Moscow, Russia – March 8, 2011 – Sistema JSFC (the “Company”) (LSE: SSA), the largest diversified public financial corporation in Russia and the CIS, today announced that its Board of Directors has approved the sale of Sistema’s stake in OJSC SITRONICS (“SITRONICS”) to OJSC RTI (“RTI”). Sergey Boyev, previously Vice President of Sistema and the Head of “High Technologies and Industry” business unit, was earlier appointed as General Director of OJSC RTI.

In accordance with the proposal, Sistema’s Board of Directors approved the sale of the Company’s stake of approximately 63% in SITRONICS to RTI for US$ 0.9228 per GDR (based on the three-month weighted average price for GDR of SITRONICS on the LSE). To facilitate the transaction, Sistema’s Board of Directors has also approved the extension of a short-term loan by Sistema to RTI.