MTS Changes Terms of Sberbank Loans

10 December 2013

Moscow, Russian Federation – Mobile TeleSystems OJSC (“MTS” or "the Company" – NYSE: MBT), the leading telecommunications provider in Russia and the CIS, announces that it has amended terms of its credit agreements with Sberbank for two non-revolving lines of credit in the amount of RUB 80 billion. According to the new terms, the tenor of the credit agreements has been increased from December 2017 until March 2020, while the annual interest rate on both lines has been lowered from 8.50% to 8.45%.

The agreements with Sberbank on the two non-revolving lines of credit amounting to RUB 60 billion and RUB 40 billion were originally signed in December 2010. The credit facility in the amount of RUB 60 billion was utilized for refinancing of the outstanding loans from Sberbank. The credit line for RUB 40 billion was used for financing the roll-out of MTS’s 3G networks in 2011. In 2011, MTS decreased the interest rate on both lines from 8.95% to 8.50% and increased the tenor until December 2017. In July 2013, MTS repaid RUB 20 billion of the RUB 40 billion credit facility.

Alexey Kornya, MTS Vice President and Chief Financial Officer, commented, “MTS continues to deliver on the strategy of optimizing its debt portfolio. Our success in amending the terms of financing to more favorable ones reflects on the stability of MTS’s financial standing and the strength of our relationship with Sberbank, which has continuously demonstrated its long-term support of MTS.”

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For further information, please contact in Moscow:

Joshua B. Tulgan
Director, Corporate Finance & Investor Relations
Mobile TeleSystems OJSC
Tel: +7 495 223 2025

Learn more about MTS. Visit the official blog of the Investor Relations Department at

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Mobile TeleSystems OJSC ("MTS") is the leading telecommunications group in Russia, Eastern Europe and Central Asia, offering mobile and fixed voice, broadband, pay TV as well as content and entertainment services in one of the world's fastest growing regions. Including its subsidiaries, the Group services over 100 million mobile subscribers in Russia, Ukraine, Turkmenistan, Armenia and Belarus, a region that boasts a total population of more than 230 million. Since June 2000, MTS' Level 3 ADRs have been listed on the New York Stock Exchange (ticker symbol MBT). Additional information about the MTS Group can be found at

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Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of MTS, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify forward looking statements by terms such as “expect,” “believe,” “anticipate,” “estimate,” “intend,” “will,” “could,” “may” or “might,” and the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not undertake or intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. We refer you to the documents MTS files from time to time with the U.S. Securities and Exchange Commission, specifically the Company’s most recent Form 20-F. These documents contain and identify important factors, including those contained in the section captioned “Risk Factors” that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, the severity and duration of current economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices and the value of financial assets; the impact of Russian, U.S. and other foreign government programs to restore liquidity and stimulate national and global economies, our ability to maintain our current credit rating and the impact on our funding costs and competitive position if we do not do so, strategic actions, including acquisitions and dispositions and our success in integrating acquired businesses, potential fluctuations in quarterly results, our competitive environment, dependence on new service development and tariff structures, rapid technological and market change, acquisition strategy, risks associated with telecommunications infrastructure, governmental regulation of the telecommunications industries and other risks associated with operating in Russia and the CIS, volatility of stock price, financial risk management and future growth subject to risks.

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Contact investor relations:

+ 7 495 223 20 25

MTS Investor Relations
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