MForum.ru
21.09.2006,
Open Joint Stock Company "Vimpel-Communications" ("VimpelCom" or the "Company") (NYSE: VIP), today announced that, following a majority vote by its Board of Directors, the Company has decided to enter into a new two year employment agreement with its current CEO Alexander Izosimov. After being informed of the Board’s vote by David J. Haines, the Chairman of the Board of Directors, Mr. Izosimov agreed to continue to serve as VimpelCom’s CEO.
Following Thursday’s Board meeting, Mr. Haines expressed his pleasure that a solution was reached which enabled VimpelCom to retain the services of Mr. Izosimov. “I am pleased that Alexander has agreed to stay on and I am very confident that Alexander will continue to lead this company in the same successful manner as he has in the past. While it is regrettable that we were unable to get all the members of the Board to unanimously agree on the decision to keep Alexander, I am convinced that we, as a Board, have arrived at the best possible solution for the Company, its shareholders and employees and its more than 50 million customers.”
After being informed of the Board’s decision, Mr. Izosimov stated that, “I look forward to continuing my duties as CEO of VimpelCom and remain fully committed.” He added that, “clearly today’s vote demonstrates that there are still issues which need to be resolved among the Board and VimpelCom’s strategic shareholders. However, I truly appreciate the support I have received from a majority of the Board.”
Mr. Izosimov will continue in office as CEO in accordance with Russian law as he was neither dismissed nor reappointed as CEO at today’s meeting by the 80% vote of the Board required under the Company’s charter. Certain members of the Board or shareholders of the Company may disagree with and challenge this interpretation of Russian law. The Company intends to vigorously contest any challenges.
VimpelCom is a leading international provider of mobile telecommunications services in Russia and Kazakhstan, with recently acquired operators in Ukraine, Uzbekistan, Tajikistan and Georgia. The VimpelCom Group’s license portfolio covers approximately 237 million people. Geographically it covers 78 regions in Russia (with 136.5 million people, representing 94% of Russia’s population) as well as the entire territories of Kazakhstan, Ukraine, Uzbekistan, Tajikistan and Georgia. VimpelCom was the first Russian company to list its shares on the New York Stock Exchange (“NYSE”). VimpelCom’s ADSs are listed on the NYSE under the symbol “VIP”.
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