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Rostelecom

February 12, 2008

Rostelecom announces results of tax inspection for the period 2004 - 2006

Moscow – February 12, 2008 – Rostelecom (NYSE: ROS; RTS, MICEX: RTKM, RTKMP), Russia’s national long-distance telecommunications operator, today announced that it has received a decision on tax claims relating to the Company’s tax filing for the period 2004 - 2006. This follows an inspection undertaken by the Federal Tax Service of Russia’s ? 7 Interregional Inspectorate for the largest taxpayers. The inspection took place from September to December 2007 and on February 8, 2008 Rostelecom received a tax claim for the fiscal years 2004, 2005 and 2006 (Resolution of the Interregional Inspectorate of the Federal Tax Service). The total amount claimed by the tax authorities is 1.812 billion rubles, of which 1.412 billion rubles represents additional taxes owed by the Company plus 0.4 billion rubles in fines and penalties. Rostelecom contests the conclusions and claims of the tax authorities and will defend its position in the courts and possibly challenge any administrative order.

 

 

 

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