OREANDA-NEWS. November 16, 2011. “VimpelCom Ltd” (“VimpelCom”, “Company” or “Group”) (NYSE: VIP), a leading global provider of telecommunications services, today announced highlights from its inaugural Analyst and Investor Day, titled “Global Scope, Local Excellence”, which was held on November 15, 2011.

Jo Lunder, Chief Executive Officer of VimpelCom, hosted the event and commented:

“At our first Analyst and Investor Day yesterday in Amsterdam, our leadership team outlined the strategy of the Group and the Business Units. Our philosophy is based on the idea that all business is local and starts with our 200 million customers. Our global operations are managed by some of the most experienced people in the industry with deep knowledge of their local markets. At the Group level, we are a lean organization focused on value creation through portfolio strategy, financial structure, optimizing return on capital and shared services such as roaming and procurement. When taken together, VimpelCom offers a truly unique combination of mature, strong cash-generating companies and solid emerging growth opportunities in many regions.”

During the event, VimpelCom’s leadership provided a detailed strategy for the execution of its Value Agenda 2012-2014 at the Group level, as well as within each Business Unit. This Value Agenda, which is focused on increasing Net Cash from Operating Activities, has three key pillars:

• Profitable Growth – driving revenue growth that leads to profitability by focusing on higher value customers, speed of data access as a differentiating factor, and achieving smarter mobile data monetization;
• Operational Excellence – focusing on cost efficiency programs, as well as increased focus on customer retention; and
• Capital Efficiency – reducing capex to revenues over time by deploying capital more efficiently through centralized procurement management and synergies from the Wind Telecom merger. In addition, several initiatives were announced to reduce working capital, reduce the effective tax rate and reduce costs of funding.

The Company’s financial and operational strengths were also discussed in detail at the event, including intiatives to drive the following financial performance objectives from 2012 to 2014:

• Capex / Revenue (excluding licenses) below 15% by end of 2014;
• Net Debt / EBITDA below 2 by end of 2014;
• Operational excellence program in Russia to deliver at least RUR 5 billion in savings in 2012.

The Company also confirmed its intention to make dividend payments of at least USD 0.80 per common share per annum between 2011 and 2013.

Mr. Lunder concluded:

“In a broader telecom market VimpelCom’s footprint, which covers over 860 million people, offers stronger growth in voice and significantly higher growth in mobile and fixed data, compared to the average telecom universe today. We will continue focusing on unleashing value for shareholders going forward.”