-- 61% year-on-year increase in net operating revenues --
-- 73% year-on-year increase in net income --
-- 75% year-on-year increase in OIBDA --
-- approximately 18.3 million subscribers --
-- commercial operations in 70 regions of Russia --

Moscow and New York (August 26, 2004) - Open Joint Stock Company "Vimpel-Communications" ("VimpelCom" or the "Company") (NYSE: VIP), a leading provider of wireless telecommunications services in Russia, today announced its financial and operating results for the quarter and six months ended June 30, 2004. During the second quarter, the Company reported rapid subscriber growth in the regions and increases in net operating revenues, OIBDA and net income. Consolidated financial statements of VimpelCom and consolidated financial statements of VimpelCom-Region, VimpelCom's subsidiary for regional development, are attached.

Commenting on today's announcement, Alexander Izosimov, Chief Executive Officer of VimpelCom, said, "We are pleased with the Company's performance in the second quarter. We added approximately 3 million new subscribers, our largest quarterly increase in new subscribers in the Company's history. We launched five new networks in the regions and gained access to operations in three regions in the Far East through an acquisition. In addition, our financial results continue to strengthen, with our OIBDA margin reaching a new high of 49.8%." Mr. Izosimov continued: "We are pleased to see progress with the supply of numbering capacity and we look forward to continued strong growth, particularly in the Russian regions."

Key Financial and Operating Indicators

(Definitions as well as reconciliation of each of OIBDA,
OIBDA margin, ARPU and SAC to its most directly comparable U.S. GAAP
financial measures are presented below in the attachment)

	Three months ended			Six months ended
	June 30, 2004	June 30, 2003	Change Y-on-Y (%)	June 30, 2004	June 30, 2003	Change Y-on-Y (%)
Net operating revenues (US$,000)	490,901	304,440	61.2%	908,598	548,877	65.5%
OIBDA (US$,000) (1)	244,694	139,929	74.9%	446,719	247,865	80.2%
OIBDA margin (2)	49.8%	46.0%	-	49.2%	45.2%	-
Gross margin (US$,000) (3)	406,217	249,022	63.1%	748,358	445,592	67.9%
Gross margin percentage (4)	82.7%	81.8%	-	82.4%	81.2%	-
Net income (US$,000)	90,955	52,647	72.8%	167,086	94,034	77.7%
Net income per share (US$)	2.26	1.38	63.8%	4.16	2.47	68.4%
Net income per ADS (US$) (5)	1.70	1.04	63.5%	3.12	1.85	68.6%
ARPU (US$) (6)	10.8	14.3	-24.7%	10.8	13.9	-22.6%
MOU, revised definition (min) (7)	96.3	100.2	-3.9%	94.1	94.4	-0.4%
SAC (US$) (8)	14.1	21.1	-33.0%	15.3	21.0	-27.2%

Significant improvements in VimpelCom's financial and operating results in the second quarter of 2004, as compared with the second quarter of 2003, were achieved largely as a result of rapid subscriber growth combined with the effects of economies of scale, efficient cost control and lower acquisition costs per subscriber in the regions outside of Moscow.

The Company's financial results include the activities in the Moscow license area and in the regions. Net operating revenues, excluding inter-company transactions, for Moscow stand-alone and the regions in the second quarter of 2004 were $289.1 million and $201.8 million, respectively. Net income for Moscow stand-alone and in the regions in the second quarter of 2004 was $68.9 million and $43.0 million, respectively.

Selling, general and administrative ("SG&A") expenses, as a percentage of net operating revenues, improved to 32.3% reported in the second quarter of 2004 as compared with 35.1% in the second quarter of 2003. In part, it was caused by a temporary decrease in subscriber acquisition costs in Moscow in the second quarter of 2004 due to the transition from payments of a one-time dealer commission to payments of dealer commissions over six months.

VimpelCom's total capital expenditures for the second quarter of 2004 were approximately $272.4 million, spent for the purchase of long-lived assets. On June 30, 2004, VimpelCom acquired approximately 93.5% of the outstanding shares of Dal Telecom International for a total purchase price of approximately US$74.1 million. Dal Telecom International, which operates in three regions in the Russian Far East, has short-term debt of approximately US$8.0 million.

As previously disclosed, in January 2004, VimpelCom adopted a new depreciation policy. Based on periodic internal studies of the useful economic lives of the Company's property and equipment, the Company changed the estimated useful life of GSM telecommunications equipment from 9.5 to 7 years. This new policy was largely responsible for the increase to $62.7 million in depreciation reported for the second quarter of 2004 as compared to the $33.9 million reported for the same period in 2003. Depreciation expense did not increase significantly in the second quarter of 2004 as compared to the $57.3 million reported for the first quarter of 2004.

The Company's MOU in the second quarter of 2004 was 96.3 minutes, a decrease of approximately 3.9% compared to 100.2 minutes recorded in the second quarter of 2003. As compared with 91.4 minutes recorded for the first quarter of 2004, MOU increased by 5.3%, primarily due to seasonal effects. ARPU for the second quarter of 2004 was approximately $10.8, a 24.7% decrease from the $14.3 reported for the second quarter of 2003. The downward trend in ARPU is caused primarily by rapid regional expansion, which increases the proportion of lower ARPU regional subscribers in the network. A very competitive environment in some regions amplifies this trend by putting additional pressure on tariffs. As compared with the first quarter of 2004, these effects were offset primarily by the seasonal increase in MOU.

Key Subscriber Statistics

	As of June 30, 2004	As of June 30, 2003	Change, Y-on-Y (%)	As of March 31, 2004	Change Q-on-Q (%)
Moscow license area	6,183,400	4,428,800	39.6%	6,042,300	2.3%
Contract	843,900	763,200	10.6%	826,800	2.1%
Prepaid	5,339,500	3,665,600	45.7%	5,215,500	2.4%
Regions (predominantly prepaid subscribers)	10,120,500	3,004,800	236.8%	7,329,200	38.1%
Total Number of Subscribers	16,303,900	7,433,600	119.3%	13,371,500	21.9%
Churn (quarterly)	9.4%	10.5%	-	8.6%	-

The Company reported a record subscriber growth in the second quarter of 2004 due to the acceleration in subscriber growth in the regions, the launch of new networks in five regions and the acquisition of Dal Telecom International, a cellular operator in three regions of the Russian Far East. The acquisition was closed on June 30, 2004, as a result of which VimpelCom obtained approximately 322,000 additional subscribers as of the date of acquisition. VimpelCom's subscriber growth in the second quarter of 2004 was negatively affected by the shortage of numbering capacity, particularly in Moscow. As previously disclosed, VimpelCom was granted additional numbering capacity in August both for Moscow and the regions.

Using independent sources to estimate the number of subscribers of the Company's competitors, VimpelCom estimates its market share in Russia at 32.9% at the end of the second quarter of 2004, compared to 30.0% estimated at the end of the second quarter of 2003. VimpelCom's market share in the Moscow license area was 46.0% at the end of the second quarter of 2004, compared to the Company's estimated market share of 48.8% reported at the end of the second quarter of 2003.

The Company's quarterly churn rate in the second quarter of 2004 was 9.4%, compared to the Company's churn rate of 10.5% reported for the same period in 2003. An increase in churn rate as compared with the 8.6% churn rate reported for the first quarter of 2004 was primarily due to the shortage of numbering capacity which forced the Company to temporarily reduce the termination period for inactive subscribers. This resulted in approximately 200,000 additional disconnects, which increased the second quarter churn rate by approximately 1.4%.

The Company's management will discuss its second quarter 2004 results during a conference call and slide presentation on August 26, 2004 at 6:30 pm Moscow time (10:30 am EDT in New York). The call and slide presentation may be accessed via webcast at the following URL address https://www.vimpelcom.com. The conference call replay and the slide presentation webcast will be available through September 2, 2004 and September 27, 2004, respectively. The slide presentation will also be available for download on VimpelCom's website https://www.vimpelcom.com.

VimpelCom is a leading provider of telecommunications services in Russia, operating under the "Bee Line GSM" brand. The VimpelCom Group's license portfolio covers approximately 94% of Russia's population (136 million people), including the City of Moscow, the Moscow Region and the City of St. Petersburg. VimpelCom was the first Russian company to list its shares on the New York Stock Exchange ("NYSE"). VimpelCom's ADSs are listed on the NYSE under the symbol "VIP".

This press release contains "forward-looking statements", as the phrase is defined in Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements relate to the Company's development plans. These and other forward-looking statements are based on management's best assessment of the Company's strategic and financial position and of future market conditions and trends. These discussions involve risks and uncertainties. The actual outcome may differ materially from these statements as a result of unforeseen developments from competition, governmental regulation of the wireless telecommunications industry, general political uncertainties in Russia and general economic developments in Russia, the Company's ability to continue to grow its overall subscriber base, continued volatility in the world economy and other factors. As a result of such risks and uncertainties, there can be no assurance that the effects of competition or current or future changes in the political, economic and social environment or current or future regulation of the Russian telecommunications industry will not have a material adverse effect on the VimpelCom Group. Certain factors that could cause actual results to differ materially from those discussed in any forward-looking statements include the risks described in the Company's Annual Report on Form 20-F for the year ended December 31, 2003 and other public filings made by the Company with the United States Securities and Exchange Commission, which risk factors are incorporated herein by reference. VimpelCom disclaims any obligation to update developments of these risk factors or to announce publicly any revision to any of the forward-looking statements contained in this release, or to make corrections to reflect future events or developments.

For more information, please contact:

Valery Goldin VimpelCom (Moscow) Tel: 7(095) 974-5888 vgoldin@vimpelcom.com

Christopher Mittendorf Edelman Financial Worldwide Tel: 1(212) 704-8134 christopher.mittendorf@edelman.com

- Definitions and Tables attached-

Definitions

1. OIBDA is a non-U.S. GAAP financial measure. OIBDA, previously referred to as EBITDA by the Company, is defined as operating income before depreciation, amortization and one-time write-down of AMPS/D-AMPS related assets in the Samara region of $7,354 thousand in the second quarter of 2004. The Company believes that OIBDA provides useful information to investors because it is an indicator of the strength and performance of our business operations, including our ability to finance capital expenditures, acquisitions and other investments and our ability to incur and service debt. While depreciation, amortization and one-time write-down of AMPS/D-AMPS related assets in the Samara region of $7,354 thousand in the second quarter of 2004, are considered operating costs under U.S. GAAP, these expenses primarily represent the non-cash current period allocation of costs associated with long-lived assets acquired or constructed in prior periods. Our OIBDA calculations are commonly used as bases for some investors, analysts and credit rating agencies to evaluate and compare the periodic and future operating performance and value of companies within the wireless telecommunications industry. OIBDA should not be considered in isolation as an alternative to net income, operating income or any other measure of performance under U.S. GAAP. OIBDA does not include our need to replace our capital equipment over time. Reconciliation of OIBDA to operating income, the most directly comparable U.S. GAAP financial measure, is presented below in the tables section.
2. OIBDA margin is OIBDA expressed as a percentage of total operating revenues. Reconciliation of OIBDA margin to operating income as a percentage of total operating revenues, the most directly comparable U.S. GAAP financial measure, is presented below in the tables section.
3. Gross margin is defined as total operating revenues less service costs and cost of handsets and accessories sold.
4. Gross margin percentage is gross margin expressed as a percentage of total operating revenues.
5. Each ADS represents 0.75 of one share of common stock.
6. Monthly ARPU (Monthly Average Revenue per User), a non-U.S. GAAP financial measure, is calculated for each month in the relevant period by dividing the Company's service revenue during that month, including roaming revenue, but excluding revenue from connection fees, sales of handsets and accessories and other non-service revenue, by the average number of the Company's subscribers during the month. Reconciliation of ARPU to service revenues and connection fees, the most directly comparable U.S. GAAP financial measure, is presented below in the tables section. The Company believes that ARPU provides useful information to investors because it is an indicator of the performance of the Company's business operations and assists management in budgeting. The Company also believes that ARPU provides management with useful information concerning usage and acceptance of the Company's services. ARPU should not be viewed in isolation or an alternative to other figures reported under U.S. GAAP.
7. MOU (Monthly Average Minutes of Use per User) is calculated for each month of the relevant period by dividing the total number of minutes of usage for incoming and outgoing calls during that month (excluding guest roamers) by the average number of subscribers during the month.
8. SAC (Average Acquisition Cost Per User), a non-U.S. GAAP financial measure, is calculated as dealers' commissions, advertising expenses and handset subsidies for the relevant period divided by the number of new subscribers added during the relevant period. Reconciliation of SAC to selling, general and administrative expenses, the most directly comparable U.S. GAAP financial measure, is presented below in the tables section. The Company believes that SAC provides useful information to investors because it is an indicator of the performance of the Company's business operations and assists management in budgeting. The Company also believes that SAC assists management in quantifying the incremental costs to acquire a new subscriber. SAC should not be viewed in isolation or as an alternative to other figures reported under U.S. GAAP.

Open Joint Stock Company "Vimpel-Communications"
Unaudited Condensed Consolidated Statements of Income

		Three months ended June 30,		Six months ended June 30,
		2004	2003	2004	2003
		(In thousands of US dollars , except per share (ADS) amounts)
Operating revenues:
	Service revenues and connection fees	US$472,808	US$290,426	US$873,711	US$520,525
	Sales of handsets and accessories	17,507	12,956	33,281	26,382
	Other revenues	586	1,058	1,606	1,970
Total operating revenues		490,901	304,440	908,598	548,877
Operating expenses:
	Service costs	69,327	42,774	131,692	79,934
	Cost of handsets and accessories sold	15,357	12,644	28,548	23,351
	Selling, general and administrative expenses	158,537	106,721	296,550	192,031
	Depreciation	62,743	33,914	120,080	65,592
	Amortization	9,513	8,738	18,656	16,110
	Impairment of long-lived assets	7,354	0	7,354	0
	Provision for doubtful accounts	2,986	2,372	5,089	5,696
Total operating expenses		325,817	207,163	607,969	382,714
Operating income		165,084	97,277	300,629	166,163
Other income and expenses:
	Other income	534	90	888	664
	Other expenses	(898)	(950)	(1,301)	(1,382)
	Interest income	362	2,278	1,863	4,276
	Interest expense	(12,904)	(17,961)	(26,760)	(33,997)
	Net foreign exchange gain (loss)	861	(1,286)	2,532	41
Total other income and expenses		(12,045)	(17,829)	(22,778)	(30,398)
Income before income taxes and minority interest		153,039	79,448	277,851	135,765
Income taxes expense		44,040	23,129	80,739	38,041
Minority interest in net earnings of subsidiaries		18,044	3,672	30,026	3,690
Net income		US$90,955	US$52,647	US$167,086	US$94,034
Net income per common share		US$2.26	US$1.38	US$4.16	US$2.47
Net income per ADS equivalent		US$1.70	US$1.04	US$3.12	US$1.85
Weighted average common shares outstanding (thousands)		40,178	38,079	40,175	38,076

Open Joint Stock Company "Vimpel-Communications" Unaudited Condensed Consolidated Balance Sheets
		June 30, 2004	December 31, 2003
		(In thousands of US dollars)
Assets
Current assets:
	Cash and cash equivalents	US$243,553	US$157,611
	Trade accounts receivable	108,375	113,092
	Other current assets	290,580	255,540
Total current assets		642,508	526,243
Non-current assets:
	Property and equipment, net	1,720,740	1,460,542
	Telecommunication licenses and allocation of frequencies, net	130,963	103,817
	Other intangible assets, net	106,614	59,369
	Other assets	213,151	152,261
Total non-current assets		2,171,468	1,775,989
Total assets		US$ 2,813,976	US$ 2,302,232
Liabilities and shareholders' equity
Current liabilities:
	Accounts payable	200,128	158,467
	Due to related parties	6,330	8,603
	Customer advances and deposits	209,749	181,475
	Deferred revenue	2,626	2,701
	Ruble denominated bonds payable, current portion	34,450	101,852
	Bank loans, current portion	288,211	35,343
	Capital lease obligation, current portion	6,879	6,587
	Equipment financing obligations, current portion	53,697	70,935
	Accrued liabilities	68,738	127,689
Total current liabilities		870,808	693,652
Deferred income taxes		71,810	34,380
Bank loans, less current portion		442,084	330,112
Capital lease obligation, less current portion		6,974	9,154
Ruble denominated bonds payable, less current portion		14,382	-
Accrued liabilities, less current portion		5,214	4,046
Equipment financing obligations, less current portion		23,949	53,008
Minority Interest		211,395	179,664
Shareholders' equity		1,167,360	998,216
Total liabilities and shareholders' equity		US$2,813,976	US$2,302,232
Open Joint Stock Company "Vimpel-Communications" Unaudited Condensed Consolidated Statements of Cash Flows
		Six months ended June 30,
		2004	2003
		(In thousands of US dollars)
Net cash provided by operating activities		US$ 298,657	US$ 196,614
Proceeds from bank and other loans		382,325	121,732
Proceeds from issuance of ruble denominated bonds		5,200	97,119
Payments of fees in respect of bank loans		(7,216)	-
Payments of fees in respect of debt issue		(2,500)	(1,815)
Repayment of rouble denominated bonds		(59,764)	-
Repayment of bank and other loans		(25,668)	(57,545)
Repayment of equipment financing obligations		(43,126)	(149,384)
Repayment of lease obligations		(260)	(661)
Net cash provided by financing activities		248,991	9,446
Purchase of property and equipment		(334,895)	(221,754)
Purchase of StavTeleSot stock, net of cash acquired of US$658		-	(38,143)
Purchase of DalTelecom stock, net of cash acquired of US$382		(73,689)	-
Purchase of intangible assets		(15,219)	(12,387)
Purchase of other assets		(38,890)	(14,420)
Net cash used in investing activities		(462,693)	(286,704)
Effect of exchange rate changes on cash		987	5,477
Net increase (decrease) in cash		85,942	(75,167)
Cash and cash equivalents at beginning of period		157,611	263,657
Cash and cash equivalents at end of period		US$243,553	US$188,490
Supplemental cash flow information
Non-cash activities:
	Equipment acquired under financing and capital lease agreements	US$1,659	US$68,053
	Accounts payable for equipment and other long-lived assets	77,004	25,587
	Accrued debt and equity offering costs	1,230	249
	Operating activities financed by sale of treasury stock	1,268	1,777
Acquisitions:
	Fair value of assets acquired	86,655	66,634
	Difference between the amount paid and the fair value of net assets acquired	17,401	(4,699)
	Cash paid for the capital stock	(74,071)	(38,801)
	Liabilities assumed	US$29,985	US$23,134

Reconciliation of VimpelCom OIBDA to operating income (Unaudited)
(In thousands of US dollars)

	Three months ended
	June 30, 2004	March 31, 2004	June 30, 2003
OIBDA	244,694	202,025	139,929
Impairment loss	(7,354)	-	-
Depreciation	(62,743)	(57,337)	(33,914)
Amortization	(9,513)	(9,143)	(8,738)
Operating income	165,084	135,545	97,277

Reconciliation of VimpelCom OIBDA margin to operating income as percentage of net operating revenues
(Unaudited)

	Three months ended
	June 30, 2004	March 31, 2004	June 30, 2003
OIBDA margin	49.8%	48.4%	46.0%
Less: Impairment loss	(1.5%)	0%	0%
Less: Depreciation as percentage of net operating revenues	(12.8%)	(13.7%)	(11.1%)
Less: Amortization as percentage of net operating revenues	(1.9%)	(2.2%)	(2.9%)
Operating income as percentage of net operating revenues	33.6%	32.5%	32.0%

Reconciliation of SAC to selling, general and administrative expenses(Unaudited)
(In thousands of US dollars, except for SAC and subscriber amounts)

	Three months ended
	June 30, 2004	March 31, 2004	June 30, 2003
Selling, general and administrative expenses	158,537	138,013	106,721
Less: General and administrative expenses	102,247	87,865	65,474
Sales and marketing expenses, including	56,290	50,148	41,247
advertising & marketing expenses	16,468	13,245	13,518
dealers' commission expense	39,822	36,903	27,729
New gross subscribers,'000	3,987	2,979	1,959
Subscriber Acquisition Cost (SAC) (US$)	14.1	16.8	21.1

Reconciliation of ARPU to service revenue and connection fees (Unaudited)
(In thousands of US dollars, except for ARPU and subscriber amounts)

	Three months ended
	June 30, 2004	March 31, 2004	June 30, 2003
Service revenue and connection fees	US$472,808	US$400,903	US$290,426
Less: Connection fees	151	185	379
Less: Revenue from rent of fiber-optic channels	304	549	278
Service revenue used to calculate ARPU	472,353	400,169	289,769
Average number of subscribers,'000	14,625	12,318	6,754
Average revenue per subscriber per month (US$)	10.8	10.8	14.3

Reconciliation of VimpelCom OIBDA to operating income (Unaudited)
(In thousands of US dollars)

	Six months ended
	June 30, 2004	June 30, 2003
OIBDA	446,719	247,865
Impairment loss	(7,354)	-
Depreciation	(120,080)	(65,592)
Amortization	(18,656)	(16,110)
Operating income	300,629	166,163

Reconciliation of VimpelCom OIBDA margin to operating income as percentage of net operating revenues
(Unaudited)

	Six months ended
	June 30, 2004	June 30, 2003
OIBDA margin	49.2%	45.2%
Less: Impairment loss	(0.8%)	0%
Less: Depreciation as percentage of net operating revenues	(13.2%)	(12.0%)
Less: Amortization as percentage of net operating revenues	(2.1%)	(2.9%)
Operating income as percentage of net operating revenues	33.1%	30.3%

Reconciliation of SAC to selling, general and administrative expenses (Unaudited)
(In thousands of US dollars, except for SAC and subscriber amounts)

	Six months ended
	June 30, 2004	June 30, 2003
Selling, general and administrative expenses	296,550	192,031
Less: General and administrative expenses	190,112	122,117
Sales and marketing expenses, including	106,438	69,914
advertising & marketing expenses	29,713	22,963
dealers' commission expense	76,725	46,951
New gross subscribers,'000	6,967	3,333
Subscriber Acquisition Cost (SAC) (US$)	15.3	21.0

Reconciliation of ARPU to service revenue and connection fees (Unaudited)
(In thousands of US dollars, except for ARPU and subscriber amounts)

	Six months ended
	June 30, 2004	June 30, 2003
Service revenue and connection fees	US$873,711	US$520,525
Less: Connection fees	336	716
Less: Revenue from rent of fiber-optic channels	853	649
Service revenue used to calculate ARPU	872,522	519,160
Average number of subscribers,'000	13,471	6,207
Average revenue per subscriber per month (US$)	10.8	13.9

Open Joint Stock Company "VimpelCom-Region"
Unaudited Condensed Consolidated Statements of Income

		Three months ended June 30,
		2004	2003
		(In thousands of US dollars, except per share (ADS) amounts)
Operating revenues:
	Service revenues and connection fees	209,344	83,212
	Sales of handsets and accessories	8,643	7,700
	Other revenues	574	892
Total operating revenues		218,561	91,804
Operating expenses
	Service costs	38,915	17,665
	Cost of handsets and accessories sold	8,199	6,929
	Equipment lease	2,763	2,233
	Selling, general and administrative expenses	69,458	28,884
	Network maintenance	4,518	2,296
	Depreciation and amortization	26,222	14,161
	Provision for doubtful accounts	1,845	554
Total operating expenses		151,920	72,722
Operating income		66,641	19,082
Other income and expenses:
	Other income	(414)	(24)
	Other expenses	128	281
	Interest income	(219)	(239)
	Interest expense	5,414	5,925
	Net foreign exchange gain	(568)	(369)
Total other income and expenses		4,341	5,574
Income before income taxes and minority interest		62,300	13,508
Income taxes expense		16,764	4,573
Minority interest in net earnings of subsidiaries		59	286
Net income		45,477	8,649

*) Net income of VimpelCom-Region as a legal entity differs from the $42,960 million net income reported above in this press release for the regional segment for the second quarter of 2004. The difference is caused by the fact that the financial statements of BeeLine-Samara are included in the regions for segment reporting purposes, but are not included in the consolidated financial statements of VimpelCom-Region. BeeLine-Samara operates in the Samara region but, for historical reasons, is owned directly by VimpelCom. The following table provides reconciliation between these figures (all numbers are in thousands of US$):

	Three months ended June 30, 2004
Net income of VimpelCom-Region	45,477
Net income of BeeLine-Samara	(5,033)
Net effect of transactions between VimpelCom-Region and BeeLine-Samara	2,516
Net income of VimpelCom's regional segment	42,960

Operating revenue of VimpelCom-Region as a legal entity differs from the $201,760 million operating revenues for the regional segment excluding inter-company transactions, reported above in this press release for the second quarter of 2004. The following table provides reconciliation between these figures (all numbers are in thousands of US$):

	Three months ended June 30, 2004
Operating revenue of VimpelCom-Region	218,561
Operating revenue of BeeLine-Samara	8,114
Net effect of transactions between VimpelCom-Region and BeeLine-Samara	(4,321)
Operating revenue of VimpelCom's regional segment	222,354
Inter-company operating revenue of VimpelCom-Region and BeeLine-Samara	(20,594)
Regional segment operating revenue excluding inter-company transactions	201,760

Open Joint Stock Company "VimpelCom-Region" Unaudited Condensed Consolidated Balance Sheets
		June 30, 2004	December 31, 2003
		(In thousands of US dollars)
Assets
Current assets:
	Cash and cash equivalents	US$32,801	US$42,729
	Trade accounts receivable	13,513	22,726
	Other current assets	176,729	137,529
Total current assets		223,043	202,984
Non-current assets:
	Property and equipment, net	827,930	624,306
	Telecommunication licenses and allocation of frequencies, net	77,427	87,175
	Other intangible assets, net	30,759	20,383
	Other assets	108,653	62,995
Total non-current assets		1,044,769	794,859
Total assets		US$1,267,812	US$997,843
Liabilities and shareholders' equity
Current liabilities:
	Accounts payable	US$108,400	US$73,345
	Due to related parties	122,054	71,420
	Customer advances and deposits	72,282	41,916
	Deferred revenue	1,125	713
	Rouble denominated bonds payable, current portion	34,450	101,852
	Bank loans, current portion	16,111	4,710
	Capital lease obligation, current portion	-	-
	Equipment financing obligations, current portion	10,164	17,078
	Accrued liabilities	15,951	16,076
Total current liabilities		380,537	327,110
Deferred income taxes		21,019	24,713
Bank loans, less current portion		88,401	66,500
Long-term loans due to VimpelCom		295,435	176,231
Equipment financing obligations, less current portion		6,594	16,097
Rouble denominated bonds payable, less current portion		14,382	-
Accrued liabilities		3,263	2,718
Minority Interest		481	350
Shareholders' equity		457,700	384,124
Total liabilities and shareholders' equity		US$1,267,812	US$997,843
Open Joint Stock Company "VimpelCom-Region" Unaudited Condensed Consolidated Statements of Cash Flows
		Six months ended June 30,
		2004	2003
		(In thousands of US dollars)
Net cash provided by operating activities		US$ 173,076	US$ 32,836
Proceeds from bank and other loans		34,081	99,144
Proceeds from loans from VimpelCom		119,144	54,243
Proceeds from issuance of rouble denominated bonds		5,200	97,119
Repayment of issuance of rouble denominated bonds		(59,764)	-
Payment of fees in respect of bank loans		(6,956)	-
Repayment of bank and other loans		(887)	(34,488)
Repayment of equipment financing obligations		(15,522)	(120,259)
Repayment of capital lease obligations		-	(119)
Net cash provided by financing activities		75,296	95,640
Purchase of property and equipment		(215,348)	(103,951)
Purchase of StavTeleSot stock, net of cash acquired of US$658		-	(38,143)
Purchase of intangible assets		(12,805)	(8,944)
Purchase of other assets		(30,714)	(3,058)
Net cash used in investing activities		(258,867)	(154,096)
Effect of exchange rate changes on cash		567	1,557
Net decrease in cash		(9,928)	(24,063)
Cash and cash equivalents at beginning of year		42,729	52,703
Cash and cash equivalents at end of year		US$32,801	US$28,640

Reconciliation of VimpelCom-Region OIBDA to operating income (Unaudited)
(In thousands of US dollars)

	Three months ended
	June 30, 2004	March 31, 2004	June 30, 2003
OIBDA	92,863	69,923	33,243
Depreciation	(19,616)	(18,194)	(8,524)
Amortization	(6,606)	(6,166)	(5,637)
Operating income	66,641	45,563	19,082

Reconciliation of VimpelCom-Region OIBDA margin to operating income as percentage of net operating revenues (Unaudited)

	Three months ended
	June 30, 2004	March 31, 2004	June 30, 2003
OIBDA margin	42.5%	40.1%	36.2%
Less: Depreciation as percentage of net operating revenues	(9.0%)	(10.4%)	(9.3%)
Less: Amortization as percentage of net operating revenues	(3.0%)	(3.5%)	(6.1%)
Operating income as percentage of net operating revenues	30.5%	26.2%	20.8%

Reconciliation of VimpelCom-Region OIBDA to operating income
(Unaudited)
(In thousands of US dollars)

	Six months ended
	June 30, 2004	June 30, 2003
OIBDA	162,786	48,633
Depreciation	(37,810)	(15,284)
Amortization	(12,772)	(10,187)
Operating income	112,204	23,162

Reconciliation of VimpelCom-Region OIBDA margin to operating income as percentage of net operating revenues (Unaudited)

	Six months ended
	June 30, 2004	June 30, 2003
OIBDA margin	41.4%	31.0%
Less: Depreciation as percentage of net operating revenues	(9.6%)	(9.7%)
Less: Amortization as percentage of net operating revenues	(3.3%)	(6.5%)
Operating income as percentage of net operating revenues	28.5%	14.8%