News

SITRONICS WINS US$ 5 MILLION CONTRACT IN MALAYSIA

MOSCOW, Russia – December 23, 2009 – JSC SITRONICS (SITRONICS or the “Group”) (LSE: SITR), a leading provider of telecommunications, information technology and microelectronic solutions in Russia and the CIS, with a growing presence in other EEMEA emerging markets, today announced that its INTRACOM TELECOM division has won a USD$ 5 mln contract to supply Point-to-Multipoint (WiBAS) equipment to Maxis Berhad, which is Malaysia’s largest mobile communications operator with 11.7 million subscribers as at the end of September.

INTRACOM TELECOM is supplying its next generation broadband wireless Point-to-Multipoint WiBAS system, enabling Maxis Berhad to effectively backhaul 2G and 3G traffic and provide broadband wireless access services in and around Kuala Lumpur in Malaysia. The project is expected to be completed within Q1 2010.

Maxis Berhad has selected WiBAS in order to rapidly replace its existing Point-to-Point microwave infrastructure and profit from the technological and financial benefits of the new solution. WiBAS is optimised for concurrently backhauling 2G and 3G traffic in urban environments while at the same time enabling mobile operators to realize significant cost savings through the most efficient utilisation of the Point-to-Multipoint network architecture, combined with the highest capacity available in the market today, while ensuring quality of service for voice and broadband mobile applications.

Maxis’ installation of WiBAS is part of its current extensive investment in new sites, network and tools modernization and transmission upgrades aimed to drive future growth in advanced data services. As the company expands coverage and introduces new value-added services and products, it will continue to form strategic partnerships which deliver leading non-voice solutions and enrich customer experience across the entire spectrum of integrated communications. Its innovative track record and multiple awards testify to its strong position while moving forward with providing long-term shareholder value.

INTRACOM TELECOM has been innovating in the wireless access and transmission field for over 15 years, having successfully developed and deployed Point-to-Point and Point-to-Multipoint systems with numerous operators in Europe, the Middle East, America, Asia and the CIS. The company has strategically focused and is investing heavily on the continuous evolution of its wireless product lines. In the growing shift to broadband, IP-based converged networks, INTRACOM TELECOM is incorporating the latest standards and state-of-the-art technologies in order to deliver cost-effective wireless solutions that address the new requirements of its customers.

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For further information, please visit www.sitronics.com or contact:

SITRONICS is a leading provider of telecommunication solutions, including software, equipment and systems integration, IT solutions and microelectronic solutions in Russia and the Commonwealth of Independent States with a strong presence in Central and Eastern Europe and a growing presence in the Middle East and Africa.

SITRONICS serves over 3,500 clients, maintains offices in 32 countries and exports its products and services to more than 60 countries.

SITRONICS’ key Telecommunication Solutions operations are based in Prague, Czech Republic and Athens, Greece, while the company’s IT Solutions and Microelectronics divisions are based in Kiev, Ukraine and Zelenograd, Russia respectively.

SITRONICS generated revenues of US$ 625.4 million for the nine months ended September 30, 2009 and had total assets of US$ 1,736.9million at the end of the period. SITRONICS is majority owned by Sistema, the largest public diversified corporation in Russia and the CIS, which manages fast growing companies operating in the consumer services sector.

INTRACOM TELECOM is a leading developer and producer of telecommunication systems, as well as provider of integrated solutions and professional services to fixed and mobile operators in the EEMEA region. Over 100 customers in more than 50 countries choose INTRACOM TELECOM for its state-of-the-art products and solutions. INTRACOM TELECOM has 2,500 employees, operates subsidiaries in 16 countries and is amongst the largest European companies leading in R&D investments. Since June 2006, INTRACOM TELECOM has been controlled by JSC SITRONICS (Russia) with 51%. JSC SITRONICS is the technology subsidiary of JSFC SISTEMA, the largest consumer services company in Central and Eastern Europe. INTRACOM HOLDINGS Group (Greece) retains a 49% stake.

Maxis Berhad is the leading mobile communications service provider in Malaysia with over 11.7 million mobile subscribers as at 30 September 2009. Maxis Communications Berhad has been providing a full suite of communication services on multiple platforms to satisfy the needs of individual consumers, small and medium enterprises, and large corporations in Malaysia. The Company recently listed its shares on Bursa Malaysia in the largest telecommunication IPO in the Asia-Pacific region since 2000. Please visit www.maxis.com.my for more information.

Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of SITRONICS. You can identify forward-looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might" the negative of such terms or other expressions. These statements are only predictions and actual events or results may differ materially. We do not intend to or undertake any obligation to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, and other factors specifically related to SITRONICS and its operations.