Moscow, Russia – March 23, 2011 – Sistema JSFC (LSE: SSA), the largest diversified public financial corporation in Russia and the CIS, today announced that it has successfully placed RUB 19.5 billion of non-convertible amortizing Series 04 five-year bonds with a coupon rate of 7.65% for the ten semi-annual coupon payments.

The Prospectus for the RUB 19.5 billion Series 04 bonds was registered with the Russian Federal Financial Markets Service on January 27, 2011. The bonds’ amortization schedule provides for the repayment of 30.769% of the principal amount after a period of six months, a 15.385% repayment after three years, a 30.769% repayment after three and a half years, and a 15.385% repayment after four years. The remaining principal amount of 7.692% will be repaid on the bonds’ redemption date, which is March 15, 2016.

VTB Capital acts as Arranger and Sberbank acts as Underwriter of the bond issue.  The Series 04 bonds are placed on Moscow Interbank Currency Exchange (MICEX).