Moscow, Russia - September 1, 2008 - Sistema (LSE: SSA), the largest public diversified corporation in Russia and the CIS, which manages fast growing companies operating in the consumer services sector, today announced that Shyam Telelink Ltd. (Shyam Telelink), a subsidiary of Sistema, has received radio frequencies in the CDMA 800 MHz range in three additional Indian circles. As a result, Shyam Telelink now has spectrum in the whole India.

The Department of Telecommunications of India has allocated the radio frequencies to Shyam Telelink in Dehli, Mumbai and Punjab, with a population of over 62 million people. Altogether Shyam Telelink now has spectrum in 22 Indian circles, covering 28 administrative states and 7 union territories with a population of approximately 1.1 billion people.

Vitaly Savelyev, First Vice President and Head of "Telecommunication Assets" operating unit at Sistema, commented: "Shyam Telelink was allocated the radio frequencies in all circles of India, which is an important step in the process of rolling out a pan-Indian mobile network. We plan to launch CDMA 800 MHz network in the state of Rajasthan in the near future and then expand Shyam Telelink's network throughout the country."