Kyivstar Holds First Board Meeting Since 2005

For the first time since 2005, a meeting of shareholders of Ukrainian mobile operator Kyivstar has been held. The meeting amended the company's charter and elected a new Board of Directors.

To comply with the requirements of Ukrainian law, the Board of Directors of Kyivstar now consists of five Telenor companies and four Storm companies. The shareholders meeting (EGMS) also elected an auditing commission. The next EGMS, called for this afternoon, may then approve accounts and dividends for the years 2004 and 2005. The company's fiscal years 2006 and 2007 require external audits by an internationally recognized audit firm to be performed before dividends for those years can be approved.

"We hope that we have seen the end of attacks on Kyivstar's corporate governance," said Jan Edvard Thygesen, Executive Vice President and Head of Telenor's Central and Eastern European operations. "If so, today's resolutions should form the basis for its restoration."

Telenor holds 56.5 per cent of the shares in Kyivstar. The remaining 43.5 per cent is held by Alfa affiliate Storm.

Telenor and Alfa have been at loggerheads over their shareholdings in Vimplecom and the Ukrainian market for several years.

Posted to the site on 16th December 2008