"WARM" GIFT INTENDED TO PREVENT EMIGRATION FLOW FROM THE VILLAGES OF GEGARKUNIK MARZ

LRAGIR.AM
10:46:42 – 31/03/2009

VivaCell-MTS, a subsidiary of Mobile TeleSystems OJSC (NYSE: MBT),
today announces that works on the installation of key infrastructure
components for gas and drinking water supply in four villages of
Gegarkunik marz are now over, and the new infrastructure is completely
operational.

Based on the evaluation of needs in the area of regional infrastructure
and especially by taking into account the deterioration of key
infrastructure element such as gas and water supply in Gegharkunik,
a region that faces a lot of complex challenges while having limited
resources at hand, VivaCell-MTS has made a social investment in the
gasification and installation of pipelines for drinking water supply in
four rural communities of Gegharquniq region – Lanjaghbyur, Vardadzor,
Verin Getashen and Vaghashen.

The realization of the project for which VivaCell-MTS allocated AMD
30.5 million gives opportunity to make life easier and comfortable
in villages where emigrational employment has been the major activity
of the population.

"We hope that this infrastructural development project, under our
corporate responsibility agenda, will provide an opportunity to
these villages to create additional workplaces by developing local
manufacturing production, and that in the long-term will be able
to mitigate the problem of emigrational employment having been so
specific to this region. Thus we are trying to create stronger ties
between the villager and the soil", – mentioned General Manager of
VivaCell-MTS Ralph Yirikian.

These last infrastructure development projects realized in Gegharkunik
region include the following components: 377.5 m gas pipeline in
the village of Lanjaghbyur (AMD 3 mln); 674 meters-long gas pipeline
installed in the village of Vardadzor (AMD 5.5 mln); 820 meters long
drinking water infrastructure reconstruction in the village of Verin
Getashen (AMD 15 mln); 1010 meters-long drinking water infrastructure
reconstruction in the village of Vaghashem (AMD 7 mln), totaling to
AMD 30.5 mln.

Overall, during 2008, in the framework of CSR projects, VivaCell-MTS’
social investment in Gegarkunik region amounted to over AMD 170
million.