Comstar Triple Play and cable TV subscribers stable in 4Q09

MOSCOW, Russia — “COMSTAR – United TeleSystems” OJSC (“Comstar” or “the Group”) (LSE: CMST), a largest integrated telecommunications provider in Moscow and 82 Russian cities, today announced its unaudited consolidated US GAAP financial results for the fourth quarter and twelve months ended December 31, 2009.

Moscow (COMSTAR IPTV)

The number of triple-play subscribers in Moscow (voice, broadband internet & pay-TV) was stable quarter on quarter following successful marketing campaigns, and ARPU was up 6% quarter on quarter in ruble terms.

The Regions (STREAM-TV cable TV)

In addition to MGTS’s “last mile” access to 3.6 million households in Moscow, Comstar also has “last mile” access to 3.9 million households in cities outside Moscow, of which 59% are broadband-ready, 2.0 million are active pay-TV users and 378 thousand have broadband internet subscriptions.

Pay TV Subscribers (000s):

                            Q4     Q4   Y-o-Y     Q3   Q-o-Q
                          2009   2008  Growth   2009  Growth
                         -----  -----  ------  -----  ------
Triple Play (Moscow)       128    146   (13%)    128      0%
Cable TV (Regions)       1,996    153   1202%  1,957      2%
                         -----  -----  ------  -----  ------
  TOTAL                  2,124    300    609%  2,085      2%

More: Earnings Release