Moscow, Russia - December 15, 2005 - Sistema (LSE: SSA), the largest private sector consumer services company in Russia and the CIS, announced today the operational results of its fixed-line telecommunications subsidiaries for the nine months period ended September 30,  2005. This report contains results for Comstar United TeleSystems including MTU-Inform, Comstar, Telmos, MTU-Intel, Golden Line and MGTS.

The total active number capacity of Comstar UTS excluding MGTS amounted to more then 568,000 numbers, while the number of ADSL subscribers increased by 4.5 times in the last 12 months until September 30, 2005. Residential subscribers accounted for 93% of total ADSL customers, and the total corporate subscriber base of Comstar UTS as of September 30, 2005 increased by more than 4,000, totaling approximately 30,000 companies.

For the nine months of 2005, MGTS active number capacity increased by 39,000 numbers to 4.236 million, 83% of which is used by residential subscribers. As of September 30, 2005, MGTS serviced 3.5 million users, out of which 98% were residential subscribers.

Comstar United TeleSystems (ex-MGTS)

MGTS