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JSFC Sistema (SSA)

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Thursday 29 May, 2008

JSFC Sistema

Sistema Increases Its Stake in Shyam Telelink

JSFC Sistema
                  

                  SISTEMA INCREASES ITS STAKE IN SHYAM TELELINK

Moscow, Russia - May 29, 2008 - Sistema (LSE: SSA), the largest public
diversified corporation in Russia and the CIS, which manages fast growing
companies operating in the consumer services sector, today announced that it has
increased its stake in Shyam Telelink Ltd. ('Shyam Telelink') from 51% to 72%.

As previously announced, Sistema acquired a 51% stake in Shyam Telelink on
January 18, 2008 and entered into a call option agreement at that time. The call
option agreement gave Sistema the right to increase its stake in Shyam Telelink
from 51% up to a maximum of 74% in approximately 16 months from today for a
purchase price based on the fair market value of the company at the time of such
additional purchase.

On May 23, 2008, Sistema signed an amendment to the call option agreement, which
gave Sistema the right to accelerate the purchase of an additional 21% stake in
Shyam Telelink.

In accordance with this amendment, Sistema has exercised a call option and
acquired the additional 21% stake in Shyam Telelink.

                                       ***

For further information, please visit www.sistema.com or contact:

-0-
*T
Sistema Investor Relations                Shared Value Limited
Laila Simanova                            Larisa Kogut-Millings
Tel: +7 495 730 66 00                     Tel: +44 (0) 20 7321 5037
ir@sistema.ru                             sistema@sharedvalue.net

Head of International Press Office
Kirill Semenov
Tel: +7 495 730 71 88
ksemenov@sistema.ru
*T

Sistema is the largest public diversified corporation in Russia and the CIS,
which manages fast growing companies operating in the consumer services sector
and has over 80 million customers. Sistema develops and manages market-leading
businesses in selected service-based industries, including telecommunications,
technology, banking, real estate, retail and media. Founded in 1993, the company
reported unaudited revenues of US$ 13.7 billion for the full year of 2007, and
total assets of US$ 28.4 billion as at December 31, 2007. Sistema's shares are
listed under the symbol 'SSA' on the London Stock Exchange, under the symbol
'AFKS' on the Russian Trading System (RTS), under the symbol 'AFKC' on the
Moscow Interbank Currency Exchange (MICEX), and under the symbol 'SIST' on the
Moscow Stock Exchange (MSE).

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 Sistema. You can identify forward looking statements by terms
such as 'expect,' 'believe,' 'anticipate,' 'estimate,' 'intend,' 'will,'
'could,' 'may' or 'might' 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 intend to
update these statements to reflect events and circumstances occurring after the
date hereof or to reflect the occurrence of unanticipated events. Many factors
could cause the actual results to differ materially from those contained in our
projections or forward-looking statements, including, among others, general
economic conditions, our competitive environment, risks associated with
operating in Russia, rapid technological and market change in our industries, as
well as many other risks specifically related to Sistema and its operations.

Information contained in this announcement does not constitute a public offer or
an advertisement of securities in Russia, is not an offer, or an invitation to
make offers, to purchase any securities in Russia. The reverse convertible
certificates have not been and will not be registered in Russia and are not
intended for 'placement' or 'public circulation' in Russia.