MTS launches mobile services in Kolkata

Offers one million minutes free talk time

Kolkata, May 21, 2009: Sistema Shyam TeleServices Limited (SSTL) today announced the commencement of services in Kolkata, under the MTS brand that provides mobile services in 6 other countries with a subscriber base of about 100 million. MTS is the latest entrant in the Indian mobile telephony market and is going strong on its plan for a pan India roll out. Kolkata maps the fourth cellular circle for the brand, after the successful launch of operations in Tamil Nadu, Kerala and Rajasthan. SSTL is a joint venture between Sistema (LSE: SSA) of Russia and Shyam Group of India.

Speaking at the launch, Vsevolod Rozanov, President and CEO of Sistema Shyam TeleServices Limited, said, “MTS is truly poised to be the pan-India cellular service brand of choice. The launch of services in Kolkata is the next strategic step in our plan to create a global service brand in India. We have made significant investments in India, and large investment portions have been earmarked to expand our network. MTS is one of the most powerful global brands and has always been at the cutting-edge of mobile services. It only befits us that with this lineage, we offer our Indian customers the same quality and advanced spectrum of services. We are happy to bring to Kolkata a supreme network backed by a slew of unique benefits. We look forward to continue expanding our services nationally in the coming months, with spectrum for 22 circles across India”.

Beginning today, MTS services can be purchased at all telecom retail outlets across Kolkata. By the end of June, MTS will be gradually present across all district head quarters, major towns and highways of West Bengal. MTS is reaching out to its customers in Kolkata, with the message “Change your Life’s Plan”. The scheme comes with a lifetime offer to make its initial subscribers, “Minute Millionaires”, by offering 10, 000, 00 minutes of talk time free through its “M Card”. Additionally, there is a second lifetime offer from MTS which would allow customers to make local mobile calls at just 30p/min. This offer will be at a one time cost of Rs.99 and is a limited period offer.

MTS is also introducing a host of other schemes such as M Saver-31 that will offer 1000 SMS’ es to any local or national network in India, and M Saver-29 that offers ISD calls to the US & UK (landline) at Rs. 2.99 per minute. The launch of MTS in Kolkata will provide more choice to customers and heralds the beginning of a new era in mobile services in the region.

“Today is a historic moment for us with the successful rollout of services in Kolkata. The city offers high potential for mobile penetration and we are looking forward to bring our subscribers a unique value proposition, fine tuned as per their needs. We intend to bring to Kolkata the same service experience and benefits, which has made MTS a leading brand globally.” added Mr. Keshhav Tiwary, Chief Operating Officer, Kolkata & West Bengal, Sistema Shyam TeleServices Limited.

About Sistema Shyam TeleServices Limited

Sistema Shyam TeleServices (SSTL) is a joint venture company between Sistema {LSE: SSA} of Russia and Shyam Group of India. Sistema is the majority share holder in this joint venture with a 74% equity stake, along with the Shyam Group, holding a 23.5% stake and the rest 2.5% being public partake. SSTL has spectrum to provide mobile telephony services in all the 22 circles across the country. Presently SSTL offers mobile telephony services in the Rajasthan, TamilNadu as well as the Kerala circles. In a recent development, SSTL tied up with Mobile TeleSystems OJSC of Russia to bring the globally acclaimed telecom brand-MTS-to India. MTS is the 8th largest telecom brand in the world and has recently been voted as the 71st ranked brand out of 100 top global brands in the world by Millward Brown.

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