Nizhny Novgorod-based carrier to fortify

Golden Telecom’s presence in strategically vital Volga region

MOSCOW, Russia (September 11,2001) —Golden Telecom, Inc. (Nasdaq: GLDN), the leading integrated provider of voice, data and Internet services across Russia and the Commonwealth of Independent States, today announced it has reached an agreement to purchase a 51 percent stake in top Nizhny Novgorod competitive local exchange carrier (CLEC), ADS (“Agentstvo Delovoi Svyazi”), for $2.9 million.

ADS is the largest CLEC in Nizhny Novgorod in terms of revenue and customers.  The company operates a substantial local network, with 13,000 lines in service -- giving it a significant competitive advantage in Russia’s 3^rd largest city.  Founded in 1994, ADS’s market share in Nizhny Novgorod is second to state-run SvyazInform.

Golden Telecom currently operates in Nizhny Novgorod through three separate entities: long distance carrier, TeleRoss NN; Internet service provider (ISP) and data networking provider KIS;  and Inforis – which markets itself under Golden Telecom’s Cityline ISP brand.  Nizhny Novgorod is considered a crucial point of presence for any telecom operator with a regional focus because it is one of the Russia’s most industrially developed cities and serves as a regional base for the operations of many multinational companies.

Stewart Reich, Golden Telecom president and CEO stated, “ADS will allow us to enhance our offerings and access additional customers because of its extensive network.  Additionally, ADS management has demonstrated that it can generate solid revenue growth and maintain healthy margins.  We believe that our investment in this strong local carrier will cement Golden Telecom’s presence in Nizhny Novgorod, which sits in the center of the strategically vital Volga region.”

“We are very proud of our success and believe that we can grow even faster with the additional resources and nationwide network Golden Telecom can provide,” said Sergei Korsakov, General Director of ADS.

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About Golden Telecom (www.goldentelecom.ru)

Golden Telecom, Inc., NASDAQ “GLDN” is the leading facilities-based provider of integrated telecommunications and Internet services in major population centers throughout Russia and other countries of the Commonwealth of Independent States (CIS).  The company offers competitive local exchange carrier services using its overlay network in Moscow, Kiev and Saint Petersburg; data and long-distance services using a fiber optic and satellite-based network – including more than 135 combined access points in Russia and other countries of the CIS; dedicated and dial-up Internet access to businesses and consumers; Internet content through numerous web brands powered by its Russia-On-Line portal; and mobile services.

About ADS (www.bca.nnov.ru)

Agentstvo Delovoi Svyazi (ADS) was founded in 1994.  The company provides integrated services to businesses and consumers, including: domestic and long-distance voice connectivity; development and construction of corporate communication networks; installation and service of high quality office telephone stations; sales of communication equipment; and construction of remote communication centers.

ADS is an official distributor of Philips Kommunikations Industrie AG, NORTEL and Ericsson.  ADS also works in close cooperation with NEC.

Statements made in this press release, including expected benefits from the ADS purchase, are forward looking and are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995.  It is important to note that such statements involve risks and uncertainties, which may cause results to differ materially from those set forth in these statements.  Such risks and uncertainties include, but are not limited to, the political and economic developments in the markets where we operate, especially Russia, our ability to execute our business plan, and increasing competition that may limit growth opportunities, especially in the Internet and data transmission services.  Such risks and uncertainties also include the risk that the ADS transaction may not be consummated.  Additional information concerning factors that could cause results to differ materially from those in the forward looking statements are contained in the Company’s filing with the U.S. Securities and Exchange Commission of the Company’s annual report on Form 10-K for the year ended December 31, 2000.