor, according to gender

and age; 3,238 children were enrolled in school; families who

required hygiene education were visited 168,054 times.

VACCINATED:13,593 persons

ENROLLED IN SCHOOL:3,238 children

EXAMINED:1,514 pregnant women

and new mothers

Telenor has used the term “Enable”, this economical and internationally recognized label for its concepts of projects for long-term social contribution through tele-communications services. The results are continuously very good. Namely, last year again saw an increase in the number of cities where free Internet access was available in public parks. Also from the beginning of 2009 to the end of 2011 the Povezivanje project resulted in the registration of 960 Roma settlements, their structure, and healthcare records were created for their residents. This encompassed 33,086 families, i.e. 115,241 persons.

Enable – Our Services for Social Good

The Telenor Foundation managing director, a Belgrade City Council member and the Assistant Mayor of Belgrade surf the Internet in the park Mediator visiting Roma settlement

5 YEARS OF SOCIAL CONTRIBUTION28/29

Free Internetand Tablet Computers for Science

At the end of 2011, the Telenor Foundation Award “Prof. Dr. Ilija Stojanović”, which was established in 2007, was presented to the best graduate students from the De-partment of Telecommunications, the authors of the best student papers at the TELFOR 2011 conference, and the author of the best professional paper published in an in-ternational journal.

The award winners were graduates Zdravko Zubac from the University of Belgrade, Faculty of Electrical Engi-neering, Dušan Cvetković from the University of Niš, Faculty of Electronics, and Siniša Suzić, from the University of Novi Sad, Faculty of Technical Sciences.

The best student papers were Comparison of Five An-tennae for WBAN Application, by Aleksandra Krneta from the Faculty of Electrical Engineering in Belgrade; Digital Guitar Tuner, by Miodrag Stanojević and Miloš Bjelić from the Faculty of Electrical Engineering in Belgrade; and Im-plementation of LC Codes on TelosB Platform, by Jelena Milošević from the Faculty of Technical Sciences in Novi Sad.

The most important professional paper published in-ternationally was Efficient Analysis of Large Scatterers by Physical Optics Driven Method of Moments, by Miodrag Tasić and Branko Kolundžija.

Safe – Telenor’s innovationagainst cyber crime

In 2005 Telenor in Norway was one of the first mobile operators in the world to directly protect Internet access in its operation, by applying special filters. The other mem-bers of the Group have followed this model, with the com-pany in Serbia being included last year.

Contributing to Online Safety

At the beginning of last summer, we signed an agree-ment with the Serbian Ministry of Interior, as the first and only operator in Serbia, on a strategic cooperation in order to introduce filters for blocking access to illegal websites with elements of child sexual abuse. Telenor users that attempt to access website of this type from their mobile telephone or computer are forwarded to our “Stop page”. There have been 116 such cases since the beginning of the realization of the project. At the same time, the Serbian Ministry of Interior Cyber Crime Department submits Tele-nor a list of sites that the Ministry of Interior and Interpol have determined to contain illegal material.

According to Interior Minister Ivica Dačić “the struggle against this form of crime comes second, after terror-ism, with the Cyber Crime Department achieving signifi-cant results in its three-year operation, despite modest equipment.” It is the opinion of Telenor CEO Kjell-Morten Johnsen that having allowed children quick and easy Inter-net access, via computer or mobile telephone, Telenor is also responsible for their safe virtual communication. This is why Johnsen pointed out that the company that he heads considers telecommunications “a sector that can contrib-ute to the reduction of online sexual abuse of children.” He has said that this agreement with the Serbian Ministry of Interior is the first step by individual operators and the industry in this direction.

As an IT and telecommunications corporation, it is in Telenor’s interest for a greater portion of Serbia’s popula-tion to master them, especially youths and children. Name-ly, educating this segment of society is in the focus of our attention. Telenor’s determination to transfer its abundant professional experience stems from this attitude and our operations. A higher level of their IT and telecommunication training is very significant in this respect because it allows for the faster and more efficient adoption of knowledge and skills.

Support through Services, Equipment and Competence

The Core Network and VAS Planning manager, CR coordinator in Telenor Serbiaand the Dean of the Faculty of Electrical Engineering present the

“Prof. Dr. Ilija Stojanović“ Award to one of the best graduates

30/31 5 YEARS OF SOCIAL CONTRIBUTION

Electronic PISA Testingfor the First Time in Serbia

We loaned the Serbian Ministry of Education Sci-ence 40 portable computers so that 1,000 students at 50 schools in Serbia could take trial tests during May, part of a global education study that is carried out every three years.

Knowledge from Practice

Last May, at the Union University Faculty of Computer Science in Belgrade, as part of the IT Open Days seminar, Telenor’s Technology strategy and coordination area man-ager presented the topic “Mobile Network Evolution – from Voice to Data” in an accessible and practical manner, to 40 of the best students in Serbia.

Audio and SMS Guide for National Museum Works in Streets of Belgrade

During the summer of 2011 the general public, especially youths, had the opportunity, to see 33 reproductions of paint-ings by local and international artists from the National Mu-seum, which is presently undergoing renovation. The paintings were displayed along Knez Mihailova Street and Čika Ljubina Street, as part of the Art Tour project. Our company contributed an audio guide to the project (available by dialing a telephone number), so that those interested could gain more information about the displayed paintings. Furthermore, our users could learn more about the works and authors by SMS, as well as download photos of the works from the Telenor WAP portal.

The patron of the Art Tour project was Princess Jelisaveta Karađorđević, and it was realized thanks to our strategic part-nership with the National Museum, the Stari Grad municipality and the Hewlett-Packard Company.

Audio and SMS Cataloguefor Pavle Beljanski Collection

During October and November 2011 an exhibition of the Novi Sad-based Pavle Beljanski memorial collection, titled The Pavle Beljanski Collection: Again in Belgrade, was held at the Army Culture Center in Belgrade. The exhibition consisted of 68 pieces by 32 Serbian Art Nouveau painters and Serbian sculptors from the first half of the 20th century.

Telenor made it possible for members of the audience to learn about the work of collector and patron Pavle Bel-janski, his trust and memorial, by dialing a telephone num-ber, while information about the collection was also avail-able via SMS.

As the exhibition was also intended for persons with impaired sight, since it was possible for them to tactilely learn about the sculptures, Telenor donated two special audio devices that provided them with audio information about the exhibition.

Modern Telecommunications Equipment and Telenor Competence for the Faculty of Electronics in Niš

During last year’s continuation cooperation between the Faculty of Electronics in Niš and the Telenor Founda-tion, a donation of new equipment for modernizing teach-ing and more efficient authoring of scientific papers was made to the student Laboratory for Telecommunications. Furthermore, a computer with the latest Intel Core i7 pro-cessor will be of use to doctoral students for complex nu-merical calculations, modeling and simulation of telecom-munications systems.

A technical expert from Telenor explained to the stu-dents the development of mobile networks and the possi-bility of introducing advanced LTE technology, so that they might gain clear insight into the application of theory.

Lecture by the Technology strategy and coordination area manager in Telenor Serbia at the Faculty of Electronics in Niš

The Serbian Minister of Culture, Information and Information Society,the Stari Grad Municipal Mayor, and Princess Jelisaveta, during the Art Tour Details from the open-air Art Tour in Belgrade

32/33 5 YEARS OF SOCIAL CONTRIBUTION

Telenor Celebrates Girls in ICT Day

The best students from the “3. oktobar” Primary School in Bor visited Telenor last year as part of the encourage-ment at an early age to choose a career in ICT, which is cel-ebrated the last Thursday in April. The students visited our administrative building and the operational control center in order to directly gain insight into the complexity of an ICT such as Telenor. In talks with women employed at our com-pany they learned that our employment policy is gender sensitive and got information about career opportunities in our field. The girls from Bor also showed the self-con-fidence to learn about the field in their further education, which in our public opinion is mainly reserved for the male portion of the population.

Effective Assistance for Persons with Disabilities Victims of Violence

With the help of computer equipment provided last year by the Telenor Foundation, the Belgrade-based non-governmental organization “…Iz kruga” has created a mod-ern database of all its beneficiaries, which will be made available to three other associations in Novi Sad, Kragu-jevac and Niš. The SOS hotline used by persons with dis-abilities who are victims of violence, to contact this orga-nization for help, has been expanded with an additional six telephone lines. This way instead of one call, six women will be able to take calls at the same time.

The “…Iz kruga” civic association is the only organiza-tion that registers violence against women with disabilities in Serbia, and it has been providing psychosocial support and free legal aid to its beneficiaries for 15 years.

Towards Successful Aging

Thanks to Telenor the organizers of the 4th Olympiad of Sports, Health and Third-Age Culture in Sokobanja had Internet access, which improved computer classes for el-derly persons from 76 municipalities in Serbia. With this as-sistance we helped narrow the generation gap in Serbia.

Contribution to Ethical Reporting on Children

Journalists Mirko Rudić, Marija Obrenović and Saša Stojković received an award at the end of 2011 for professional media reporting on the social inclusion of most vulnerable children. The journalists received a UNICEF award, and Telenor awarded them an Internet modem and a one-year subscrip-tion, while our Foundation presented them each with a laptop. The panel of judges consisted of representatives of the media, the Ministry of Labor and Social Policy, UNICEF and Telenor.

Students from Bor at the Telenor Serbia HQtalking to women employed at the Company

Telenor female managers sharingtheir experiences with the girls

Active senior citizens in Sokobanja

www.olimpijada3d.org

5 YEARS OF SOCIAL CONTRIBUTION34/35

By activating

16 humanitarian numbers

in 2011 we raised almost

RSD 8,000,000which was spent on resolving

social issues in Serbia

and worldwide.

Assistance for Underdeveloped Regions

Last year we once again supported the competition organized by the Places in the Heart Fund, which receives various ideas for actions from organizations in smaller com-munities. Our financial support and free one-year Internet

subscription went to the A Step Forward association from Kruševac, for the project Daycare Center for Children and Youths at Risk. Through this project the association raised awareness in its environment and pointed out the impor-tance of paying attention to the issue of children at risk.

Telenor for Better Media Presentation of Activism

Đorđe Milić from the “Josif Pančić” Scout organization in Niš last summer won the third prize, a one-year Internet subscription, in the photo competition for the photo “Eco Step”. The competition was part of the photo selection within the Visibly Better campaign organized by the Insti-tute for Sustainable Communities. The campaign aimed to improve media presentation of activism and solidarity in our society. Three hundred photos that were sent in were judged by an expert panel of judges.

Activation of Humanitarian NumbersHelps Disaster Victims and Those Most in Need

Through humanitarian SMS where every Telenor user in Serbia could send aid we helped the victims of the catastrophic earthquakes in Kraljevo and Japan and the floods in Novi Pazar, the building of a Doctor’s Tower home in Belgrade for parents of children suffering from cancer, among others; we helped raise money for the relocation of children from the shelter run by the Insti-tute for Education of Children and Youths in Belgrade, helped the hungry in Africa, supported the Battle for the Babies campaign by the B92 Fund for providing incu-bators, supported soup kitchens in Kosovo in the cam-paign by the Eparchy of Raška and Prizren, and joined the campaign for the Shelter for Children and Youths, by the Belgrade Center for Youth Integration.

A representative of the A Step Forward association from Kruševac receives an award from the Telenor Foundation managing director

WE REMOVED BARRIERS36/37

We Removed Barriers

One of the reasons for establishing the Telenor Foundation was to help vulnerable groups in Serbia, among others. Last year we continued to support persons with various disabilities in their develop-

ment and meeting their special needs. We were on the ground – from the Special Olympics in Athens, to the Home for Blind and Visually Impaired Persons in Pančevo, and the National Theatre in Belgrade.

WE REMOVED BARRIERS38/39

We joined the Battle for the Babies campaign, orga-nized by the B92 Fund, with the aim of raising funds for the procurement of 100 modern incubators for prematurely born babies, necessary for healthcare institutions through-out Serbia, primarily the Institute for Neonatology in Bel-grade, which cares for the largest number of these infants. Telenor also opened a humanitarian number through which our users could support the national campaign by sending an SMS from September 2011 until January 2012.

Involvement in the Campaign forPrematurely Born Babies

Helping Children with Malignant Diseases

In Pančevo we fully equipped six houses for visually impaired persons, where 36 persons will live independent-ly. They will still be under the care of the Home for Blind and Visually Impaired Persons in Pančevo, whose beneficiaries they have been so far, but they will live in 64-square meter houses that are located on the premises of the Home.

With the aim of continuing activities focusing on this target group, we established a partnership with the Asso-ciation of Students with Disabilities in Novi Sad, providing part of the audio literature for blind and visually impaired students at the University of Novi Sad.

Contribution toIndependent Living of Blind and Visually Impaired Persons

We joined the project “Psychosocial Assistance and Support for Children with Cancer and Their Families”, or-ganized by the Zvončica association in Belgrade. This or-ganization provides psychosocial, financial, educational and advisory assistance to children living with malignant diseases and their families. We helped finance a year long engagement of medical and educational staff, as well as the IDE art group, which organized creative workshops.

Telenor Serbia CCO at the Institute for Neonatology in Belgrade

Official opening of new houses at the Home for Blind and Visually Impaired Persons in Pančevo

WE REMOVED BARRIERS40/41

Sports activities for persons with mental disabilities are a way for them not to neglect physical health, and con-sequently their general wellbeing. This is why our partner, the Special Olympics of Serbia athletic association, has in-volved them since 2002. We provided sports equipment for the team of 46 athletes and their 15 coaches to compete in the Special Olympics in Athens in football, basketball, swimming, athletics, table tennis, and bocce. This team won a total of 15 medals.

Telenor Foundation Outfitted Serbian Special Olympians

For Social Visibility of Persons with Developmental Disabilities

Eliminating Barriers at the National Theatre forPersons with Disabilities

Believing that we are helping blind and visually im-paired persons develop and proving them with opportu-nities for fulfilling cultural needs, we have adapted the building of the National Theatre in Belgrade, our strategic partner.

Now the Main Stage at the National Theatre and the Raša Plaović Stage have audio description equipment, pro-vided by our Foundation. This equipment translates visual

theatric art into audible media in real time and can be used by five persons simultaneously on the Main Stage, and ten persons on the Raša Plaović Stage.

Furthermore, we have completely renovated one of the toilets on the Raša Plaović Stage in order to adapt it to the needs of persons with disabilities. Plans also call for the adaptation of the toilets on the Main Stage for persons with disabilities.

In 2011 Telenor continued its cooperation with the Cen-ter for Quality Education on the Social Club for Children and Youths with Developmental Disabilities in Kragujevac, as well as with the Stari Grad Center for Assisting Persons with Devel-opmental Disabilities, on the Living Together Info Center, by extending their free subscription to Telenor Internet, with the aim of improving and modernizing their working conditions.

Audio equipment for blind and visually impaired persons at the National Theatre in Belgrade

Participants in the Special Olympics in Athens

SUPPORTING THE ARTS42/43

Supportingthe Arts

In 2011 the Telenor Company and Telenor Foun-dation supported art and cultural institutions of national importance. We have also established

partnerships with small art groups, whose expres-sion, document and space include modern tech-nologies.

SUPPORTING THE ARTS44/45

The production of the photo-monograph is the bril-liant outcome of a long-standing strategic partnership between the Telenor Foundation and the National Theatre in Belgrade, modeled after Telenor’s cooperation with the Bolshoi Theatre in Moscow and the National Theatre in Oslo. This time photographer and photo-monograph au-thor Dina Johnsen, an advisor to the Telenor Foundation Board of Directors, presented the spirit of this theatre, the stars of its drama, opera and ballet, in a 140-page luxu-rious book. By flipping through the pages it is possible to visually “read” the originality of Konstantin Kostjukov, Ašhen Ataljanc, Predrag Ejdus, Ljiljana Blagojević, Nataša Ninković and others, and it represents a genuine esthetic experience. Johnsen’s lens also sheds artistic light on the numerous artisans at the national theatre.

The long-term far-reaching cooperation with the Na-tional Theatre also led to the elimination of barriers that prevented blind and visually impaired persons from fol-lowing theatre performances. Consequently the National Theatre became the first theatre in the region to adapt its stages to this audience. For more details on this project see the Socially Vulnerable Groups section.

The Unseen Beauty –Photo-monograph of the National Theatre inBelgrade

Part of the National Theatre ballet ensemble

Shoemaker shop at the National Theatre

Photo-monograph of the National Theatre

SUPPORTING THE ARTS46/47

On the eve of every New Year Telenor prints art cal-endars. This year we collaborated with artists Mane Radmanović and Jordan Cvetanović, who headed a team of gifted young artists – Vesna Pešić, Monika Lang and Nebojša Cvetković. Their works on the topic of Telenor’s sponsorship of the Olympic team of Serbia, as well as past Olympic achievements by our athletes, were printed with a

print run of 5,500 copies. The calendar was also available in the form of mobile a application and can be downloaded from our website. Detailed information on this venture is also available on our WAP portal.

In the words of Mane Radmanović, the project’s cre-ative director, “the main artistic idea of the calendar is empowerment of the individual in order to achieve per-sonal goals in 2012. This is why every month has its key-word, its slogan and precise information on the achieve-ments of our athletes at the Olympic Games. The reverse of each page briefly explains the keywords – how not to sink in 2012 when you need to do your best!”

Do Your Best –2012 Telenor Art Calendar

We sponsored this art group’s appearance at the Prague Quadrennial, the global exhibition of performance design and space, which is organized as national pavilions and has been taking place for four decades. We then pre-sented the work of these artists to the public in Belgrade. These were holographic boxes by Ana Sofrenović, Dalija Aćin, Igor Stangliczky, Manja Ristić, Siniša Ilić and Bojan Đorđev, Dragan Mileusnić and Željko Serdarević.

Dalija Aćin’s holographic box has become part of Tele-nor’s collection of Serbian contemporary art, which last year was expanded by artwork worth more than one million dinars.

The Displacements virtual performance is the result of our partnership with the KIOSK platform for contemporary art.

The focus is on holographic projection, i.e. the online opportunities for performance art. Namely, this project in-vestigated art potentials of modern technologies – video, audio, streaming, Skype, chats – with the purpose of creat-ing artwork, its content and the place where it is created. From geographically remote locations artists create live, on the Internet, using holographic projections, while the physically present audience experiences the display si-multaneously. The artistic ambition of the KIOSK platform is also exhibited in the archiving of performances.

Displacements –Internet Art Performance

Artwork by Ivana Ivković, part of the Telenor Collection of Serbian Contemporary Art

Artwork by Nebojša Cvetković

Artwork by Vesna Pešić

AWARD

A Company’s Virtue Is Assessed by Society

Last year Telenor received its second Virtus Award, a pres-tigious award presented by the Balkan Community Initia-tives Fund (BCIF) which has been presented for the past five years to companies for contributions to the social good in Serbia. We received the award for strategic partnership with the local UNICEF Office and for the Povezivanje proj-ect, as one of the segments of this partnership, where the Serbian Ministry of Health was also one of the partners.

Award

48/49

Telenor representatives atthe Virtus Award ceremony

PhotosDina JohnsenIvan ZupancDušan AtlagićMilana Jeremić Translation Vuk Tošić

PrintAltanova

Print Run300

ContactTelenor FoundationOmladinskih brigada 9011070 Novi Beogradwww.telenor.rs/info/[email protected]

PublisherThe Telenor Foundation

For the PublisherSandra Štajner

Editorial team:Ana Krstić (Editor in Chief)Katarina Panić (Executive Producer and collaborator on the segment 5 years of Social Contribution)Ivana Vranjican (Policy on the Environment and its Resources)Marija Marković (Business Based on Assurance)Vanja Kisić, Jelena Subotički, Miroslava Drapšin(Responsible Employer)

AssociatesAna KulićSlađana JovanovićJelena IgnjatićGoran Stupar Vladimir Mirkov

Art DirectorMane Radmanović

Texts and Serbian Language Editing Sandra Šare

Report onSustainable BusinessOperations for 2011

Belgrade, 2012

CIP - Каталогизација у публикацијиНародна библиотека Србије, Београд

658.1:621.391(497.11)”2011”

SUSTAINABLE buisness operations report 2011 / [texts Sandra Šare ; translation Vuk Tošić]. - Belgrade : Telenor foundation, 2012(Beograd : Altanova). - 49 str. : fotogr. ; 26 cm

Izv. stv. nasl.: Izveštaj o održivom poslovanju 2011. - Tiraž 300.

ISBN 978-86-88921-03-91. Šare, Sandra [уредник]a) Теленор (Београд) - 2011COBISS.SR-ID 189643788

ISBN 978-86-88921-03-9

9 788688 921039

2/

www.telenor.rs/info/cr