For the INTRACOM family 2006 was a notable year. During 2006 the newly-formed companies of INTRACOM Holdings Group—INTRACOM IT Services, INTRACOM Defense Electronics, and INTRACOM Telecom (51% owned by the Russian SISTEMA Group)—operated autonomously. The Group is complemented by the INTRAKAT construction company and a dynamic new member, hellas online, a highly promising broadband telecommunications operator.

Throughout 2006, each of our companies made important efforts to advance by establishing core plans for progress and initiating new growth strategies, with very encouraging results indeed. With a sense of responsibility, dedication to success, new initiatives, and focused activities, each of our companies now conducts its business in a way that capitalizes on new technology trends in today's challenging global market and provides them with the means to establish a leading position in the broader geographical region.

As we leverage the experience of our 30-year history, we rely on our highly skilled and trained human resources, we are inspired by our principles of innovation-quality-reliability, and we foresee global trends so that we promptly respond to meet our commitments and shape our future.

INTRACOM Holdings is made up a group of strong and dynamically evolving companies with competent and effective management teams. We are confident that our growth strategy and the new structures we established in 2006 are on line to produce improved results, creating enhanced value for our customers, associates, shareholders, and employees.

Socrates P. Kokkalis