Subscription Offering Price

Telefonica SA
22 November 2000


TELEFONICA MOVILES SETS PRICE FOR IPO AT 11 EUROS PER SHARE

This notification is not a securities offering in the United States
or in any other jurisdiction. Any securities offering in the United States will
be carried out pursuant to a prospectus that will he available from the
distributing banks and contain detailed information on the company, management
and financial statements.

Telefonica Moviles S.A., a subsidiary of Telefonica S.A., has set the price of
its public subscription offering in both the institutional tranches (Spanish and
international) and in the retail tranche at 11 euros (1,830 pesetas) per share
(0.5 euros nominal value and 10.5 euros issue premium). Trading in Telefonica
Moviles shares will begin this coming Wednesday, November 22, in the Spanish
markets and on the New York Stock Exchange (NYSE) in the United States under the
'TEM' ticker symbol.

Demand in the Spanish institutional tranche totalled 687 billion pesetas,
meaning the offering was 8.2 times oversubscribed.

The retail tranche was oversubscribed 12.8 times, with aggregate demand of 3.85
trillion pesetas from close to 1.5 million individual investors.

Assuming that the 'green shoe', purchase option of the distributing banks is
exercised, a total of 345,000,000 shares, or 8.92% of the Telefonica Moviles,
S.A. share capital, will be placed in the offering.

Madrid, 20 November 2000