Moscow, Russian Federation – November 02, 2006 – Mobile Telesystems OJSC (“MTS” – NYSE: MBT), the largest mobile phone operator in Russia and the CIS, announces the decisions made at the Company’s Extraordinary General Meeting of Shareholders (EGM) on October 30, 2006.

The shareholders’ meeting adopted, among others, the following resolutions:

1. Approval of the revised version of the Company’s Charter;

2. Approval of the Statute on the Executive Board;

3. Reorganization and approval of a merger of ReCom and Telesot-Alania into MTS;

4. Approval of supplements and amendments to be entered into the Statute on the Board of Directors (BoD);

5. Approval of supplements and amendments to be entered into the Statute on  the President;

6. Approval of the revised Statute on General Shareholder Meetings of Shareholders.

At the meeting of the BoD held on the same day, in accordance with the Statute on the Executive Board, the number and the individuals to be included on the Executive Board were determined. The number of members of the Executive Board was set at 12. The following persons were elected to the Executive Board:

• Mr. Leonid Melamed, President and CEO of MTS;
• Mr. Mikhail Shamolin, Vice President, Head of Business unit “MTS Russia”;
• Mr. Sergey Aslanyan, Vice President , Chief Information Officer;
• Mr. Vsevolod Rozanov, Vice President, Chief Financial Officer:
• Mr. Grzegorz Esz, Vice President, Chief Marketing Officer;
• Ms. Tatiana Evtushenkova, Vice President, Strategy and Corporate Development;
• Mr. Andrei Terebenin, Vice President, Corporate Communication;
• Mr. Pavel Belik, Vice President, Security;
• Mr. Sergey Nikonov, acting Vice President, Human Resources;
• Mr. Pavel Pavlovsky, acting Vice President, Foreign Subsidiaries;
• Mr. Alexander Nikitin, Director of Corporate Development;
• Mr. Adam Wojacki, Chief Executive Officer of UMC.

Mr. Leonid Melamed is the Chairman of the Executive Board in accordance with the Company’s charter and the Statute on the Executive Board. The following issues, among others, are within the competence of the Executive Board:

• Arrangement of efficient operating management of current activity of the Company;
• Elaboration of key principles to be used for planning of the Company activity;
• Elaboration and submission to the Company’s Board of Directors of proposals on strategy related to organization and planning of the Company activity on the whole;
• Elaboration and improvement of Company staff motivation system;
• Development of recommendations for the President and Board of Directors of the Company based on yearly targets to be achieved with regard to the general objectives;
• Preliminary review of discussion materials submitted to the members of Board of Directors and shareholders of the Company in course of preparation to the Board of Directors Meetings and General Shareholders Meetings;
• Arrangement for fulfillment of resolutions of General Shareholders’ Meetings and Board of Directors Meetings;
• Taking decisions on settlement of a transaction (non-material and related-party transaction) or a number of connected transactions related to purchase, alienation or potential alienation, direct or indirect, of property priced at the amount exceeding the equivalent of $100 million.

President and CEO of MTS, Mr. Leonid Melamed, noted: “The creation of a collegial executive body – the Executive Board – will increase the Company’s level of transparency and corporate governance. The Board of Directors believes that the Executive Board will strengthen the Company’s control mechanisms over its use of financial resources.”