The consolidated revenues for the first half of 2005 year were 93’489’840 rubles against 77’155’639 rubles for the same period of 2004 year that was equal the 21,2% growth. The share of the fixed, mobile and IP telephony services rendering was 48,4% of the consolidated revenues or 45’249’083 rubles. In money terms comparing with the 1H 2004 the growth was 4’125’127 rubles. At the same time the share of these services for Gars Telecom business decreased on 4,9%. Internet access and data transmission has brought the Company since the beginning of the year 14’023’476 rubles or 15% of the consolidated revenues against 11’650’501 rubles and 15,1% for the same period of the previous year. In total telephony and internet access services provided in the first part of 2005 year 63,4% of Gars Telecom revenues or 59’272’559 that was 6’498’102 rubles more than the year before.

Smart capacity services as telecom-consulting, audit, corporate networks organization and integration projects, provided Gars Telecom with the basic growth and proved the status of one out of the most professional teams on the Russian market (4th position in the rating of “Top 10 major IT-consultants of Russia” by the development approach fundamentality criterion (Nezavisimaya Gazeta — Independent Newspaper). The share of these services in the consolidated revenues grew from 23,6% in 2004 up to 28,4% in 2005 and was 26’551’115 rubles against 18’208’730 rubles the year earlier. The corporate networks organization provided 11,4% (10 ’657 ’842 rub.) against 9,8% (7’561’252 rub.) for the same period of 2004. The system integration services and equipment delivery brought the Company 3’178’655 rub. and 7’666’167 rub.

"Stable business in the corporate telecom sector can be provided for the companies that able not only render quality services for the customer and data transmission but offer efficiency solutions to make them as leader’s artifact, — tells Pavel Gorenkov, Gars Telecom CEO. — That is why our core assets are the team, qualification and creative. Gars Telecom was the first and the only company on the Russian market which began to develop MVNO (Mobile Virtual Network Operator) model oriented on the corporate sector only. The Company is the first in Russia who realizes special telecom solution for the commercial real estate market that fits international BLEC (Building Local Exchange Carrier) standard and also develops telecom-consulting practice. Gars Telecom Analytical Department carried out the second phase of the research about the readiness of Russian companies to IT-outsourcing in which the estimation of the capacity of telecommunications for the commercial real estate market was determined and also developed on-line instrument for the estimation of the profit of the telecommunications on the commercial real estate named “Telecom calculator”.

By the Pavel Gorenkov opinion, the propriety of the chosen strategy is in the universal telecom company creation oriented for the work with large corporate clients and it is proved by not only the business stable growth but the Company achievements. So in May, 2005, Gars Telecom was named the one out of the TOP5 of the Russian telecom companies that got the highest score from rating agency “Expert” by the “Level of Confidence to the Company” criterion. And in the rating of the Institute of Economic Strategies 4th position in the category of “Fixed Communication” of the list of “The 50 most strategic telecommunication companies” and the 10th position in the list of “The 50 most strategic telecommunication companies”.

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Gars Telecom profile: telecommunication management, integration projects realization and telecommunication services rendering. Company is oriented to cooperate with big-sized corporate clients and telecom-carriers. Along with tradition telecom-services company renders services in telecom-consulting, outsourcing of the communication services and telecom-infrastructure, and also telecom-budget management.

Since 2003 Gars Telecom has become the only Russian Virtual Mobile Network Operator for corporate sector. The host provider is Megafon.

Among key corporate customers are TNK-BP, RussNeft, Alliance Oil Company, Ehrmann, GEA, MosFilm, TeliaSonera, Interros, Eksmo. Gars Telecom works with business-centers: Amber Plaza, Alfa Arbat Center, Thchaika Plaza, 1st kilometer, Union and “Molodezhny” hotel complex.