Patna, India - July 2, 2009 - Sistema Shyam TeleServices Limited (SSTL) today announced the launch of services under the MTS brand in Bihar. The company has announced to invest $180 million in the state for the launch of its services. This marks the foray of MTS into its sixth circle of operation, following the successful commencement of services in Rajasthan, Tamil Nadu, Kerala, Kolkata and West Bengal.

Bihar offers tremendous potential for growth of telecom services. it is the second largest telecom circle with one of the lowest teledensity in the country.

Speaking at the launch, Mr. Vsevolod Rozanov, President and CEO of Sistema Shyam TeleServices Limited said, “Bihar as the 2nd largest telecom circle is a huge market for driving growth of telecom services in the country. The expansion is consistent with our strategy to increase services in highly populated states with the lowest teledensity. Having recently crossed the one million mobile subscriber mark coupled with the tremendous market opportunity Bihar offers, we look forward to increasing our subscriber base exponentially.”

Beginning today, MTS services can be purchased at 7,000 retail outlets, spanning 271 towns & more than 12000 villages, covering 16 districts of Bihar.