Debenture Redemption

Telefonica SA
04 February 2008







TELEFONICA, S.A., as provided in article 82 of the Spanish Stock Market Act
(Ley del Mercado de Valores), hereby announces the following:



On March 3rd, 2008, and in compliance with the conditions stated in the
Prospectus for the Debentures Issue 'Marzo 1998' (ISIN code number
ES0278430923), registered with the Spanish National Securities Market Commission
(Comision Nacional del Mercado de Valores) on February 3rd, 1998, the 7,000,000
debentures of the issue will be totally redeemed through the repayment of the
100% of their nominal value of Euros 60.10 each.






Madrid, February 4th, 2008









                      This information is provided by RNS
            The company news service from the London Stock Exchange