Moscow, Russian - 15 February 2008 - Mobile TeleSystems OJSC ("MTS" - NYSE: MBT), the largest mobile phone operator in Russia and the CIS, today announced that it has acquired the remaining 9% stake in its subsidiary in Omsk.

In line with the Company's strategy of consolidating ownership in its subsidiaries, MTS has purchased an additional 9% stake in its Omsk subsidiary, Mobilnye Sistemy Svyazi (MSS), from a private investor, FRI-CONSULTING LIMITED, for $16 million. As a result of this transaction, MTS' ownership in the subsidiary increases to 100%.

Initially, the Company purchased a 51.0% stake in 2000 followed by acquisitions in 2001 and 2004 of additional 32.5% and 7.5% stakes respectively.

The subsidiary provides GSM 900/1800 services under the MTS brand and is one of the leading wireless service providers in the Omsk region with a population of 2.1 million, located in Central Siberia.