OREANDA-NEWS  On 11 December was announced, that OJSC VolgaTelecom reports on acquisition of 2 986 711 (Two million nine hundred eighty six thousand seven hundred eleven) bonds presented by the Bonds holders on the 3-rd business day of the 7-th coupon period; the Bonds were acquired on the terms of the Offer of BT-2 series Bonds.

Total par value of the Bonds acquired by the Issuer amounted to RUR 2 389 368 800 (Two billion three hundred eighty nine million three hundred sixty eight thousand eight hundred).

At the date of acquisition the accrued coupon yield accounted for RUR 1 702 425 (One million seven hundred two thousand four hundred twenty five) 27 kopeck. Total amount of the Issuer’s obligation inclusive of accrued coupon yield accounted for RUR 2 391 071 225 (Two billion three hundred ninety one million seventy one thousand two hundred twenty five) 27 kopeck.

The full text of communication on material fact “Data on the time of the issuer’s performance of obligations to securities owners” is posted on VolgaTelecom’s site at: www.vt.ru/12875.

VolgaTelecom’s inconvertible interest bearing certified BT-2 series bonds were floated on December 06, 2005 on MICEX by public offering. On January 11, 2006 Russia’s Federal Financial Markets Service (Russia’s FFMS) registered the report on the results of the issue of OJSC VolgaTelecom’s inconvertible interest bearing certified bearer bonds of BT-2 series (the issue state registration number: No 4 – 44 – 00137A).

Characteristics of BT-2 series bonds issue:

Inconvertible interest bearing certified bearer bonds subject to obligatory centralized custody of the par value of RUR 1 000 (One thousand). The quantity of the issue securities is 3 000 000 (Three million) bonds. The total value of the bonds issue is RUR 3 billion. The maturity of BT-2 series bonds is 5 years.

OJSC JSCB Svyaz-Bank is the issue lead arranger and managing underwriter.