Comstar UTS Shares Admitted for Trading on MSE.

MOSCOW -- Sistema (LSE:SSA), the largest private sector consumer services company in Russia and the CIS, announced today that the ordinary shares of Comstar United TeleSystems, its fixed-line telecommunications provider subsidiary, were admitted to the Moscow Stock Exchange (MSE) under the symbol CMST and will start trading tomorrow, September 22.

The admission to trading comes after the Russian Federal Service for Financial Markets registered the share prospectus of Comstar UTS, which recently changed its legal status of closed joint stock company ZAO Comstar to open joint stock company OAO Comstar UTS.

Sistema is the largest private sector consumer services company in Russia and the CIS, with over 50 million customers. Sistema develops and manages market-leading businesses in selected service-based industries, including telecommunications, technology, insurance, banking, real estate, retail and media. Founded in 1993, the company reported revenues of US$ 5.7 billion for the full year 2004, and total assets of US$ 8.8 billion as at December 31, 2004. Sistema's shares are listed under the symbol "SSA" on the London Stock Exchange, under the symbol "AFKS" on the Russian Trading System (RTS), and under the symbol "SIST" on the Moscow Stock Exchange (MSE).

Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Sistema. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might" the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to Sistema and its operations.