Deutsche Telekom intends to sell 12 percent stake in MTS

Deutsche Telekom announces that it intends to sell an approximately 12 percent stake in Mobile TeleSystems OJSC (MTS) in the capital markets by way of an accelerated bookbuild to be launched today. Currently Deutsche Telekom holds 25.1 percent in MTS.

UBS Investment Bank and Citigroup have been appointed joint bookrunners for the sale.

This press release is not a public offer or advertisement of securities in the Russian Federation, and is not an offer, or an invitation to make offers, to purchase any securities in the Russian Federation.

These written materials and the information contained herein are not an offer of securities for sale in the United States or to U.S. persons, or in any other jurisdiction. The Securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended. The securities may not be offered or sold in the United States or to U.S. persons absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended.

To be released outside the United States. Not for distribution in the United States, Australia, Canada or Japan. The information contained herein does not constitute an offer of securities for sale in Australia, Canada or Japan.

This document is only being distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) order 2001 (the "Order") or (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2) of the Order (all such persons together being referred to as "relevant persons"). The Shares are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such Shares will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.