Subsidiary of MTS Uzbekistan has filed for bankruptcy

Telecommunications operator MTS reported that the company "Uzdunrobita", 100% subsidiary of MTS Uzbekistan, appealed to the Commercial Court of Tashkent, a statement of his bankruptcy.

Under the current legislation of the Republic of Uzbekistan for bankruptcy LLC "Uzdunrobita" filed for failure to fulfill obligations under the company with came into force verdict Tashkent City Criminal Court on September 17, 2012 and the definitions of the Appeals Board Tashkent Court November 8, 2012 year, which determined the amount of financial claims against the Company "Uzdunrobita" in the amount of $ 600 million

To date, in accordance with by a final judgment of the court, from the accounts of LLC "Uzdunrobita" written off all of the remaining funds in the amount of $ 150 million

As noted by the operator, LLC "Uzdunrobita" continues to protect its rights under the laws of Uzbekistan. MTS reserves the right to use all available legal tools at the international level to recover losses incurred as a result of illegal actions against a subsidiary of MTS in Uzbekistan.

MTS reported for the second quarter of 2012 reflected the impairment of long-lived assets of the company in Uzbekistan in the amount of $ 579 million and a reserve of $ 500 million for tax and antitrust liability that may arise as a result of various legal proceedings taking place in Uzbekistan, so the total amount of write-downs from net income of $ 1.08 billion