“COMSTAR – United TeleSystems” today announced that the Extraordinary General Meeting of Shareholders of Comstar UTS, held on December 25, 2006, approved the merger of its 100% - owned subsidiaries Telmos, MTU-Inform, CTC Contrast-Telecom and M-Telecom Holding (100% owner of Astelit) with Comstar UTS.

Eric Franke, Chief Executive Officer of Comstar – United TeleSystems, commented: «The integration of alternative telecom operations into Comstar UTS will facilitate the optimization of the Group’s legal structure. This step is in line with the re-organization program of Comstar UTS, which was announced in October of 2006”.