Pinheiro Neto to advise Portugal Telecom

On May 21, 2001, Portugal Telecom announced its intention to launch an offer to exchange Portugal Telecom ordinary shares for the outstanding shares in its Brazilian mobile subsidiary Telesp Celular, not already held by Portugal Telecom (representing 58.8 per cent of Telesp Celular’s share capital). The Telesp Celular shares comprise a combination of ordinary (ON) and preferred (PN) shares traded in Brazil, and American Depositary Receipts (ADRs) traded in the United States.