OREANDA-NEWS. On 24 June 2008 Southern Telecommunications Company, the largest fixed-line telecommunications operator in the Southern Federal District of Russia, announced that the annual general shareholders meeting of STC was held in the company’s headquarters in the city of Krasnodar on June 17, 2008.

The annual general shareholders meeting approved the annual financial statement, the annual accountings reports, including the profit and loss statement (profit and loss accounts) of the company, the allocation of profit (including dividend payments) and the company’s losses incurred during the 2007 fiscal year.

The annual general shareholders meeting adopted a decision to allocate the company’s 2007 profit as follows:

- to pay out Rub 425,648,000 in dividends, including:

Rub 0. 187915 per share for category A preferred shares;

Rub 0.082069 per share on common shares;

- to raise the company’s equity capital to Rub 1,401,153,000.

A total of 11 new members were elected to the company’s new lineup of the board of directors. The composition of the board of directors of STC is as follows:

1.     Alexander Vladimirovich Andreev

2.     Boris Dmitrevich Antonyuk

3.     Igor Vyacheslavovivch Belikov

4.     Natalia Yurevna Belyakova

5.     Valentina Fedorovna Veremyanina

6.     Igor Konstantinovich Danilenko

7.     Vladimir Borisovich Zhelonkin

8.     Oleg Borisovich Zyuzin

9.     Denis Viktorovich Kupikov

10.  Stanislav Nikolaevich Panchenko

11.  Evgeny Alexandrovich Chechelnitsky

The following 5 member were elected to the Audit Committee:

1.     Mikhil Vladimirovich Batmanov

2.     Bogdan Ivanovich Golubitsky

3.     Tatyana Yurevna Zubova

4.     Sergey Ninelevich Kosarev

5.     Oxana Valerevna Petrova

KPMG was approved as the company’s external auditor for 2008.

The statutory provisions (percentages) were approved for deducting remuneration of the members of the board of directors of STC who were elected at the annual general shareholders meeting.

The new versions were approved of the STC Charter, the Statute on the Board of Directors of STC and the Statute on the Audit Committee of STC.

All the materials for STC’s annual general shareholders meeting held on June 17, 2008 can be viewed on the company website in the section “Investors and shareholders”.  Minutes of this annual general shareholders meeting will be posted in the same section according to the established procedure.