MTS Amends Organizational Structure

Mobile TeleSystems | July 11, 2011 | Press Release

It is expected that the organizational changes will lead to a reduction in the number of oversight bodies in the Company’s core market – Russia, a higher level of personal responsibility for the operational results in Russia of the Office of the President of MTS, a greater role in the decision-making process of the macro-regions and an increase in the efficiency of the infrastructure development on the MTS Group level.

Key organizational changes include:

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• Creation of the position of the Chief Operating Officer, whose responsibilities will include the development of the Company’s infrastructure;

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• Separation of the marketing and sales functions;

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• Separation of the human resources and administrative functions;

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• Direct reporting of the heads of the macro-regions of Business Unit “MTS Russia” to the Office of President of MTS.

Mr. Aleksander Popovskiy is assuming the position of Vice President, Chief Operating Officer. Mr. Vadim Savchenko is assuming the position of Vice President, Sales and Customer Service. Ms. Nataliya Bereza is assuming the position of Vice President, Human Resources.

“Given the transformation of MTS into an integrated telecommunications provider, it is necessary to alter our organizational structure to reflect the scale and scope of our fixed and mobile business in Russia. By assigning functional leadership to three critical areas – sales, marketing and operations – and compelling the heads of macro-regions to report directly to the CEO, we can sooner bring to market convergent products and services and ensure a greater efficiency in our operations. This will provide a better experience for our customers and lead to greater efficiency throughout the organization,” remarked Mr. Andrei Dubovskov, President and Chief Executive Officer of MTS.

Following the changes, the Company’s Management Board will now consist of:

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• Mr. Andrei Dubovskov, President and Chief Executive Officer;

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• Ms. Nataliya Bereza, Vice President, Human Resources;

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• Mr. Mikhail Gerchuk, Vice President, Marketing;

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• Dr. Michael Hecker, Vice President, Strategy and Corporate Development;

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• Mr. Ruslan Ibragimov, Vice President, Corporate and Legal Matters;

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• Mr. Alexey Kornya, Vice President and Chief Financial Officer;

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• Mr. Sergey Nikonov, Director, Administration;

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• Mr. Aleksander Popovskiy, Vice President, Chief Operating Officer;

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• Mr. Оleg Raspopov, Vice President and Head of Business Unit “MTS Foreign Subsidiaries”;

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• Mr. Vadim Savchenko, Vice President, Sales and Customer Service;

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• Mr. Valery Shorzhin, Director, Procurement;

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• Mr. Andrei Terebenin, acting Vice President, Corporate Communications;

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• Mr. Andrei Ushatskiy, Vice President, Chief Technology Officer;

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• Mr. Frederic Vanoosthuyze, Vice President, Information Technology

Press Release via Mobile TeleSystems