Moscow, December, 3 2004. CenterTelecom General Director Ruben Amaryan and the head of Lipetsk region authorities Oleg Korolev signed a cooperation agreement in the field of infocom development in Lipetsk region.

The objective of the agreement is the development of the measures aimed at the creation of conditions and mechanisms that better meet the demand for communication services in the region, solution of social problems in the sphere of telecoms, creation of a modern infrastructure that provides for application of information technologies in the activities of the governments, businesses and the life of the society as well as IT education of the youth and improvement of quality of life in Lipetsk and the region.

Within the framework of the agreement CenterTelecom will finalize the construction of the regional digital transport network linking all cities and district centers of the region, increase the level of telephone density in the region, and provide Internet access in all schools, orphanages and boarding schools. In addition, the company will provide the farmers and local businesses with access to modern IT technologies, which allows boosting organization efficiency, production management and agricultural products sales.

CenterTelecom is a leading fixed communications company providing the entire range of telecommunication services in the Central Federal District where over 20 % of the population of Russia resides. CenterTelecom offers the full range of telecommunication services, including telephony service, the Internet, IP telephony, data communications, CATV, wired and VHF broadcasting. The company actively develops modern multiservice and SDH networks as well as new radio access systems. The Company trades on RTS (ESMO, ESMOP), Moscow Interbank Currency Exchange (CTEL, CTELP) and has ADR Level 1 common stock program (CRMUY).

Lipetsk region authorities, in turn, believe that infocom development in the region is a priority area, provides a perfect match for the realization of programs and projects in the sphere of IT and communications and regards CenterTelecom as the regional integrator to solve infocom development issues. The regional governments will also promote capital raising activities to improve the operation of telecommunication networks and participate in the realization of socially significant projects of infocom development.