Sibirtelecom (merged with Rostelecom)

active

JSC Sibirtelecom was the main fixed line local telephone provider for the Siberian region. The company served an area with a population of 20.9 million people (14% of population) and covered about 29% of Russia’s territory. At the end of 2004 the company had some 3,844,000 fixed line customers and a total capacity of over 4.2 million lines. Sibirtelecom provided local fixed line services through its own network in, and national and international services through Rostelecom's infrastructure. The company also provided Internet, IP telephony, data transmission, wave and cable television services. Sibirtelecom offered mobile telephone services to almost two million subscribers at the end of 2005. The divestiture of Sibirtelecom took place in 1993-1994 when the regional fixed line operators were corporatized and, in most cases, 49% of their shares were transferred to the public through the Russian voucher privatization program. JSC Sibirtelecom was created as one of seven mega-regional companies in which Svyazinvest, the state-owned holding company, consolidated its 74 regional fixed line operators in 2002-2003. The other six companies were CenterTelecom, North-West Telecom, Volga Telecom, South Telecom, Uralsvyazinform and Far East Telecom (Dalsvyaz). JSC Sibirtelecom was created in November 2002 from the merger of 11 regional telecommunications operators in the Siberian region. The company was named after Sibirtelecom, previously known as Novosibirsk Elektrosvyaz, which was fixed line provider in the Novosibirsk region. The other 10 operators merged were: Altai Electrosvyaz, Altaitelecom, Buryat Republic Electrosvyaz, Irkutsk region Electrosvyaz, Kemerovo region Electrosvyaz, Krasnoyarsk Electrosvyaz, Omsk Electrosvyaz, Tomsktelecom, Khakass Republic Electrosvyaz, Chita region Electrosvyaz. In 2005 Svyazinvest controlled Sibirtelecom, owning 51% of voting shares and 38.5% of common shares. Foreign investors owned 34.99% of common shares, and employees and small shareholders had the remaining 13.63%. As of 2006, Sibirtelecom had 11 subsidiaries with 4 million fixed line customers and owned 100% of the following mobile operators: CJSC 'Eniseytelecom', CJSC 'Baikalinvestcom', and CJSC 'STEK GSM', with 2.9 million mobile customers. On April 1, 2011, several companies below merged into Rostelecom: Center Telecom (3171), Skylink (1321), Dalsyaz (3181), Sibirtelecom (3180), Uralsinform (3177), Volgatelecom (3174), North-West Telecom (3173), Southern Telecommunications Company (3175), Dagsvyazinform (1225). http://www.sibirtelecom.ru http://eng.svyazinvest.ru % private = 62.5% + 9% (from svyazinvest, which is 25% private and owns 38.5% of sibirtelecom) 2010 Capex estimated by applying 2009 Capex-to-sales ratio to 2010 sales revenues. The Company was merged into Rostelecom in Q2, 2011.