December 15, 2008 North-West Telecom completed dividend payments on preferred and ordinary shares of North-West Telecom JSC calculated by the results of the Company’s business in 2007.

The total amount of dividends paid on North-West Telecom shares was RUR 1,472,430,000 (13.03% of the Company’s net income for 2007), of which:

- RUR 931,954,000 on preferred shares,

- RUR 540,476,000 on ordinary shares.

The decision on the dividend payment and its volume was approved by the NWT General Annual Shareholders Meeting, which held on June 23, 2008 ( see press release of 24.06.08 ). The total sum allocated to dividend payments for 2007 was RUR 1,566,357,000. The dividend on the NWT shares was distributed as follows:

- RUR 1,000,726,000 (RUR 3.997 per share) on preferred shares;

- RUR 565,631,000 (RUR 0.642 per share) on ordinary shares.

As of December 15, RUR 93,927,000 remained outstanding. It is the dividend of shareholders who specified incorrect, incomplete, or expired data of their bank accounts or mail address in the dividend receipt form.