OREANDA-NEWS. On 20 June 2008 Southern Telecommunications Company (“UTK”), the largest fixed-line telecommunications provider for Russia’s Southern Federal District, reported that on 17th June 2008 the Company’s Annual General Shareholders Meeting was held in its principal office in Krasnodar.

The General Shareholders Meeting approved the Company’s 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.

The AGM adopted the decision to distribute the Company’s profit on the basis of the reported fiscal year 2007 financial results as follows:

- 425,648 thousand rubles to pay dividends, including:

  0.187915 rubles per one preference Class A share;

  0.082069 rubles per one ordinary share;

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

The annual General Shareholders Meeting elected a new membership of the Company’s Board of Directors, 11 directors in number. The following persons were elected to the UTK Board of Directors:

Alexander Vladimirovich Andreev

Boris Dmitrievich Antonyuk

Igor Vyacheslavovich Belikov

Natalia  Yurievna Belyakova

Valentina Fyodorovna Veremianina

Igor Konstantinovich Danilenko

Vladimir Borisovich Zhelonkin

Oleg Borisovich Zyuzin

Denis Viktorovich Kulikov

Stanislav Nikolaevich Panchenko

Evgeny Alexandrovich Chechelnitsky

The Auditing Commission of "UTK" PJSC was elected 5 persons in number. The following persons were elected to the UTK’s Auditing Commission:

Mikhail Vladimirovich Batmanov

Bogdan Ivanovich Golubitsky

Tatiana Yurievna Zubova

Sergey Ninelevich Kosarev

Oksana Valerievna Petrova

CJSC “KPMG” was appointed the Company’s external Auditor for the year 2008.

The shareholders determined the rates of deductions (percent) for calculation of the size of annual remuneration payable to the members of the Board of Directors elected at the General Shareholders Meeting.

The AGM took a decision to approve new versions of the Charter of "Southern Telecommunications Company" PJSC, Statute on the Board of Directors of "Southern Telecommunications Company" PJSC and the Provisions on the Auditing Commission of "Southern Telecommunications Company" PJSC.

The shareholder materials for the AGM of 17 June 2008 can be viewed in the section Investor Relations of the corporate website. Minutes of the annual General Shareholders Meeting will be placed in the same section of the corporate website at a stated time.