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ROSTELECOM AT A GLANCE

Rostelecom is à major Russian telecommunications provider, with points of presence in all Russian regions. The Company provides 43 million subscribers with access to our advanced telecommunications network, which consists of approximately 500,000 km of backbone infrastructure that provides last-mile connections, as well as a fibre-to--building or fibre-to-home, FTTx, networks.

Rostelecom provides integrated telecom solutions including local and intra-zone telephone services, international long-distance and domestic long-distance services, mobile voice, data, broadband Internet access and pay-TV services to our broad customer base across Russia.

The business is structured around two main customer segments: Residential Customers and Corporate Customers. The Residential Customers segment is represented by individuals, whereas our Corporate Customer segment is made up of various legal entities, governmental agencies, as well as entities that fall under direct and indirect control of the Russian Government, other telecommunications carriers and resellers of our interconnection services As at December 31, 2011, these segments accounted for 54% and 46% of the Group’s total revenue, respectively.

By end of 2011, the Company had 28.5 million local fixed-line voice subscribers, 12.5 million mobile voice subscribers, 8.2 million fixed-line broadband subscribers and 5.9 million pay-TV subscribers. The Group generated consolidated revenues of RUB 296.0 billion, OIBDA of RUB 117.7 billion, representing 39.8% of revenue, and net income of RUB 46.1 billion for the full year of 2011.

On September 1, 2011, Rostelecom ordinary shares were included in the Large Cap Segment of the MSCI Global Standard Indices and MSCI Russia Index with 3.43% weighting, stamping the Group’s status as a blue chip investment for its shareholders.

© 2011 OJSC "Rostelecom". All rights reserved.

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