Sistema JSFC Share Split Is Taken Into Account When Calculating RTS Index

The process of taking into account Sistema JSFC share split when calculating RTS Index will take place as follows:

• Starting from November 7, 2007 and until the day of resuming trading on RTS the share price of $1540, fixed at the trading close on November 6, 2007 and multiplied by adjusting coefficient*, which considers the market movement by formula of Article 12.1 of the methodology of RTS Index calculation, is taken into account.
• Starting from November 14, 2007 the price of the Sistema JSFC in the index will be reduced 1000 times and the number of shares will be increased 1000 times to 9 650 000 000.
• Starting from the resumption of trading on OJSC RTS, the price for the Sistema JSFC shares in the index will be determined in the standard mode basing on the prices that are formed in the process of trading.

  * Note. Adjusting coefficient L for the Sistema JSFC shares (AFKS) is calculated as a change of the capitalization of the securities, which are included into RTS Index, of the following companies-issuers: MTS OJSC (MTSS), OJSC "VolgaTelecom" (NNSI), North-West Telecom (SPTL), OJSC Sibirtelekom (ENCO), OJSC "Rostelecom" (RTKM, RTKMP), O.J.S.C. "Uralsvyazinform" (URSI), JSC CenterTelecom (ESMO).

  The RTS Index, the official Exchange indicator is the benchmark in Russian securities' industry. The RTS Index is calculated based on 50 most liquid and capitalized stocks of the Russian companies