Rostelecom — Regulatory Filings 2019

Apr 17, 2019

17-Apr-2019 / 12:04 MSK Dissemination of a RegulatoryAnnouncement, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement.

Health centre at the doorstep - new digital service 'Rostelecom.Health'

Rostelecom expands into telemedicine

Moscow, Russia - April 17, 2019 - Rostelecom PJSC (MOEX: RTKM, RTKMP; OTCQX: ROSYY), thelargest digital service provider in Russia, today announces its new digital service'Rostelecom.Health' -a mobileapplication and websitefor onlinearound-theclock medical consultation with GPs and specialist doctors,available by appointment.The new service will be pilot tested in partnership with Mobile Medical Technologies (MMT), Russia's leading software developer for online medical consulting.

Online medical advice will be provided by bestexperts from Moscow and St. Petersburg health centres, including theEmergency Children's Surgery and Traumatology Research Institute,St. Petersburg State Pediatric Medical University, Institute of Allergology and Clinical Immunology, City Clinical Hospital No. 1,Scientific Medical Centre'Medbiospectre', Russian GeneticTesting centre 'Genotek' and other.

Diana Samoshkina, vice president for the mass-market business unit,commented: "Our new serviceallows our clients to seek expert medical help from a GP or Doctor via an onlinechat or videocall,anytimeand anywhere, this way avoiding travelling and queues. All they need is to haveInternetaccess,apply for a consultation via website or mobileapp and they will beassisted within 3 minutes. Individual and family schemes areavailable within the new platform so to enable users takecare of their loved ones if need be".

Currently, 'Rostelecom.Health' offers 3 programmes.The'House doctor' packagefor individuals and 'Family doctor' subscription for up to 3 peopleareavailablefor 3 and 12 months and include unlimited number of consultations with duty doctors and several sessions with single-discipline professionals.The'Personal expert' package offers in-depth consultation with specialist doctors.

Denis Udchits, Director-General and co-founder of MMT,commented: "Our mission is to createfriendly environment for interaction between patients and doctors which our comprehensive online medical consultations solution is ableto create.Today, morethan 80% of requests for this serviceare made online. A widerange of specialists allows users to geta consultation from nichespecialists, geta second opinion or preparefor elective procedures.Thestrong team brings together 180 highly qualified experienced doctors covering morethan 60 disciplines."

The new 'Rostelecom.health' digital serviceis simpleand easy to use onlineat www.rt.ru/zdorovye or via a mobileapp,available on Android and IOS. Comprehensiveinformation about professionals' education and qualification is provided under the'Doctors' section.

Kirill Brylev, director of office of perspective digital products of a mass segment of Rostelecom,commented: "Rostelecom continues to expand its ecosystem of services and platforms for individuals and families. In offering new digital services, wearesupported by leading Russian developers, who bring with them uniqueexpertiseand experience.Westrongly believethat partnership is a cornerstone of successful business for theyears to come. Rostelecom welcomes cooperation and is open to sharing its resources and infrastructurefor creating benefit in joint business projects and attracting new clients".

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PJSC Rostelecom is the largest digital service provider, operating in all segments of the telecommunications market in Russia, it serves millions of households, the state and private enterprises across the country.

Rostelecom is Russia's undisputed market leader, providing high-speed Internet access to 12 million families and pay-TV services to 10.1 million families, over 5.2 million of which are subscribed to Rostelecom's IPTV services on a national level. Rostelecom's MVNO base is over 1.2 million users. The Company develops digital solutions for smart homes, online education, telemedicine and other services.

The Group is also the leading provider of telecommunications services to government bodies and corporates of all levels with more than 1.0 million legal entities currently using Rostelecom's high-speed Internet services and VPN.

In the twelve months of 2018, the Group generated RUB 320.2 billion of revenues, RUB 100.9 billion of OIBDA (31.5% of revenue) and RUB 15.0 billion of net income.

Rostelecom is a key strategic innovator that provides solutions in the following fields: E-Government, cybersecurity, data centers and cloud computing, biometry, healthcare, education and housing & utility services.

The Group's stable financial position is confirmed by its credit ratings. Rostelecom has been assigned 'BBB-' and 'BB+' international credit ratings by Fitch Ratings and Standard&Poor's respectively, and AA(RU) by ACRA.

Mobile Medical Technologies is the leading Russian project developer in the online consulting field. The company unites software developers and highly qualified specialists who practice in leading national and private health centres in Russia. Through its telemedicine projects, the Company provides clients with around-the-clock consultation with more than 180 GPs, paediatricians and specialist professionals, covering more than 60 disciplines.

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Certain statemen ts in th is press release are forw ard-lookin g statemen ts w ith in th e mean in g of th e U.S. federal secu rities law s an d in ten ded to be covered by th e safe h arbou rs created th ereby.

Th ose forw ard-lookin g statemen ts in clu de, bu t are n ot limited to:

• Assessmen t of PAO Rostelecom's (th e Compan y) fu tu re operatin g an d fin an cial resu lts as w ell as forecasts of th e presen t valu e of fu tu re cash flow s an d related factors;
• Th e Compan y's plan s to take ow n ersh ip stakes in oth er organ isation s;
• th e Compan y's an ticipated capital expen ditu res an d plan s to con stru ct an d modern ize its n etw ork;
• th e Compan y's expectation s as to th e grow th in deman d for its services, plan s relatin g to th e expan sion of th e ran ge of its services an d th eir pricin g;
• th e Compan y's plan s w ith respect to improvin g its corporate govern an ce practices; th e Compan y's expectation s as to its position in th e telecommu n ication s market an d forecasts on th e developmen t of th e market segmen ts w ith in w h ich th e Compan y operates;
• econ omic ou tlook an d in du stry tren ds;
• th e Compan y's expectation s as to th e regu lation of th e Ru ssian telecommu n ication s in du stry an d assessmen t of impact of regu latory in itiatives on th e Compan y's activity;
• oth er statemen ts regardin g matters th at are n ot h istorical facts.

Su ch forw ard-lookin g statemen ts are su bject to risks, u n certain ties an d oth er factors, w h ich cou ld cau se actu al resu lts to differ materially from th ose expressed or implied by th ese forw ard-lookin g statemen ts. Th ese risks, u n certain ties an d oth er factors in clu de:

• risks relatin g to ch an ges in political, econ omic an d social con dition s in Ru ssia as w ell as ch an ges in global econ omic con dition s;
• risks relatin g to Ru ssian legislation , regu lation an d taxation ,in clu din g law s, regu lation s, decrees an d decision s govern in g th e Ru ssian telecommu n ication s in du stry, secu rities in du stry as w ell as cu rren cy an d exch an ge con trols relatin g to Ru ssian en tities an d th eir official in terpretation by regu latory bodies;
• risks relatin g to th e Compan y, in clu din g th e ach ievemen t of th e an ticipated resu lts, levels of profitability an d grow th , ability to create an d meet deman d for th e Compan y's services in clu din g th eir promotion s, an d th e ability of th e Compan y to remain competitive in a liberalized telecommu n ication s market;
• tech n ological risks associated w ith th e fu n ction in g an d developmen t of th e telecommu n ication s in frastru ctu re, tech n ological in n ovation s as w ell as th e con vergen ce of tech n ologies;
• oth er risks an d u n certain ties. For a more detailed discu ssion of th ese an d oth er factors, see th e Compan y's An n u al Report an d th e Compan y's oth er pu blic filin gs.

Man y of th ese factors are beyon d th e Compan y's ability to con trol or predict. Given th ese an d oth er u n certain ties, readers are cau tion ed n ot to place u n du e relian ce on an y of th e forw ard-lookin g statemen ts con tain ed h erein or oth erw ise. Th e Compan y does n ot u n dertake an y obligation to release pu blicly an y revision s to th ese forw ardlookin g statemen ts (w h ich are made as of th e date h ereof ) to reflect even ts or circumstan ces u pon th e an n u al report pu blication or to reflect th e occu rren ce of u n an ticipated even ts, except as may be requ ired u n der applicable law s.

ISIN: US7785291078 Category Code:MSCL TIDM: RKMD LEICode: 2534001D752JPNM0H170 Sequence No.: 8237 EQS News ID: 801113

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