Rostelecom’s Board Of Directors

Rostelecom (NYSE: ROS; RTS: RTKM), Russia’s national long-distance telecommunications operator, today announced that the Board of Directors met on April 15, 2003, to discuss matters related to the Annual General Shareholders’ Meeting.

The Board set the date for Rostelecom’s Annual General Shareholders Meeting (hereinafter — the AGM) as June 15, 2003 to be held at the business-center “Five seas” (Moscow, Prospect Mira, All-Russian Fairs Center (VVC), pav. 38).

The Board of Directors also set the record date (the date when the list of shareholders entitled to participate in the AGM and to receive dividends for 2002 is composed) of April 28, 2003.

The Board will recommend the following annual dividends for 2002 to the AGM:

• RUR 1.27472 per preferred share. The total amount of dividends to be paid to preferred shareholders will be RUR 309.5 million or 10% of 2002 RAS net profit.
• RUR 0.54347 per ordinary share. The total amount of dividends to be paid to ordinary shareholders will be RUR 396 million or 12.8% of 2002 RAS net profit.
• The total amount of dividends for 2002 is expected to be RUR 705.6 million, compared to RUR 379.6 million for 2001, or 86% higher.

The payment schedule will be set by the Board of Directors and announced following the AGM.

Holders of the American Depositary Receipts will receive payment in accordance with the 1:6 ratio of ADR to ordinary shares. ADR holders will receive the dividend in US dollars through their usual financial intermediary.

For more details on the agenda and other issues related to the AGM as well as information on the dividend payment procedures and format, please visit the Corporate Governance section in the Investor Centre on Rostelecom’s website.