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MTS and Google Sign Strategic Partnership Agreement to Promote Data Services in Ruia

28/08/2015

Moscow, Russian Federation - Mobile TeleSystems PJSC ( MTS or the Company - NYSE: MBT, MOEX: MTSS), the leading telecommunications provider in Russia and the CIS, announces the signing of a strategic marketing agreement with Google. MTS and Google will join forces to promote mobile Internet technologies and Google search services in Russia.

In accordance with this agreement, MTS will feature the OK, Google voice search in its advertising campaigns and retail stores. The Google app application that enables voice search will be pre-installed on the main screen of the Android smartphones sold in the MTS retail chain.

Google Android is the most popular operating system for smartphones in Russia and installed on roughly 70% of smartphones. Google app is an interactive system that enables the user to search the Internet, view maps, make calls, send messages, monitor their health and follow the news.

Mr. Vasyl Latsanych, MTS Vice President for Marketing, commented, We believe that only close cooperation between operators and Internet companies will lead to efficient and dynamic development of telecommunications. Most importantly, our subscribers will benefit from this partnership: the most popular OS for smartphones, interactive search options from Google and state-of-the-art data transmission services will bring a real change to the lives of our customers, making them convenient and hassle-free.

MTS has partnered with Google to promote applications on MTS-branded smartphones since 2012. In 2013, MTS and Google enhanced their relationship to develop solutions for the corporate market: MTS offers its B2B customers Google Apps for Business, a suite of cloud solutions comprising applications tailored to the needs of corporate customers.

***

For further information, please contact in Moscow:

Joshua B. Tulgan

Director, Department of Corporate Finance and Investor Relations

Mobile TeleSystems PJSC

Tel: +7 495 223 2025

E-mail: ir@mts.ru

Learn more about MTS. Visit the official blog of the Investor Relations Department at www.mtsgsm.com/blog/

* * *

Mobile TeleSystems PJSC ("MTS") is the leading telecommunications group in Russia, entral and Eastern Europe, offering mobile and fixed voice, broadband and pay TV in one of the world s fastest growing regions. Including its subsidiaries, the Group services over 100 million mobile subscribers. The Group has been awarded GSM licenses in Russia, Ukraine, Armenia, Turkmenistan, Uzbekistan and Belarus, a region that boasts a total population of more than 230 million. Since June 2000, MTS Level 3 ADRs have been listed on the New York Stock Exchange (ticker symbol MBT). Additional information about the MTS Group can be found at www.mtsgsm.com.

* * *

Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of MTS, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify forward looking statements by terms such as expect, believe, anticipate, estimate, intend, will, could, may or might, and 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 undertake or intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. We refer you to the documents MTS files from time to time with the U.S. Securities and Exchange Commission, specifically the Company's most recent Form 20-F. These documents contain and identify important factors, including those contained in the section captioned Risk Factors that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, the severity and duration of current economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices and the value of financial assets; the impact of Russian, U.S. and other foreign government programs to restore liquidity and stimulate national and global economies, our ability to maintain our current credit rating and the impact on our funding costs and competitive position if we do not do so, strategic actions, including acquisitions and dispositions and our success in integrating acquired businesses, potential fluctuations in quarterly results, our competitive environment, dependence on new service development and tariff structures, rapid technological and market change, acquisition strategy, risks associated with telecommunications infrastructure, governmental regulation of the telecommunications industries and other risks associated with operating in Russia and the CIS, volatility of stock price, financial risk management and future growth subject to risks.

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