Moscow, Russia, 26 June - Sistema-Hals (LSE: HALS), leading Moscow-based real estate development, management and investment company, announces members of new Board of Directors.

On June 25, 2007 Sistema-Hals' Annual Shareholders Meeting elected new Board of Directors, which includes three independent directors:

Douglas Daft, former chairman of The Coca-Cola Company;

John Gummer, Member of British Parliament;

Robert Tsenin, former Finance Director of Lend Lease Corporation.

The Board of Directors also includes:

Dmitry Zubov, Chairman;

Valery Abramson, Deputy Chairman;

Alexey Buyanov, Director;

Alexander Goncharuk, Director;

Sergei Drozdov, Director;

Felix Evtushenkov, Director.

Biographies

Douglas Daft

Born 20th March 1943 in Australia.

Education: a bachelor's degree in mathematics from the University of New England; a post-graduate degree in administration from the University of New South Wales; an honorary doctorate in international law from Thunderbird, The American Graduate School of International Management.

From 2000 to 2004, Mr. Daft served as Chairman of the Board of Directors and Chief Executive Officer of The Coca-Cola Company. Prior to that, he had held various management positions at The Coca-Cola Company, such as President of the Middle and Far East Group, President of the Pacific Group, President of the North Pacific Division and President of the Central Pacific Division.

From 2000 to 2004, he served as a member of Sistema International Advisory Council.

Currently Mr. Daft serves on the boards of The McGraw-Hill Group of Companies and Wal-Mart Stores, Inc.

John Gummer

Born 26th November 1939.

Education: Selwyn College, Cambridge; honors degree in history; King's School, Rochester

John Gummer entered the Government of Great Britain in 1981. His ministerial experience includes positions of Minister, Department of Employment; Chairman, Conservative Party; Paymaster-General; Minister of State, Department of Environment; Minister of Agriculture, Fisheries, Food, etc.

Currently Mr. Gummer serves as chairman, Sancroft International Ltd; chairman, Veolia UK (formerly Vivendi UK); chairman of Association of Independent Financial Advisers; chairman, Valpak Ltd., etc.

Member of Parliament for Suffolk Coastal.

Chairman of the Quality of Life Commission.

RIBA Honorary Fellow.

Robert Tsenin

Born in Hong Kong in 1949.

Education: University of Sydney, University of London and London Business School.

Mr. Tsenin has extensive investment banking and real estate experience.

1987 - 1997 - worked with Goldman Sachs in New York, London and Sydney. He was responsible for corporate finance, M&A, financings including IPOs. His last position at Goldman Sachs was Managing Director of the Australian and New Zealand operations.

1997 - 2003 - Lend Lease Corporation (a leading global real estate company operating globally in construction, development and fund management activities), Finance Director. He was on the main board of Lend Lease, as well as on the board of its main subsidiaries.

2003 - 2005 - Lazard plc., London, Senior Advisor.  Robert Tsenin  assisted  Lazard on a number  of real estate principal investment opportunities and select real estate M&A transactions.

Robert Tsenin has been a director of a number of companies including Telstra Corporation, AXA National Mutual Ltd., WACO International and SAGASCO Ltd.

Robert Tsenin is currently a director of Australian Infrastructure Fund Limited, Metrix Capital Partners and Matrix European Real Estate Investment Limited.