Moscow, Russia – 21 March 2018 – Sistema PJSFC (“Sistema” or the “Corporation”) (LSE: SSA, MOEX: AFKS) a publicly traded diversified Russian holding company, announces that the Arbitration Court of the Republic of Bashkortostan (the “Court”) satisfied a motion by Bashneft, Rosneft and the Ministry of Land and Property Relations of the Republic of Bashkortostan regarding the withdrawal of claims totalling RUB 131.6 billion that were filed against Sistema and Sistema-Invest in December 2017, and terminated the proceedings on the case.

The Corporation and Sistema-Invest have also withdrawn previously filed claims as per the terms of the Settlement Agreement between Sistema, Sistema-Invest, Bashneft, Rosneft and the Ministry of Land and Property Relations of the Republic of Bashkortostan (the “Settlement Agreement”).

The Settlement Agreement has thus been fully and duly performed.

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