(Telecompaper) Vimpelcom reported flat revenues for the first quarter, hurt by weaker results in its second-largest market Italy and negative currency effects. Revenues of USD 5.59 billion were up 1 percent on an organic basis and would have rose 4 percent organically if the 72 percent cut in Italian termination rates was excluded, the company said. In its home market Russia, revenues improved 4 percent to USD 2.30 billion and were up 5 percent on an organic basis, while Italian revenues fell 8 percent to USD 1.62 billion and dropped 9 percent on a comparable basis. Group EBITDA still improved 2 percent to USD 2.35 billion, and the net profit rose 28 percent to USD 408 million. Capex fell 6 percent to USD 595 million, but excludes USD 179 million for a backbone contract in Italy. Vimpelcom said it plans to accelerate capex in Russia and possibly Algeria to reach 21 percent of revenues over the full year. Operating cash flow fell 21 percent from year earlier to USD 1.27 billion, while net debt reduced to 2.3 times EBITDA from 2.6 a year ago. Vimpelcom maintained its dividend guidance and said it was on track to meet its medium-term targets.