Moscow, Russia – June 28, 2010 – “COMSTAR – United TeleSystems” JSC (“Comstar” or “the Group”) (LSE: CMST), the largest integrated telecommunications provider in Moscow and 82 Russian cities, announces that an Extraordinary General Meeting (“EGM”) of Comstar Shareholders will be held on December 23, 2010, with votes cast remotely via proxy. The record date for participation in the EGM has been set as November 3, 2010.

The agenda for the EGM is as follows:

Approval of the reorganization of Comstar through the statutory merger (“prisoedinenie” under Russian law) of Comstar – United TeleSystems JSC with Mobile TeleSystems OJSC (“MTS” – NYSE: MBT); approval of the agreement for the statutory merger of COMSTAR – United TeleSystems JSC, CJSC Operator Svyazi, CJSC Kapital, CJSC United TeleSystems, CJSC Mobile TeleSystems and CJSC Comstar-Direct with MTS; approval of the agreement for the statutory merger and the transfer act; approval of the procedure to inform the registering authority regarding the initiation of the statutory merger process and approval of the procedure for the publication of information regarding the statutory merger in mass media that publish information on the national registration of legal entities.

The last date for receipt of proxy voting forms for the EGM has been set as December 23, 2010. Proxy voting forms should be submitted to The Company Secretary, 127051, Moscow, Petrovsky boulevard, 12/3, Russia.

The Comstar Board of Directors has also proposed that the EGM approve Reestr OJSC as the Company registrar and Ballot Counter for the Meeting.