On 31 October 2006, the Federal Service for Financial Markets (FSFR of the RF) registered the fourth issue of documentary interest bearer bonds of OAO North West Telecom. The issue was assigned state registration number 4-04-00119-A. Statutory prospectus was registered simultaneously with the state registration of the bond issue.

The registered bond loan ofJSC North West Telecom amounts to 2,000,000,000 (two billion) roubles. The period of bond circulation will be five years with an option to call on the 728th day from the date of placement, at the discretion of the Company. In the event of an early call, the premium amounts to 20 roubles per bond.

Placement price per bond is set equal to the nominal value and amounts to 1,000 (one thousand) roubles per bond. The first coupon interest rate will be determined at the auction on the day of placement. The rate for other coupons will be equal to the interest rate for the first coupon. The coupon period will amount to 91 days.

Similarly to the previous issues, a stage-by-stage retirement of bonds is envisaged within the following timeframe:

• on day 1092 from the placement date each bond is retired in part, to 25% of the nominal value;
• on day 1456 from the placement date each bond is retired in part, to 25% of the nominal value;
• on day 1820 from the placement date each bond is retired in part, to 50% of the nominal value.

A pre-emptive right to buy securities is not envisaged.

The bonds will be placed by open subscription.

Information from the registered Decision to Issue Securities and the registered Statutory Prospectus will be put up on the corporate website of JSC NWT (www.nwtelecom.ru). Copies of the documents will be available at:

JSC North West Telecom

14/26 Gorokhovaya ul. (26 Bolshaya Morskaya ul.), St Petersburg

Tel.: (812) 719-92-35. Fax: (812) 719-94-94

JSC ACB Svyaz-Bank

7 Tverskaya ul., Moscow

Tel.: (495) 771-32-60. Fax: (495) 975-24-66

The financial adviser of JSC NWT in the bond issue project is ZAO Russian Industrial Bank. Joint managing banks are ING BANK (EURASIA) ZAO and OAO ACB Svyaz Bank.