Moscow and New York (April 16, 2008) — Open Joint Stock Company "Vimpel-Communications" ("VimpelCom" or the "Company") (NYSE: VIP), today announced that its Board of Directors (the “Board”) set the date for the Company’s 2008 Annual General Meeting of Shareholders based on 2007 results (the “Shareholders Meeting”) for June 9, 2008.
The Board also recommended that the Shareholders Meeting approve annual dividends of RUR 270.01 per ordinary share of VimpelCom stock (or approximately US$0.58 per American Depositary Share (“ADS”) based on the Russian Central Bank exchange rate as of April 16, 2008) for the 2007 fiscal year, amounting to a total of RUR 13.8 billion (or approximately US$ 588 million based on the Russian Central Bank exchange rate as of April 16, 2008), to be payable within 60 days of the approval at the Shareholders Meeting. The record date for the Company’s shareholders entitled to participate in the Shareholders Meeting and to receive dividends for 2007 has been set for April 30, 2008. The approval of the shareholders owning more than 50% of the voting shares represented at the Shareholders Meeting is required for the payment of dividends by VimpelCom. If the dividends are approved by the requisite majority at the Shareholders Meeting, VimpelCom will, in accordance with Russian tax legislation, withhold a tax of up to 15% on the dividend amount when payable. The exact amount of the withholding will vary depending on the recipient’s legal status and jurisdiction.
Further details on the agenda and other issues related to the Shareholders Meeting will be made available through an official notice to be distributed by VimpelCom to its shareholders prior to the Shareholders Meeting.
The VimpelCom Group is a telecommunications operator, providing voice and data services, covered through a range of wireless, fixed and broadband technologies. The Group includes companies operating in Russia, Kazakhstan, Ukraine, Uzbekistan, Tajikistan, Georgia and Armenia, in territories with a total population of about 250 million. VimpelCom was the first Russian company to list its shares on the New York Stock Exchange ("NYSE"). VimpelCom's ADSs are listed on the NYSE under the symbol "VIP"
This press release contains "forward-looking statements”, as the phrase is defined in Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements relate to the proposed payment of dividends. There can be no assurance that the dividends will be approved by the requisite majority at the Shareholders Meeting. Certain additional factors that could cause actual results to differ materially from those discussed in any forward-looking statements include the risks described in the Company’s Annual Report on Form 20-F for the year ended December 31, 2006 and other public filings made by the Company with the United States Securities and Exchange Commission, which risk factors are incorporated herein by reference. The Company disclaims any obligation to update developments of these risk factors or to announce publicly any revision to any of the forward-looking statements contained in this press release, or to make corrections to reflect future events or developments.
For more information, please contact:
Tel: 7 (495) 910-5977
Tel: 1 (212) 850-5600