OREANDA-NEWS. On May 07, 2008 Southern Telecommunications Company (“UTK”) [(RTS: KUBN, KUBNP; МICEX: UTEL, UTELP; ADR OTC: STJSY, KUE FRA)], the principal fixed-line telecommunications provider for Russia’s Southern Federal District reported that the Board of Directors of the Company approved the agenda of the Annual General Shareholders Meeting to be held on June 17, 2008 (Minutes № 27), reported the press-centre of UTK.

The Board of Directors of Southern Telecommunications Company took a decision to include the following issues in the agenda of the Annual General Shareholders Meeting:

Approval of annual report, annual financial statements including profit and loss statement (profit and loss accounts) and distribution of profits (including dividend payment) and losses on the basis of the reported fiscal year 2007 financial results.

Election of the members to the Board of Directors of the Company.

Election of the members to the Auditing Commission of the Company.

Appointment of the Company’s Auditor for the year 2008.

Determination of the size of annual remuneration to be paid to the members of the Board of Directors of the Company.

Approval of the new version of the Charter of "Southern Telecommunications Company" PJSC.

Approval of the new version of the Statute on the Board of Directors of "Southern Telecommunications Company" PJSC.

Approval of the new version of the Provisions on the Auditing Commission of "Southern Telecommunications Company" PJSC.

The Board of Directors of "UTK" PJSC recommended to the Annual General Shareholders Meeting to take a decision to pay dividends for fiscal year 2007:

to allocate 425,648 thousand rubles to dividend payment, including:

0.187915 rubles on one preference share of Class A;

0.082069 rubles on one ordinary share;

1,401,163 thousand rubles to increase the Company’s own capital.

To determine the following procedure for payment of dividends to the persons included in the list of persons entitled to receive dividends, made up according to the data in the register of shareholders of the Company as of April 28, 2008:

transfer to bank accounts of shareholders;

postal order;

cash payment in the Company’s pay-offices (only to the Company’s employees).