Moscow, Russian Federation (13 October 2016) — Public Joint Stock Company “MegaFon” (LSE: MFON), a leading Russian telecommunications operator (“MegaFon” or the “Company”), hereby announces changes in the Company’s management and organizational structure.

The Company’s Consumer Business Development and Corporate Business Development functions will now be combined into an integrated Commercial block. It will be led by Mr. Vlad Wolfson, who earlier served as Director for Corporate Business Development. The Operations block will comprise infrastructure, procurement and logistics, legal and GR. It will be led by Mrs. Anna Serebryanikova, who earlier served as Legal Affairs and GR Director. Branch directors will report to her.

MegaFon also announces that Mr. Evgeny Chermashentsev, Chief Operating Officer, and Mr. Konstantin Likhodedov, Director for Consumer Business, have decided to leave the Company.

Additionally, there have been personnel changes at MegaFon Retail, a wholly-owned company of MegaFon which operates the own distribution network of the Company. Mr. Mikhail Zolotovitskiy is resigning as CEO of MegaFon Retail, and also that of Director for Sales and Service at MegaFon. Mr. Vadim Kuptsov, Operations Director of MegaFon Retail, will serve as acting CEO.

MegaFon CEO Sergey Soldatenkov commented: “I congratulate Anna and Vlad. I am confident that their experience will allow them to succeed in these new roles. I would like to thank Evgeny, Konstantin and Mikhail for their service and contribution to the Company’s development. I wish each of them luck and new interesting projects in future.”

About Vlad Wolfson

Vlad Wolfson joined MegaFon in 2012 as Director of Corporate Clients. On 2 December 2013 he was appointed Director for Corporate Business Development. Before joining MegaFon, he served as Vice President for Sales and Marketing at CJSC Medsi Group. Earlier he worked as SME Sales Director at Vimpelcom. From 2003 he worked at Corbina Telecom, where he progressed from Head of Sales to become Vice President. In 2002 — 2003 he was Commercial Director at GeoSystem Navigation (Starcom). In 1998 — 2001 he served as CEO of TravelNet Ltd. (Haifa, Israel) and Development Director at Interaction Systems Ltd. (Tel Aviv, Israel).

About Anna Serebryanikova

Anna Serebryanikova joined MegaFon in 2006 as International Legal Affairs Advisor to the CEO. She has headed the Company’s legal function since 2008, providing full legal support for MegaFon’s operations. In 2007 — 2013 she also served as Corporate Secretary. In 2010 — 2011, Anna combined a role as Deputy CEO for Corporate Development at Synterra. She was a member of the management board at Euroset Holding N.V. in December 2012 through November 2015 and has been a member of the supervisory board at Euroset Holding N.V. since November 2015. Since April 2013 Anna has been a member of the GLONASS Union to promote the development and application of navigation technologies, a non-commercial partnership working on the implementation of major public projects using navigation technologies in the transport sector. In 1998 — 2004, she was senior legal counsel and department head at the Non-Commercial Foundation for Enterprise Restructuring under the Russian Ministry of Finance. In 2004 — 2006 she worked as an attorney at international law firm J.P. Galmond & Co.

About Vadim Kuptsov

Vadim Kuptsov joined the Volga Branch of MegaFon in 2007 as Head of Security, before moving to serve as Director of the regional office after two years of excellent work. In 2011 he transferred to the Stolichny (Moscow) Branch to become Security Director. In March 2015 he was appointed Security Director at MegaFon Retail and at the beginning of 2016 became Operations Director.