The Group of Companies Comstar – United Telesystems (JSC Comstar-UTS, LSE: CMST) is a leading provider of integrated telecommunication solutions in Russia. It incorporates: JSC Moscow City Telephone Network, a premier fixed telecom operator in metropolitan area, and Comstar-Direct, the biggest provider of broadband Internet access services. The Group’s controlling stake belongs to a Joint Stock Financial Corporation AFK Sistema. Since February 2006, 35% of JSC Comstar-UTS’ shares have been listed on RTS, MSE and LSE.
The Group has a widespread presence throughout Russia in such major areas as: Saint-Petersburg city and Leningrad region, Ivanov, Êaluga, Samara, Saratov and Tumyen regions, Krasnodar and Stavropol territories, in countries of near and far abroad – Ukraine, Armenia, Greece.
Using a proprietary digital network in each of its branches the Group can flexibly scale a complexity level of its projects ranging from POTS for individuals to comprehensive, business-specific, multi-service solutions for corporate customers.
At present, JSC Comstar-UTS provides the cutting-edge telecom solutions ranging from voice, data transfer, video-conferencing to broadband Internet, both fixed and wireless, CATV, call-centers and VPNs. Having a wide spectrum of solutions and powerful technical facilities such as several backbones and access networks, including NGN, and spare numbering capacity, JSC Comstar-UTS can deliver any set of services bundled suit all customer needs and tailored to a client’s business profile.
In 2006 the Group reshaped its governance structure, primarily, in order to single out Comstar-Moscow, MGTS, Comstar-Direct, Comstar-Regions and Comstar-International as individual operating units with an option of setting key performance indicators for each of them to ensure a higher consolidated efficiency. After delineation of responsibility areas between companies, MGTS and Comstar-Direct focused on individuals, Comstar-Moscow targets mainly corporate and high-end residential segments, while Comstar-Regions and Comstar-International run regional operations in key sub-federal units of Russia and abroad, being in charge of business expansion and integration of acquired assets. JSC Comstar-UTS has streamlined it governance model resulting in better support of its operations in different consumer segments and competitive advantages over rivals in the industry.
The key growth drivers as viewed by JSC Comstar-UTS for 2007 will be: upgrade of its operations in subsidiaries and other controlled entities, active expansion in earlier untapped key sub-federal units of Russia, enhanced Internet and data transfer services, MGTS (PSTN) modernization and convergent projects implementation.
A unique synergy of different companies within the Group, a powerful technical plant along with efficient business model enable JSC Comstar-UTS to stay ahead of the game, to shape the market and support a steady growth in the future.