CenterTelecom (RTS: ESMO, ESMOP; OTC: CRMUY) informs that the placement of Series 04 certificated coupon unconvertible bearer bonds with the obligatory centralized custody in the amount of 7 000 000 (seven million) units with the nominal value of 1 000 (One thousand) rubles each begins on August 17, 2004
The total value of the issue: 7 000 000 000 rubles
Securities placement method: open bidding
Securities placement price or their valuation method: the s ecurities placement price on the first and subsequent days of the placement is established as equal to 100 (one hundred) percent of the Bonds par value (1 000 rubles for one Bond).
Beginning with the 2nd (Second) day of Bonds placement when selling or buying the Bonds, the buyer shall also pay the coupon accrued from the date of the placement start pursuant to Item 15 of the Decision to Issue Securities and Item 2.6. of Securities Prospectus.
The coupon: the rate of the first coupon is determined at the bidding that is held by the Moscow Interbank Currency Exchange on the date of bonds placement starts. The rates of coupons two through ten are determined as equal to the rate of the first coupon.
The start date of maturity: the start date of maturity is the 1830th (the one thousand eight hundred and thirtieth) day from the Bonds placement start date.
The ending date of maturity: the ending date of maturity is the same as the start date of maturity.
The issuer grants investors the right to put the Bond on the 821st day from the start date of Bonds placement at the price determined as the sum of two values:
1. 100% (Hundred percent) of the Bonds nominal value;
2. The Bond coupon income incurred by the Put Date in the order determined by the Decision to Issue Securities and the Securities Prospectus approved by CenterTelecom Board of Directors on April 28, 2004, Protocol ? 33 dated May 05, 2004.
The lead manager and issue underwriter: AKB ROSBANK
Co-managers and co-underwriters: Troika Dialog, AKB Soyuz, AKB Promsvyazbank, AKB Svyaz- Bank, KB GUTA-BANK
The information on the information memorandum of Series 04 bond issue is available in the Capital Market section of CenterTelecom web site.
CenterTelecom is the leading fixed telecommunications company that provides the entire range of telecommunication services in the Central Federal region where over 20% of the population of Russia resides.
CenterTelecom offers all kinds of telecommunication services, including telephone service, the Internet, IP telephony, data communications, CATV, wired and VHF radio 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 it also has ADR Level 1 common stock program (CRMUY).