On May 14, 2007, North-West Telecom's Board of Directors has determined the 2006 dividend rate recommended to the Annual General Meeting of Shareholders and has approved the agenda for the Annual General Meeting of Shareholders scheduled for June 22, 2007.

North-West Telecom's Board of Directors decided to recommend that the General Meeting of Shareholders should make the decision to pay the 2006 dividends at the following rates:

· for preference shares, 0.858 rubles per share (32% as against 2005);

· for ordinary shares, 0.357 rubles per share (35% as against 2005).

Dividends will be paid in money from 15th August till 15th December 2007 inclusive. The total amount payable as the 2006 dividends is 529 million rubles or 21.8% of the Company's net profit (397 million rubles in 2005). The list of persons entitled to participate in the Meeting is prepared according to the NWT Register of Shareholders as of May 4, 2007.

North-West Telecom's Board of Directors approved the following agenda for the Annual General Meeting of Shareholders:

1. Approval of the annual report, annual accounting reports, including profits and losses report (profits and losses account) of the Company as well as distribution of profit (including payment of dividends) and losses of the Company according to the results of the financial year 2006;

2. Election of members of the Board of Directors of the Company;

3. Election of members of the Audit Commission of the Company;

4. Approval of the Company Auditor for 2007;

5. Determination of the fee to members of the Board of Directors of the Company;

6. Changes and additions to the Charter of the Company. Approval of the amended Charter of the Company;

7. Changes and additions to the Regulation on the Board of Directors of the Company. Approval of the amended Regulation on the Board of Directors of the Company;

8. Changes and additions to the Regulation on the General Meeting of Shareholders of the Company.

The Board of Directors determined that only ordinary shareholders of the Company would have the right to vote on all issues on the agenda of the General Meeting of Shareholders of the Company.

During its meeting, North-West Telecom's Board of Directors considered also other issues relating to the preparation and holding of the Annual General Meeting of Shareholders.

All materials for the Annual General Meeting of Shareholders will be available on the corporate web-site at <Èíâåñòîðàì è àêöèîíåðàì> from May 22, 2007.