OREANDA-NEWS. On 22 August 2008 was announced, that the Board of Directors of CenterTelecom OJSC has discussed and approved a procedure for the establishment of the fifth, sixth, seventh, eighth, ninth and tenth coupon payments on its interest bearing documentary non-convertible bearer series 5 bonds (state registration #4-20-00194-А dated June 15, 2006).

The procedure approved is as follows:

The amount of the fifth coupon payment of the interest bearing documentary non-convertible bearer series 05 bonds subjected to mandatory centralized custody (state registration #4-20-00194-А dated June 15, 2006) is to be set and approved by Order of the General Director of CenterTelecom OJSC not later than August 21, 2008 based on current market conditions and other factors.

Amounts of the sixth, seventh, eighth, ninth and tenth coupon payments are to equal the amount of the fifth coupon.

Three million series 5 bonds with RUR1,000 nominal value each were placed by way of public offering on the MICEX Stock Exchange on Sept. 5, 2006. The placement price was established in accordance with issuing documents and reached 100% of nominal value. The interest rate on the first coupon was set at 8.09% per annum as a result of an auction held on the day of placement and approved by Order of the General Director of CenterTelecom. Interest rates for the second, third and fourth coupons were equal to the rate on the first coupon. Interest rates on remaining coupons were to be established by the issuer in accordance with Clause 9.3 of the Decision on Issuance of Securities and Clause 9.1.2. of the Securities Prospectus. The bonds are to be redeemed in the amount of 10% of the nominal value on the 1,274th day after the placement date (March 2, 2010), 20% of the nominal value on the 1,456th day after the placement date (Aug. 31, 2010), 30% of the nominal value on the 1,638th day after the placement date (March 1, 2011), and 40% of the nominal value on the 1,820th day after the placement date (Aug. 30, 2011). Investors are permitted to sell the bonds on Sept. 4, 2008 on condition of irrevocable public offer.