Branches

• In accordance with decision #297-с/2 of Russia’s Federal Tariff Service (FTS) dated November 28, 2008, CenterTelecom JSC raised tariffs for local telecommunications services for residential and corporate subscribers, amended tariffs for inter-zone telecommunications services and introduced new tariff plans based on combined payment scheme.

• Standard & Poor's Ratings Services affirmed “B+” long-term corporate credit rating and “ruA+” Russia national scale rating on CenterTelecom JSC. The outlook is Stable.

• On March 12, 2009 Expert RA Rating Agency confirmed the National Corporate Governance Rating for CenterTelecom JSC at 7+ according to the results of research conducted by the agency.

• CenterTelecom JSC effected payment in full of RUR5,848,416.25 under the fifth coupon of its series 5 interest-bearing documentary non-convertible bearer bonds.

• CenterTelecom JSC put into operation a multi-service telecommunications NGN network as a part of a program of reconstruction of its Moscow branch’s local telephone network.

• On March 13, 2009 the Board of Directors of CenterTelecom JSC approved the termination of powers of its Chairman Alexander Kiselev and elected Sergei Kuznetsov the company’s new Chairman of the Board of Directors.

• CenterTelecom JSC, working jointly with Rostelecom, has completed the construction of telecommunications infrastructure for Volkswagen Group Rus LLC in the Kaluga region. The work was conducted as part of a connection project by Deutsche Telekom for Volkswagen’s branch in Kaluga to its corporate network through the Russian division of T-Systems CIS. The completion of the project allowed Volkswagen Russian branch to conduct its operations in accordance with unified information standards on the basis of T-Systems BS IntraSelect MPLS (FlexSolution), an international network platform.

• On April 9, 2009 Fitch Ratings, the international rating agency, upgraded CenterTelecom’s ratings to Long-term Issuer Default (IDR) from ‘B’ to ‘B+’ (outlook ‘stable’), and National Long-Term from ‘BBB(rus)’ to ‘A(rus)’. Short-term IDR was affirmed at ‘B’.

• CenterTelecom JSC held a meeting of the bilateral commission about the results of the company’s Collective Agreement fulfillment for 2008. The meeting participants recognized the Collective Agreement for 2008 as fulfilled and approved a report on its fulfillment.

• CenterTelecom JSC took part in the 21^st International Telecommunications Forum Svyaz-Expocomm. During four days of the forum the company presented the wide range of the telecommunications services.

• The number of subscribers to DOMOLINK, CenterTelecom's broadband Internet access service, reached more than 820,000 people. The installed capacity for the company’s broadband access exceeds 1 million data ports. 

• On June 6, 2009 CenterTelecom JSC held the annual general meeting of its shareholders.

• CenterTelecom JSC and the Administration of the Lipetsk Region signed a cooperation agreement aimed at further development of telecommunications infrastructure and information technologies, support of economic development in the region, increased security and improved quality of life for inhabitants. The agreement was signed by Vaagn Martirosyan, General Director, CenterTelecom, and Oleg Korolev, Governor of Lipetsk region.

• CenterTelecom JSC increased tariffs for wired radio broadcasting, to take effect from July 1, 2009. The tariff for maintenance of the subscriber point of access (monthly subscriber fee) and the tariff for the provision of access to the wired radio network (single payment) for individual subscribers were increased by 38%, for corporate customers - 33%.

• Starting June 20, 2009 CenterTelecom JSC began providing broadband Internet access services through FTTx technology to the inhabitants of Ryazan.

• CenterTelecom JSC received a RUR3 billion revolving credit line from Globex Bank. According to the loan agreement concluded by CenterTelecom and Globex Bank the loan's term is three years; the interest rate amounts to 18% per annum. The loan will be spent for replenishment of the company's current assets.

• CenterTelecom JSC put into operation a 10G Metro Ethernet multi-service data transmission network in the Tver region. The company's network, built on the basis of СХ600 10G routers and S5000 10G switches by Huawei Technologies, links network infrastructure of Tver and other regional centers. 

• Igor Schegolev, the Minister of Telecoms and Mass Communications of the Russian Federation, visited the company's Tver branch in the course of his working visit to this region. The company demonstrated to the Minister the capabilities of a new multi-service network put in operation by CenterTelecom's Tver branch in June 2009.

• CenterTelecom JSC announced the memberships of a number of committees approved July 21, 2009 by the Board of Directors.

• The Board of Directors of CenterTelecom JSC appointed a new Management Board.

• The Board of Directors of CenterTelecom JSC re-appointed Vaagn Martirosyan the company's General Director on basis of recommendations by the Committee for HR and Remuneration of the Board of Directors. The Board also approved the terms of a labor contract which will be concluded with Mr. Martirosyan and determined the term of his tenure of employment – July 31, 2009 to July 30, 2011. The issue was considered by the Board of Directors in connection with expiry of powers of the company's general director on July 30.

 2008

• Since January 1, 2008, the new tariff plan for corporate customers using the flat fee payment system (where time-based local billing is technically possible) was introduced by Order # 178-c/2 dated August 28, 2007 issued by Federal Service for Tariffs of the Russian Federation. Tariffs for the provision of a telephone line and for local connection through a shared telephone line were set at a 50% level of equivalent tariffs established for customers with individual lines.

• The compensation adjustment to the price for local and zone call initiation services was canceled starting January 1, 2008. 

• CenterTelecom sold stakes in the charter capital of Optimum-Svyaz CJSC and Oskoltelecom CJSC.

• Starting February 1, 2008, a new tariff plan for corporate customers using combined payment system (where time-based local billing is technically possible) was approved by Order # 356-c/1 dated November 23, 2007 issued by Federal Service for Tariffs of the Russian Federation.

• CenterTelecom won additional tenders by the Federal Agency for Telecommunications for rights to provide universal telecommunications services through public pay telephones in the Ivanovo, Kaluga, Kostroma, Lipetsk, Moscow, Ryazan, Smolensk, Tambov, Tver, Tula and Yaroslavl regions.

• The Company held a tender for insurance of its electronic equipment and concluded a contract with ROSNO OJSC which won the tender. The insurance tariff rate was set at 0.149% per annum, and insurance coverage was RUR2.6 million.

• Starting March 1, 2008, payment for maintenance of a point of interconnect (POI) was canceled in accordance with Decree #776 issued by the Russian Government on November 11, 2007.

• CenterTelecom sold its stake in the charter capital of Teleservis OJSC. The decision on this was made previously by CenterTelecom’s Board of Directors.

• CenterTelecom and Sky Link CJSC signed a General Cooperation Agreement aimed at development and implementation of joint programs in Russia’s Central Federal District.

• On March 26, 2008, Moscow Arbitration Court ruled as groundless a tax claim based on the results of a scheduled field tax audit of CenterTelecom’s operations for the years 2004-2006 conducted by Interregional Office #7 of the Russian Federation Tax Administration.

• CenterTelecom's management approved the retention of flat fee payment for unlimited volumes through local telephone connections. The flat fee for individual subscribers in the Moscow region was established at RUR290, and for individual subscribers in other Central Federal District regions it was set at RUR250.

• CenterTelecom and SU-155 CJSC, one of Russia's biggest construction companies, signed an agreement aimed at organization of access to CenterTelecom's telecommunications services in SU-155's property units.

2007

• New tariff plans on the local telephone communication services of OJSC «CenterTelecom» came into force since February, 1. The tariffs were set pursuant to the Decision of the Federal Tariff Service of Russia.

• In March OJSC «CenterTelecom» for the first time participated in the International Exhibition of Information Technologies, Telecommunications and Office Equipment CeBIT-2007 held annually in Hannover, Germany.

• The Board of Directors of CenterTelecom considered and approved a resignation request from Sergei Pridantsev, the company’s General Director, and appointed Vaagn Martyrosyan as General Director of CenterTelecom from June 7, 2007.

• Standard & Poor’s Ratings Services raised its long-term corporate credit rating on CenterTelecom to «B+» from «B» (outlook: positive) and long-term Russia national scale rating to «ruA+» from «ruBBB+».

• Fitch Ratings upgraded Centertelecom’s Long-term Issuer Default Rating (“IDR”) to ‘B’ (outlook: positive) from ‘B-’ (B minus), and National Long-term rating to ‘BBB(rus)’ from ‘BB+(rus)’. Short-term IDR was affirmed at ‘B’. The rating of the series 05 bonds was also upgraded to ‘BBB(rus)’ from ‘BB+(rus)’ and its recovery rating was affirmed at ‘RR4’

• The Russian Institute of Directors and "Expert RA" Rating Agency (the "RID-Expert RA" Consortium) ranked CenterTelecom among the Russian leaders in corporate governance, with a score of "7+," which corresponds to good practice of corporate governance.

• CenterTelecom completed payment of dividends to holders of type A registered uncertified preferred shares in the amount of RUR0.3893300 per share. The total payment reached RUR190.272 million, or 92.9% of all dividends paid on CenterTelecom’s preferred shares (RUR204.785 million) for 2006.

• According to the annual research of transparency of Russia's major companies conducted by Standard & Poor's, CenterTelecom OJSC was ranked 22nd among 80 companies studied. According to the agency's experts, in 2006 CenterTelecom's general level of information openness reached 64%.

• In November 2007, CenterTelecom  celebrated the 5^th anniversary.

• The Company effected payment of dividend on nominal non-documentary common shares for 2006 in the amount of RUR0.1999621 per share. The total payment reached RUR295 million, or 93.49% of all dividends paid on CenterTelecom’s common shares (RUR315.5 million) for 2006.

• The Board of Directors of CenterTelecom terminated powers of R.A. Amaryan as the General Director of the company

• The Board of Directors appointed S.V. Pridantsev to the position of the General Director of CenterTelecom, conducted some appointments to the key positions in the Company 

• The Company terminated its participation in the authorized capital of CJSC "Smolenskaya Cellular Communication", CJSC "Belgorodskaya Cellular Communication" and CJSC "Lipetsk Mobile" by company shares sale

• "RID" and "Expert RA" confirmed the national rating of corporate management of CenterTelecom at "A" class level

• CenterTelecom occupied the 59^th place in the list of the largest companies of Eastern Europe published by "The Financial Times"

• Fitch Ratings confirmed the long-term credit rating of CenterTelecom in foreign currency and upgraded rating outlook from "Negative" to "Stable. The Short-term credit rating in foreign currency was approved at the level "B". The national rating of the Company was increased from "BB(rus)" to BB+(rus)" (the outlook: "Stable")

• CenterTelecom terminated participation in the subsidiary Limited Liability Company "VladPage" by the reason of its liquidation

• FSFM of Russia registered the issue and the offering circular of interest-bearing documentary non-convertible bonds issued to bearer, series 05, of CenterTelecom

• Standard&Poors declared assigning of "ruBBB-" rating according to the national scale to the proposed issue of priority unsecured bonds in the amount of 3.0 billion rubles  (111 million US dollars) of CenterTelecom (B-/Stable-ruBBB-). Rating assigned to the bonds issue corresponds with the national scale rating of CenterTelecom

• The Company completed placing of ordinary registered non-documentary shares and A-type preference registered non-documentary shares

• The FSFM of Russia passed resolution to permit negotiation of 623 312 699 ordinary registered non-documentary shares of CenterTelecom outside the Russian Federation; the said shares equal to 39.5% of the total number of ordinary shares of the Company

• CenterTelecom completed acquisition of 100% shareholding in CJSC "CenterTelecomService of Moscow District"

• Fitch Ratings assigned National Rating "BB(rus)" ("Stable" outlook) to CenterTelecom. Fitch also assigned ratings "BB(rus)" ("Stable" outlook) to national issues of bonds by CenterTelecom for 600 mln roubls, 2 billion rubles  and 5 622 595 000 rubles  with the due dates of redemption in 2005, 2006 and 2009 accordingly

• According to "RID" and "Expert RA" National Corporate Management Ratings based on the results of 2004, CenterTelecom preserved the right to be described as a "company with high level of corporate management"

• OJSC "Russian Telecommunication Network", a subsidiary of CenterTelecom, being an owner of ROSNET (POCHET) trademark, received a conformity certificate of the quality management system to requirements as fixed in GOST R ISO 9001-2001

• Trading in ordinary registered and A-type preference shares of CenterTelecom at OJSC "Stock Exchange RTS" and the Classic Market NP "Stock Exchange RTS" and MICEX Stock Exchange were recommenced

• Standard&Poor's confirmed corporate management rating (hereinafter CMR) of CenterTelecom at the level CMR-4 according to the international scale. Provided that CMR of the Company under the Russian scale was increased from CMR-4.8 to CMR-4.9

• ADR of the first level of CenterTelecom began to be listed at the Frankfurt and Berlin stock exchanges 

• The Company paid dividends on the preference shares for 2004

• The Company completed reorganization of its subsidiaries - OJSC "AEROCOM" and CJSC "CenterTelecomService of Moscow District" (CJSC "CTCS MD"), by merging them into OJSC "Russian Telecommunication Network" (OJSC RTS)

• Standard&Poor's increased the long-term credit rating of CenterTelecom from "CCC+" to "B-"; rating outlook - "Stable". Provided that the credit rating of the Company under the national scale, as well as the rating of priority unsecured debt was increased from "ruBB+" to "ruBBB-" 

• Ruben Amaryan, the General Director of CenterTelecom was included into rating "TOP-1000 of the most professional managers of Russia" prepared by Russian Managers Association for the sixth time

• CenterTelecom took the fifth place among the largest companies of the communication industry, and the first place among the operators of fixed communication of Russia as valued by the aggregate amount of realization of services according to the version of "Expert-RA" rating agency 

• Survey over Communications and Informatization Department of Ministry for Communications and Informatization of the Russian Federation included CenterTelecom into the register of operators occupying essential position in the public communication network 

• CenterTelecom acquired 100% of shares of the largest Tver telephone communication operator CJSC "ATS"

2004

• CenterTelecom acquired 100% share holding of telecommunication operator "Russian Telecommunication Network", operating on the Russian telecommunication market under ROSNET trademark

• The Company’s Board of Directors approved the Corporate Governance Code of OJSC «CenterTelecom». The draft Code underwent the examinations of the leading organizations specialized in upgrading of corporate governance, - Russian Institute of Directors, Independent Directors Association and International Finance Corporation and received their appreciation

• During the road show in London management of CenterTelecom conducted a number of meetings with representatives of largest investment funds and management companies

   
• «Russian Institute of Directors» and «Expert-RA» assigned «А» class Corporate Governance Rating to the Company – “company with high level of corporate governance”

• Standard&Poor’s Governance Service upgraded Corporate Governance Score (CGS) of OJSC "CenterTelecom" from CGS-5.3 to CGS-5.8 due to the number of positive changes in the Company’s corporate governance

• The Company’s Board of Directors in order to improve its corporate governance, and bodies and officials compliance with the procedure requirements, which guarantee implementation of the Company’s shareholders rights and legal interests, decided to approve the Regulations on Corporate Secretary and Corporate Secretary Staff of OJSC "CenterTelecom"

• Ruben Amaryan, General Director of OJSC "CenterTelecom", held the Ceremony of the 6-millionth subscriber memorable certificate presentation

• During August 17-31, 2004 series 4 documentary interest-bearing non-convertible bonds, the total amount - 5 622 595 000 rubles, were placed

• According to the public irrevocable offer, CenterTelecom redeemed 1 284 820 bonds of series 03 at the 101.5% of the face value, the total amount - 1 304 092 300 rubles, which had been fully sold at the same price during the period starting with September 17 to October 12 of 2004

• According to the results of Standard&Poor's "Russian Companies Information Transparency Research 2004", OJSC «CenterTelecom» took place among top ten companies

• According to the “Expert-RA” rating agency, CenterTelecom took the fifth place in the services sales amount among the largest telecommunication companies

• International rating agency Fitch Ratings assigned to OJSC «CenterTelecom» International Long-term Unsecured Credit Score in foreign currency 'B-', outlook "Negative" and Short-term Credit Score in foreign currency 'B'

• Federal Financial Markets Service of Russia conducted state registration of the issues of ordinary and preference shares A type with the face value of 3.0 rubles each, placed through conversion of the earlier floated shares of the same category (type) with the face value of 0.3 rubles each

2003

• All issues of the united company OJSC CenterTelecom shares started to trade

• At the joint extraordinary general meeting of shareholders it was decided to elect the General Director, the Board of Directors and the Audit Commission of the Company

• Rating agency Standard&Poor’s assigned to the Company a Corporate Governance Score (CGS) of 5.3

• Standard&Poor's upgraded the long-term credit rating of the Russian telecom operator OJSC CenterTelecom from ССС to ССС+. Outlook: Stable

• The first regional telephone directory "Yellow pages–Moscow region 2003" meeting the international standards was presented to the public

• Vladimir branch of CenterTelecom launched a regional fiber-optic SDH transport network with transmission rate of 622 Mbps

• Standard&Poor's assigned to CenterTelecom a Russian scale long-term credit rating ruBB+ . At the same time Standard&Poor's assigned ruВВ+ to unsubordinated unsecured bond issues of the Company

• The third bond issue totaling RUR2 billion was successfully placed in September

• CenterTelecom for the first time issued audited consolidated financial statements according to the International Financial Reporting Standards (IFRS)

• Russian Federal Commission for Securities Market merged additional issues of the Company securities, resulting in a common single registration number

• Book-entry interest-bearing series 01 bearer bonds matured and were repaid

• CenterTelecom was granted a permit by the Ministry of Communications for network operations using the new 498 area code. The code provides numbering capacity of 8 million subscriber numbers

• Extraordinary general meeting of CenterTelecom’s shareholders approved reorganization of the Company by merging into it 16 telecommunication companies of the Russian Central Federal District

• Russian Ministry for Antimonopoly Policies and Support of Entrepreneurship (MAP) granted a request to agree on the reorganization of the telecommunication companies of the Central Russia

• RUR600 million issue of documentary interest bearing bearer bonds 02 series with a par value of RUR1,000 was successfully placed 

• Federal Commission for Securities Markets (FCSM) registered an additional issue of CenterTelecom’s shares and bonds to be placed by the way of converting into them securities of the merging companies

• Major step in joining the 16 telecom operators of the Central Russia to CenterTelecom was completed in November. The reorganization of the Company was legally finalized

• In December Moscow subsidiary of the Company brought into operation a broadband multiservice data network based on ATM technology, using equipment manufactured by Lucent Technologies. In 25 cities the installed equipment enables offering of complete packages of advanced services