IR Blog

    

Last week we signed an agreement to create a mobile virtual network operator (MVNO) using MTS’ network with the X5 Retail Group N.V., Russia’s largest retailer in terms of sales. X5 will offer its customers special tariffs that they can subscribe to at the Perekrestok and Karusel stores in Moscow and the Moscow region. It is expected that the launch will take place by the end of summer 2010. This is the second project that MTS has concluded as part of its efforts to expand its distribution channels. Previously, in May 2009, MTS partnered with Auchan, one of the world’s largest food retailers, enabling the company to offer its A-Mobile tariff plan through its stores in Russia.

We are launching an instant money transfer service using our retail network to provide customers with the ability to make money transfers in Russia and abroad. This will allow us to expand our service portfolio, as well as to attract more customers to our retail stores.

Currently, customers can transfer money after paying a commission that amounts to 1.6% of the total amount for intra-Russia transfers and 2% for transfers to the CIS. In the near future, the service will expand outside of the CIS to include transfers to such countries as Bulgaria, Germany, Israel, Spain, Italy, Canada, China, Poland, Vietnam, the UK and the USA. Customers can make use of the service at all MTS-owned stores in Russia - the current list of locations is available on our Russian-language website.

Earlier this week MTS became the only Russian telecommunications company to obtain the ISO 9001:2008 certificate of conformity for its Quality Management System that covers all of our locations in Russia, Ukraine and Uzbekistan. The certification audit was conducted by SGS, the global leader in inspection, verification, testing and certification services.

 From left to right: Alexander Gamov – Director of the Quality Assurance Department at MTS, Peter Marriott – Vice-President of SGS SA, Konstantin Timoshechkin – Manager in charge of business development at SGS S.A. (Eastern Europe).

Here are the two MTS ads that are currently airing in Russia - one about the joint launch of Nokia N97 and the other touting summer roaming offers (click on "more" below to view the second one).

Check it out!

During the first week of June, MTS participated in the St. Petersburg International Economic Forum. At the Forum, MTS management hosted over 40 investors as part of Renaissance Capital 13th Annual Investor Conference, discussing Q1’2009 results, retail strategy and potential opportunities in the fixed broadband market.

MTS and Nokia sign partnership agreement. From left to right: Niels Nielsen, General Manager, Nokia Russia; Victor Saeijs, Vice-President, Sales, Eurasia, Nokia; Mikhail Shamolin, President and CEO, MTS.

We have recently signed a partnership agreement with FC Zenit St. Petersburg, one of the most successful football clubs in Russia. As the official partner of the club, MTS will provide Zenit with mobile communications services and will participate in various projects aimed at promoting the club.

Zenit has recently become one of the most recognized Russian sports brands, winning both the 2008 UEFA Cup and the 2008 UEFA Super Cup. We decided to become partners with Zenit due to its unique appeal in St. Petersburg and growing presence in the international football community.