Telekom Slovenije’s annual net profit in 2007 dropped 15% to EUR88 million (USD134 million) on revenues that rose 5% to EUR786 million. The Slovenian incumbent telco accounted the slump in profits largely to foreign investments, including the expansion of mobile services in Kosovo. Operating profit for the year reached EUR139 million, down 2% compared to 2006, while EBITDA climbed 3% to EUR301 million. Total CAPEX stood at EUR380 million, a third of which went into the rollout of a fibre-optic network covering 71 locations in Slovenia and the introduction of VDSL2 broadband technology, helping to bring the company’s total number of broadband subscribers in its domestic market to 173,000 at the end of December 2007. The group invested a yearly total of EUR131 million in other south east Europen markets, the majority spent on the construction of IPKO’s GSM mobile network in Kosovo, which began operating at the end of 2007 and reportedly has 160,000 subscribers to date. Telekom’s total planned investment in Kosovo is EUR200 million.