News

Changes in the Company's share capital

MOSCOW, RUSSIA - 3 December 2009 - Sistema-Hals (LSE, MICEX, RTS: HALS), a major Russian real estate company, announces that Bank VTB OJSC has increased its share in the Company's share capital from 19.74% to 51.24%. The stock increased due to the fact that VTB Bank exercised its option as the second part of the transaction between AFK Sistema and VTB Bank. Moreover, the share of Hals Finans CJSC in Sistema-Hals share capital decreased from 39.65% to 8.15% as a result of the option.

For further information please contact:

Ulyana Denga
Director
IR Department
Tel. +7 (495) 785-4214
Cell +7 (903) 2626 529
denga@sistema-hals.ru

Anna Zavialova
Director
PR Department
Tel. +7 (495) 785-7764
zavialova@sistema-hals.ru

Sistema-Hals ("the Company") is a leading diversified company in the Russian and CIS real estate market. The Company was the first Russian property developer to list its shares on the main market of the London Stock Exchange. The Company's shares are also listed on the Moscow Interbank Currency Exchange and the Moscow Stock Exchange and in the Russian Trading System Stock Exchange.

Starting operations in 1994, Sistema-Hals has successfully completed about 40 projects with a total area in the region of over 400,000 square metres, including the headquarters of DaimlerChrysler, the Hals Tower office building, the headquarters of Trubnaya Metallurgical Company, a hotel for the MaMaison chain (Orco Property Group), residential projects in Kuntsevo district.

Sistema-Hals has assembled a balanced and diversified portfolio of assets in fast-growing sectors of the market. The Company's strategy is focused on building Class A and B office space, mixed-use retail and office complexes, business-class residential buildings.

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The information in the press release may contain forward-looking statements regarding future events or the future financial performance of Sistema-Hals. You can identify forward looking statements by terms such as "expect", "believe", "anticipate", "estimate", "intend", "will", "could", "may" or "might" the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements to reflect events and circumstances occurring after the date thereof or to reflect the occurrence of unanticipated events.