OREANDA-NEWS. December 6, 2007. JSC SITRONICS (LSE: SITR), a leading provider of telecommunications, IT and microelectronic solutions in Russia and the CIS, with a growing presence in other EEMEA emerging markets, on December 4 announced that it would supply 3G equipment and services to Mobile TeleSystems ("MTS") networks in Russia and the CIS in joint partnership with Ericsson, the leading telecommunications equipment vendor. Ericsson will act as a prime contractor to MTS and SITRONICS will serve as Ericsson's subcontractor.

In accordance with the partnership agreement, Ericsson and SITRONICS will supply UMTS technology to MTS. Ericsson radio access, as well as switching and network management systems jointly provided by SITRONICS and Ericsson, will be used in the MTS networks. According to the terms of the agreement, both companies will be engaged in system integration, service support and additional development of subscriber services. The project is expected to be completed in the beginning of 2009.

Sergey Aslanyan, President and Chief Executive Officer of SITRONICS, commented: "We believe that the Russian telecommunications market is about to experience a drastic transformation as new technologies will change the way people communicate. Accuracy, high quality of service and user-oriented solutions are prerequisites for the success of network operators. We expect our partnership with Ericsson, the leading vendor of telecommunications solutions, to give MTS a significant competitive advantage in its markets."

Bjorn Hemstad, Head of Central and Eastern Europe, Middle East and Africa (CEMA) at Ericsson, added: "We are confident that our cooperation with SITRONICS, a trusted partner of international companies, will allow us to realize the full potential of information communication technologies for the benefit of all-communicating society."