Moscow, Russian Federation – Mobile TeleSystems OJSC (“MTS” or “the Company” – NYSE: MBT, MOEX: MTSS), the leading telecommunications provider in Russia and the CIS, announces the decisions announces the decisions reached at the Company’s Extraordinary General Meeting of Shareholders (the “EGM”) held on August 25, 2015.

At the meeting, the following resolution was adopted:

To approve the reorganization of MTS PJSC through the takeover of its subsidiaries COMSTAR-Regions CJSC, Penza-GSM JSC, SMARTS-Ivanovo JSC and SMARTS-UFA JSC.

Owners of MTS ordinary shares voting against this issue or those who abstain from voting will be eligible for a share repurchase at the price of RUB 200 per ordinary share. The price was set based on an appraisal conducted by 2K JS consultancy. Applications for share repurchase should be submitted by October 9, 2015. In accordance with the requirements of Russian law, which mandate that trading in and transactions involving shares of companies undergoing reorganization through the takeover of subsidiaries be suspended pending the registration of a company's reorganization with relevant tax authorities, the trading of MTS’s ordinary shares at the Moscow Exchange will be suspended upon filing of the documents with the tax authorities. The Company will separately announce the date of the suspension. The process of reorganization will in no way impact or restrict the trading of the Company’s American Depositary Receipts (ADRs) or shares listed on foreign exchanges. However, during this period, MTS’s depositary bank will not be able to issue or cancel ADRs on behalf of ADR holders.

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For further information, please contact in Moscow:
Joshua B. Tulgan
Director, Department of Corporate Finance and Investor Relations
Mobile TeleSystems OJSC
Tel: +7 495 223 2025
E-mail: ir@mts.ru