OREANDA-NEWS. On June 28, 2007 JSC SITRONICS (“The Company”) (LSE: SITR), a leading provider of telecommunications, IT and microelectronic solutions in Russia and the CIS, with a growing presence in other EEMEA emerging markets, announced that its 100% owned subsidiary, Sitronics Finance S.A., has redeemed US$ 200 million of outstanding Eurobond Notes, as previously indicated, reported the press-centre of JSC SITRONICS.

Sitronics Finance S.A. redeemed the Notes, which had a coupon rate of 7,875% and were issued in March 2006, at a principal amount plus a premium (as defined in the Terms and Conditions to the Notes) and accrued and unpaid interest.

SITRONICS financed approximately US$ 100 million of the redeemed Eurobond Notes using its IPO proceeds. The remaining part of the Eurobond Notes is financed through a short-term bank financing.

Mr. Dmitry Ivanov, Chief Financial Officer and First Vice President for Finance and Investments of SITRONICS, commented: “The redemption of the Eurobond Notes is in line with our intention to refinance part of our US dollar denominated debt into local currency.”

Deutsche Trustee Company Limited was appointed as the Trustee for the Notes. The London Branch of Deutsche Bank AG acts as the Principal Paying and Transfer Agent.