Moscow, Russian Federation – Mobile TeleSystems OJSC (“MTS” – NYSE: MBT), the leading telecommunications provider in Russia and the CIS, announces the conclusion of a credit facility with Citibank Europe PLC (Citibank) and Swedish Export Credit Corporation (SEK) for up to $300 million. The credit facility is supported by Sweden’s Exportkreditnamnden (EKN) and will be used for the development of the Company’s mobile networks through purchases of equipment from Ericsson, the world's leading provider of technology and services to telecom operators.

The facility will be made available in one tranche with maturity in July 2024 and have an annual interest rate based on LIBOR. The amounts may be drawn by the Company over the next 12 months and will be linked to equipment purchases for the development of MTS’s LTE networks.

Citibank Europe PLC facilitated the arrangement by serving as Mandated Lead Arranger, and Citibank International plc acted as Facility Agent; SEK also acted in an arranging capacity for the facility. Both Citibank and SEK acted as Original Lenders.

Alexey Kornya, Vice President, Finance and Investments, and CFO of MTS, commented, “We are pleased to add another chapter to our long-term partnership with Ericsson, EKN, SEK and Citibank through the conclusion of this credit facility. Our on-going cooperation with Ericsson, coupled with the support of EKN, gives us valuable resources to further develop our market-leading voice and data networks in Russia."

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For further information, please contact in Moscow:

Joshua B. Tulgan
Director, Corporate Finance & Investor Relations
Mobile TeleSystems OJSC
Tel: +7 495 223 2025
E-mail: ir@mts.ru