Mobile Content Russia

VimpelCom (which operates under the Beeline trademark) today announced its operating and financial results for the quarter and year ended December 31, 2009.

The Company changed its reporting currency from the US dollar to the Russian ruble effective as of January 1, 2009. The Company presented certain financial information for the first three quarters of 2009 in Russian rubles.

Following the plans announced in October 2009 by the Company's two strategic shareholders to combine their holdings under a new company, VimpelCom Ltd., and in connection with regulatory filings relating to that transaction, the Company decided to change its reporting currency to the US dollar. The audited consolidated financial statements for the year ended December 31, 2009 are prepared in US dollars. Amounts included in quarterly financial statements for the first three quarters of 2009 were recast using the current rate method of currency translation as though the US dollar was the reporting currency in those periods. Financial information in this press release is presented in US dollars for the consolidated Group and in functional currencies for Russia and the CIS countries.

Although Georgia is no longer a member of the CIS, consistent with our historical reporting practice we continue to include Georgia in our CIS reporting segment.

2009 Highlights and Recent Developments

Operational

• 3.6 million new mobile subscribers, with the total subscriber base up to 64.6 million
• 2.3 million broadband subscribers, an 85% growth year-on-year
• 3G networks rollout in Russia on schedule, all current license requirements fulfilled
• Launch of operations in Cambodia and Vietnam under Beeline brand

Financial

• Revenues of $8.7 billion and OIBDA* of $4.3 billion, 14% and 12% down year-on-year, respectively. In ruble terms, revenues of 275.2 billion and OIBDA of 135.2 billion, 10% and 12% increase year-on-year
• Full-year consolidated ruble revenues in Russia increased 10% year-on-year and reached 235.4 billion rubles
• Substantially improved consolidated fixed and mobile margin of 49.1% compared to 48.0% in 2008
• Free cash flow amounted to $2.7 billion after $0.8 billion spent on Capex
• Net income attributable to VimpelCom of $1.1 billion or 114% increase year-on-year
• Basic EPS up 110% year-on-year to $21.71 ($1.09 per ADS)
• Net debt decreased to $5.9 billion bringing the Net Debt/OIBDA ratio to 1.4

Other

• Interim dividend of $0.32 per ADS was paid out
• Strategic shareholders initiated the process of combining their stakes in VimpelCom and
Kyivstar in a new company, VimpelCom Ltd., and launched a public exchange offer for all of VimpelCom’s outstanding shares

More details you can find here.