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VF Ukraine Secures 4G License in 1800 MHz

13/03/2018

Moscow, Russian Federation - MTS PJSC ( MTS - NYSE: MBT; MOEX: MTSS), the leading telecommunications provider in Russia and the CIS, announces that VF Ukraine PrJSC, the Companys majority-owned subsidiary, which serves the Ukraine market and operates as Vodafone Ukraine, acquired a 4G license in the 1780-1785 / 1875-1880 MHz band as the result of a national auction. The cost of the license is UAH 742mln.

"We received an excellent resource, which is necessary to provide high quality 4G services in the country. Meanwhile, our investments in the budget of Ukraine are not limited with the purchase of licenses. Over the past three years, we made record-high investments in the infrastructure and are committed to sustain these levels by investing in the best 4G network in Ukraine. We also aim to develop new services, such as Internet of Things and Smart City technologies," commented Olga Ustinova, General Director of Vodafone Ukraine.

Earlier, on January 31, 2018, VF Ukraine PrJSC received a 4G license in the 2510-2520 / 2630-2640 MHz band. The cost of this license was UAH 631 mln.

The first 4G launch in the 2.6 GHz band in Ukraine's largest cities could take place by the end of March or early April, provided Vodafone Ukraine receives the license. The operator aim to deploy full geographical coverage in Ukraine, following the receipt of its licenses in the 1800 MHz band in July 2018 and subsequent frequency reframing.

* * *

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 - NYSE:MBT; MOEX:MTSS), the leading telecommunications group in Russia and the CIS, provides a range of mobile and fixed-line communications services. We serve over 100 million mobile subscribers in Russia, Ukraine, Armenia, Turkmenistan, and Belarus, and about 9 million customers of fixed-line services, including fixed voice, broadband internet, and pay-TV. To keep pace with evolving customer demand, MTS is redefining what telecommunications services are by offering innovative products beyond its core network-related businesses in various tech segments, including Big Data, financial and banking services, internet of things, OTT, cloud computing, systems integration and e-commerce. We leverage our market-leading retail network as a platform for customer services and sales of devices and accessories. For more information, please visit: 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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