The Board of Directors Meeting considered the candidacy of Mr. Mikhail A. Smirnov to the position of General Director of the Public Joint Stock Company Moscow City Telephone Network (MGTS), which is proposed by the AFK "Sistema". The Board of Directors recognized Mr. Smirnov's candidacy legally qualified and made a decision to have his candidacy entered into the ballot papers to take a vote at the Company's General Meeting of Shareholders to be held on 15 August 2003.

The General Shareholders' Meeting will proceed in the absentee voting format. The list of the persons eligible to voting at the extraordinary General Meeting of Shareholders is compiled according to the data contained in the Company shareholders' register as at 16 July 2003.

The voting-papers are to be delivered to the office of OAO "Reyestr" (PJSC "Register", Eng.), affiliate of "Reyestr-Svyaz" ("Register-Communication", Eng.) by 15 August 2003.

Mr. Smirnov, Mikhail Alekseyevich has been holding the post of the President of the PJSC Mobile TeleSystems since 1995. Under his leadership, PJSC MTS has become the biggest cellular communications operator in terms of the subscribers number in Russia, as well as in Eastern and Central Europe. In the summer of the year 2000, a successful placement of PJSC Mobile TeleSystems shares was accomplished at the New York Stock Exchange (NYSE). Since that time, the Company's capitalization has increased by almost 3 times making up over US$5.6 billion at present.

Copyright (ñ) 2003 ÎÀÎ ÌÃÒÑ.