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Moscow City Telephone

February 1, 2005

Aleksey Goltsov has been appointed MGTS General Director

Moscow City Telephone Network extraordinary general meeting appointed Aleksey Valentinovich Goltsov the company's General Director for the term of five years.

Individuals owning 88.573% of the total number of votes of the company's placed voting shares participated in the absentee meeting conducted on January 31, 2005.

99.983% of the participating votes were for Mr. Goltsov's candidacy.

According to the applicable legislation, the resolution on this issue is passed by majority voting of the participating voting shareholders.

MGTS BOD Chairman, Sistema Telecom managing company General Director Mr. Vladimir Lagutin, commenting on the resolution of the shareholders meeting said: "The major objective of Mr. Aleksey Goltsov at the new position will be the fastest implementation of MGTS upgrade program, which will allow it fully meet the requirements of a customer-oriented company offering a wide range of the latest telecommunication services".

Mr. Goltsov's background:

Aleksey Valentinovich Goltsov was born in 1965. Having graduated from Moscow Electrotechnical Institute of Communications in 1987, he started working at MGTS. On his career path Mr. Goltsov consecutively held positions at Tushino telephone node and at Telecommunications Technical Operation Department, in 2001 he became the MGTS Head of digital network control center of Department for Network Technical Maintenance, and in 2003 - Deputy General Director in charge of network development and upgrade.

In 2004 Aleksey got his MBA from the International University - The Higher School of Business and Management.

Mr. Goltsov is married and has a son.


PJSC Moscow City Telephone Network is one of the biggest not only in Russia, but among the local wire telecommunications companies in Europe too. The Company's continual priority task is to provide quality telephone communication accessible to the millions of the Russia's capital-city inhabitants. The MGTS personnel of 20 000 persons supply services to about 4.2 million subscribers. The telephone density in Moscow conforms to the European standards - over 50 MGTS telephones per 100 metropolitan residents. There are about 600 MGTS telephone exchanges in operation, and their number increases year by. There are presently 18 000 pay stations available at the Company's public payphone network. To date, the MGTS share amounts to 80% in the Moscow fixed telecommunications market. The dynamic development of the Company is noted for its stable economic situation, prescheduled on-going income growth rate, and for the amount of provided services on the upgrade. The Central Office of PJSC MGTS is located in Moscow at 12, bdg. 3, Petrovskiy Boulevard, Moscow, Russia. The Company's Internet address is www.mgts.ru.

For further details, please approach the Department of Information and Public Relations - PJSC MGTS.
Tel: +7 (095) 950 0623, fax: +7 (095) 950 0622,
E-mail: pressa@mgts.ru




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