Moscow, Russia - March 17, 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 its subsidiary, OJSC Concern Radiotechnical and Informational Systems ("RTI Systems"), has completed the sale of 100% in CJSC Sahles to CJSC Saturn, a subsidiary of OPK Oboronprom, for a total cash consideration of US$ 190 million.

CJSC Sahles owns a 71.63% stake in OJSC Perm Motors Plant, as well as controlling stakes in other entities which constitute the Perm Motors Group ("PMG"). PMG comprises 18 companies specializing in military and civil aviation engine construction.

Alexander Goncharuk, President and Chief Executive Officer, commented: "According to the strategy approved by our Board of Directors, we are currently focusing on fast growing service sectors of the economy. Sistema considered its engine business as promising, but it was a non-core investment. Our decision to sell this business to OPK Oboronprom is also related to the creation of the state holding which will unify the defence and industrial companies."