Moscow, Russia – 21 May 2018 – Sistema PJSFC (“Sistema” or the “Corporation”) (LSE: SSA, MOEX: AFKS), a publicly traded diversified Russian holding company, announces the decisions taken at the meeting of its Board of Directors held on 19 May 2018.

 The Board of Directors approved the list of candidates nominated for the election to the Board at the Annual General Meeting of shareholders (AGM) on 30 June 2018. The list of candidates for the Sistema’s Board of Directors includes all incumbent Board members: 

1.       Vladimir Evtushenkov

2.       Anna Belova (as an independent director)

3.       Sergey Boev

4.       Andrey Dubovskov

5.       Felix Evtushenkov

6.       Ron Sommer

7.       Robert Kocharyan (as an independent director)

8.       Jeannot Krecké (as an independent director)

9.       Roger Munnings (as an independent director)

10.    Mikhail Shamolin

11.    David Iakobachvili (as an independent director)

The Board of Directors also voted to recommend to the AGM a dividend payment for FY 2017 of RUB 1,061.5m (RUB 0.11 per ordinary share, RUB 2.2 per GDR). Taking into account the priority of the strategic goal to reduce the Corporation's debt, the Board of Directors thereby supported management's proposal to deviate from the Corporation’s current dividend policy. The total amount of dividends paid for FY 2017 and 9M 2017 may be RUB 7,623 m.

It is expected that Sistema’s Board of Directors, when determining the recommended amount of dividends in the future, will take into account the acceptable rate of debt reduction and the proportionality of dividends to the current cash flow of the Corporation, which is necessary to maintain a balance between the rights and interests of all shareholders and the Corporation's ability to pay dividends, and the reduction of the Corporation’s debt.

The Board of Directors recommended to the AGM to set 19 July 2018 as the dividend record date.

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