Rostelecom (www.rt.ru/en) is Russia’s national telecommunications operator and now also includes the regional incumbent telecommunications operators (CentreTelecom, SibirTelecom, Dalsvyaz, Uralsvyazinform, VolgaTelecom, North-West Telecom and Southern Telecommunications Company) and Dagsvyazinform. Rostelecom has the largest domestic backbone network (approximately 500 thousand km) and last mile connections to approximately 35 million households in Russia. The Company holds licences to provide a wide range of telecommunications services (telephony, data, TV and value-added solutions) to residential, corporate and governmental subscribers and third party operators across all regions of the Russian Federation. The Rostelecom brand is one of Russia’s ten most trusted brands (source: Romir market research).
Rostelecom’s ordinary and preferred shares are traded on the RTS (RTKM, RTKMP) and MICEX (RTKM, RTKM-002D - RTKM-017D, RTKMP) stock exchanges, and its depository receipts are traded over-the-counter in the United States on the OTCQX under the symbol ‘ROSYY’. Rostelecom is majority owned (53.2% of ordinary shares) by the Russian Government and has a free float of 44.1% of the outstanding ordinary shares and 71.1% of the outstanding preferred shares. Standard&Poor’s has assigned Rostelecom a ‘BB+’ international credit rating with a ‘Stable’ outlook. Rostelecom had 29.2 million local fixed-line voice subscribers, 12.4 million mobile voice subscribers, 7.4 million fixed-line broadband subscribers and 5.5 million pay-TV subscribers at the end of the first quarter of 2010. The Group generated RUB 275.7 billion of combined and consolidated revenues, RUB 110.9 billion of adjusted OIBDA (40.2% of revenues) and RUB 40.8 billion of adjusted net income for the twelve months ended December 31, 2010.
Rostelecom’s corporate governance practices and transparency have been recognized by a number of independent bodies for their adherence to international best standards.
