July 20, 2009, Moscow, Yekaterinburg: COMSTAR – United TeleSystems (COMSTAR-UTS, LSE: CMST), the leading supplier of integrated telecommunication solutions in Russia and the CIS, announces that by the end of 2Q09 cable TV subscriber base of STREAM-TV (forms a part of COMSTAR-UTS) in Yekaterinburg has exceeded 190,000. More than 160,000 subscribers are inhabitants of Yekaterinburg, while others live in Sverdlovsk Region towns – Rezh, Pervouralsk, Kamensk-Uralsky and Polevskoy. Nearly 4,000 households also use multicast services.

Alexander Metelkin, Commercial Director of STREAM-TV Yekaterinburg, notes: “Growth of the subscriber base in the regional center has amounted to more than 10% over a year. This is an impressive figure, considering saturation of the Yekaterinburg cable TV market. One should also mention that subscribers mainly choose an extended package of TV channels, which is a definite evidence of their positive attitude towards paid TV on the whole.”

Data network upgrade and marketing projects successfully realized by STREAM-TV Yekaterinburg have contributed to the growth of the subscriber base.

In 2008-2009, cable TV network of STREAM Yekaterinburg has included more than 24,000 new apartments. The company is building its household and backbone networks using up-to-date fiber-optic lines. Besides, dwellers of Yekaterinburg and Sverdlovsk Region may participate in regular marketing events to get connected on favorable terms, get a discount for further service or a bonus in the form of a present from the company. For example, campaign called “Together we have more fun and get it faster and cheaper” that was held in April 2009 attracted more than 2,000 dwellers who later became customers of the company. Participants of this campaign could get connected to the Cable TV + Internet package free of charge and get a bonus in the form of a double traffic rate in night hours under unlimited price plans.

STREAM-TV Yekaterinburg provides services of cable TV and broadband Internet. Besides, the company offers fixed voice services in Yekaterinburg.

Another operator in Sverdlovsk Region is Ural Telephone Company forming a part of COMSTAR-UTS. The company was founded in 1994 and is currently one of the leading operators in Yekaterinburg providing high-quality advanced digital communication services. For details, please visit: www.utk.ru.

The Ural macrobranch is planned to be formed during restructuring of COMSTAR-UTS regional business to unite companies of the group present in the Ural Federal District. For further info on restructuring of the regional business.