Moscow – April 21, 2009 – Rostelecom (NYSE: ROS; RTS and MICEX: RTKM, RTKMP), Russia’s national telecommunications operator, today announced the decision of the Company’s Board of Directors to recommend the following annual dividends for 2008 to the Annual General Shareholders’ Meeting:

- RUB 2.9124 per preferred share. The total amount of dividends to be paid to holders of preferred shares will amount to RUB 707.2 million or 10.0% of the Company’s 2008 RAS net profit;

- RUB 1.9410 per ordinary share. The total amount of dividends to be paid to holders of ordinary shares will amount to RUB 1,414.4 million or 20.0% of the Company’s 2008 RAS net profit;

- The total amount of the proposed dividends for 2008 is RUB 2,121.6 million. The percentage of the Company’s net profit available for 2008 dividends will increase by 5.0% year on year and amount to 30%.

Holders of the American Depositary Receipts will receive payment in accordance with the 1:6 ratio of ADR to ordinary shares. ADR holders will receive the dividend in US dollars through their usual financial intermediary.

In accordance with the decision of the Company’s Board of Directors, shareholders of record on April 14, 2009, will be entitled to participate in the AGM and receive dividends for 2008.

On May 30, 2009, the AGM, to be held at the Company’s Bekasovo Training Center (Moscow region, Naro-Fominsk district), will determine dividend payments.

Further details on dividend payment procedures will be available in the Corporate Governance section within the Investor Center of Rostelecom’s website.