-- 59% year-on-year increase in total operating revenues --
-- 62% year-on-year increase in OIBDA --
-- 76% year-on-year increase in net income --
-- approximately 38.3 million subscribers as of today including 1.6 million subscribers in Kazakhstan --

Moscow and New York (August 25, 2005) - Open Joint Stock Company "Vimpel-Communications" ("VimpelCom" or the "Company") (NYSE: VIP),a leading provider of wireless telecommunications services in Russia and Kazakhstan, today announced its financial and operating results for the quarter and six months ended June 30, 2005. During the second quarter, the Company reported continued subscriber growth in Russia and Kazakhstan and increases in total operating revenues, OIBDA and net income. VimpelCom's condensed consolidated financial statements are attached.

Commenting on today's announcement, Alexander Izosimov, Chief Executive Officer of VimpelCom, said, "We are very pleased with VimpelCom's strong performance in the second quarter. In the face of continued strong competition throughout Russia and Kazakhstan, we added more than 4.3 million new subscribers and reported substantial improvements in our financial results. Our second quarter OIBDA margin of 51.4% was the highest in the Company's history. The second quarter was also marked by the successful launch of our re-branding campaign in preparation for the next phase of market development."

The principal results of operations with comments are presented in the following tables. All definitions are presented in Attachment A. The condensed consolidated financial statements of VimpelCom are presented in Attachment B. Reconciliation of each of OIBDA, OIBDA margin, ARPU and SAC to the most directly comparable U.S. GAAP financial measures appear in Attachment C.

As discussed in the Company's 2004 Annual Report on Form 20-F and first quarter 2005 earnings release, the Company restated its historical financial statements for periods ending on or prior to September 30, 2004 to reflect guidance from the United States Securities and Exchange Commission contained in a letter to the accounting industry in February 2005 with respect to lease accounting. In addition, the first quarter 2005 earnings release reflected changes made by the Company to the estimated useful life of its GSM Russian telecommunications licenses as well as a reclassification of revenues generated by the Company's value added services. In its subscriber reporting, starting with the second quarter of 2005, the Company decided to combine its advance payment subscribers with its prepaid subscribers (see "Definitions"). The earlier reported financial statement information and subscriber information that is incorporated in this press release, including for the second quarter of 2004 and the six months ending June 30, 2004, were recalculated accordingly.

Key Subscriber Statistics

a. Including advance payment subscribers. Numbers for June 30, 2004 and March 31, 2005 were recalculated in accordance with the Company's newly adopted practice as discussed above.

b. Active subscribers are defined as those who in the last three months made a chargeable transaction.

Based on independent research, VimpelCom estimates its market share in Russia at 34.5% at the end of the second quarter of 2005, compared to an estimated 32.9% at the end of the second quarter of 2004.

VimpelCom's subsidiary KaR-Tel estimates its market share in Kazakhstan at 38.2% at the end of the second quarter of 2005 as compared with 35.2% estimated at the end of the first quarter of 2005 and 29.2% estimated at the end of September 2004, soon after VimpelCom's acquisition of KaR-Tel. These market share figures were calculated using information released by KaR-Tel's competitors in the Kazakh market.

In accordance with our previously disclosed plans when we entered Kazakhstan, on August 22, 2005 we completed the sale of an indirect minority interest (50% minus one share) of our subsidiary Kar-Tel. The minority stake was purchased by Crowell Investments Limited, which is beneficially owned and controlled by a beneficial owner and member of the board of directors of ATF Bank, Kazakhstan's fourth largest bank. The purchase price was US$175 million, which is based upon the same valuation at which VimpelCom originally purchased KaR-Tel in an open competitive tender.

The churn rate for the second quarter of 2005 was 6.7% which is significantly lower than the 9.4% reported for the same period a year ago but higher than the 5.9% reported for the first quarter of 2005. Churn management remains one of VimpelCom's priority tasks.

Key Financial and Operating Indicators

(Definitions as well as reconciliation of each of OIBDA,
OIBDA margin, ARPU and SAC to its most directly comparable U.S. GAAP
financial measures are presented below in the attachments)

*) Numbers restated in accordance with the Company's newly adopted accounting practice as specified in VimpelCom's 2004 Annual Form 20-F Report.

**) On November 22, 2004, we changed the ratio of our ADSs traded on The New York Stock Exchange from four ADSs for three common shares to four ADSs for one common share. VimpelCom ADS holders as of record date at the close of business on November 19, 2004 received two additional ADSs for every ADS held. There were no changes to VimpelCom's underlying common shares. All ADS information presented herein reflects the change in the ratio.

Significant improvements in VimpelCom's financial and operating results in the second quarter of 2005, as compared with the second quarter of 2004, were achieved largely as a result of continued rapid subscriber growth combined with the effects of economies of scale, efficient cost control and lower acquisition costs per subscriber. The same factors combined with positive seasonal effects in the second quarter contributed to the improvements in total operating revenues, OIBDA and net income by 20.2%, 29.2% and 44.8%, respectively, as compared with those figures reported for the first quarter of 2005.

Selling, general and administrative expenses ("SG&A"), as a percentage of total operating revenues, improved to 31.5% reported in the second quarter of 2005 as compared with 32.8% in the second quarter of 2004, and was particularly strong as compared with 34.9% in the first quarter of 2005. Improvements in SG&A are primarily a result of low SAC as well as the Company's continued efforts to exercise strict cost control and utilize economies of scale. The Company's record quarterly OIBDA margin of 51.4% was largely the result of this improvement in SG&A.

VimpelCom's total capital expenditures for the second quarter of 2005 were approximately $406.2 million, spent for the purchase of long-lived assets.

The Company's MOU in the second quarter of 2005 was 99.2 minutes, an increase of approximately 3.0% compared to 96.3 minutes recorded in the second quarter of 2004. As compared with 86.9 minutes recorded for the first quarter of 2005, MOU increased by 14.2%. This sequential quarter increase was primarily due to summer-time seasonal effects and was enhanced by marketing activity aimed at increasing off-peak traffic.

ARPU for the second quarter of 2005 was approximately $7.8, an increase of 6.8% as compared with the $7.3 reported for the first quarter of 2005. We believe this is a positive development indicating stronger subscriber activity during the 2005 summer period than in the 2004 summer period. On a year-on-year basis, ARPU declined by 27.8% from the $10.8 reported for the second quarter of 2004. The downward year-on-year trend in ARPU is caused primarily by rapid regional expansion, which increases the proportion of lower ARPU regional subscribers in the network. A very competitive environment in some regions of Russia amplifies this trend by putting additional pressure on tariffs.

The Company's management will discuss its second quarter 2005 results during a conference call and slide presentation on August 25, 2005 at 6:30 pm Moscow time (10:30 am EDT in New York). The call and slide presentation may be accessed via webcast at the following URL address https://www.vimpelcom.com. The conference call replay and the slide presentation webcast will be available through September 1, 2005 and September 26, 2005, respectively. The slide presentation will also be available for download on VimpelCom's website https://www.vimpelcom.com.

VimpelCom is a leading international provider of telecommunications services, operating under the "Beeline" brand in Russia and Kazakhstan. In addition, VimpelCom is continuing to use "K-mobile" and "EXCESS" brands in Kazakhstan. The VimpelCom Group's license portfolio covers approximately 94% of Russia's population (136.5 million people), including the City of Moscow, the Moscow Region and the City of St. Petersburg, as well as the entire territory of Kazakhstan. VimpelCom was the first Russian company to list its shares on the New York Stock Exchange ("NYSE"). VimpelCom's ADSs are listed on the NYSE under the symbol "VIP".

This press release contains "forward-looking statements", as the phrase is defined in Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements relate to trends in the Company's financial and operational performance, as well as the Company's strategic and development plans and developments in the telecommunications market. These and other forward-looking statements are based on management's best assessment of the Company's strategic and financial position and of future market conditions and trends. These discussions involve risks and uncertainties. The actual outcome may differ materially from these statements as a result of unforeseen developments from competition, governmental regulation of the wireless telecommunications industry, general political uncertainties in Russia and Kazakhstan and general economic developments in Russia and Kazakhstan, the Company's ability to continue to grow its overall subscriber base, continued volatility in the world economy and other factors. As a result of such risks and uncertainties, there can be no assurance that the effects of competition or current or future changes in the political, economic and social environment or current or future regulation of the Russian and Kazakh telecommunications industry will not have a material adverse effect on the VimpelCom Group. Certain factors that could cause actual results to differ materially from those discussed in any forward-looking statements include the risks described in the Company's Annual Report on Form 20-F for the year ended December 31, 2004 and other public filings made by the Company with the United States Securities and Exchange Commission, which risk factors are incorporated herein by reference. VimpelCom disclaims any obligation to update developments of these risk factors or to announce publicly any revision to any of the forward-looking statements contained in this release, or to make corrections to reflect future events or developments.

For more information, please contact:

Valery Goldin VimpelCom (Moscow) Tel: 7(095) 974-5888 investor_relations@vimpelcom.com

Ian Bailey/Michael Polyviou Financial Dynamics Tel: 1(212) 850 5600 mpolyviou@fd-us.com