OREANDA-NEWS. Sibirtelecom OJSC (RTS: ENCO/ENCOP, ENCOG/ENCOPG; MICEX: STKM/STKMP, ADR: OTC – SBTLY, Frankfurt and Berlin Stock Exchanges - ISIN: US8257351036, WKN: 260452), the operator of telecommunications services in the Siberian Federal District, presents its unaudited results for the year 2006 prepared in accordance with the Russian Accounting Standards (RAS).

Revenues of Sibirtelecom OJSC (“Company”) without subsidiaries for the year 2006 amounted to 23,084.6 million rubles, increased by 1,177.9 million rubles or 5.4% against the year 2005.

Operating income totalled 3,551.7 million roubles, having increased by 528.1 million roubles, or 17.5%. The operating margin is 15.4%. Income before taxation increased by 723.3 million roubles or 57.1% and amounted to 1,989.9 million roubles due to positive dynamics of profitability for common activities, receiving of revenues from participation in other organizations, increase of other operating revenues.

Net income totalled 1,362.8 million roubles, having increased by 92.9% against the year 2005 due to increase of income before taxation and decrease of estimated income tax rate4 by 12.7 pct.

The Company’s capital investments in 2006 amounted to 5.74 billion rubles, having decreased by 6.7% against the year 2005.