Sitronics Signs MTS DealsSitronics Signs MTS Deals

MOSCOW -- JSC SITRONICS ("SITRONICS" or "The Company")(LSE: SITR), a leading provider of telecommunications, IT andmicroelectronic solutions in Russia and the CIS, today announced that it hassigned three contracts totalling US$ 39 million to supply technologicalequipment and telecommunications solutions to MTS Ukraine, one of thelargest mobile operators in Ukraine.

SITRONICS Telecom Solutions Ukraine, a regional subsidiary of SITRONICSTelecom Solutions, will supply the radio-relay equipment produced byINTRACOM TELECOM, a subsidiary of SITRONICS, to establish and service 2,200radio-relay links in the MTS Ukraine network. The value of the contract isestimated at US$ 27 million.

SITRONICS will also provide and service for MTS Ukraine an Interactive CellBroadcast solution, which was created on the basis of Celltick's products.The technology of interactive transmission allows for the delivery of newinformation and entertainment services to the mobile phones of millions ofsubscribers. The value of the contract is estimated at US$ 5.7 million.

In addition, SITRONICS will deliver a Fraud Management system based on theECI Telecom's solutions, under a contract worth an estimated US$6.3 million.

Sergey Aslanyan, President and Chief Executive Officer of SITRONICS,commented: "The new contracts with MTS Ukraine, a subsidiary of the largestmobile operator in Russia and the CIS, prove the strong competitiveness andhigh quality of our products and solutions, and will assist in strengtheningthe cooperation between our companies."

JSC Sitronics (London: SITR)