IT 100 Special Report 2006 >

  THE INFOTECH 100 COMPANIES
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49

VimpelCom

(NYSE: VIP)

Russia

Russia's second-largest mobile telecom operator is one of the first major corporate success stories to emerge from post-Soviet Russia. Founded in 1992, VimpelCom became the first Russian company to list on the New York Stock Exchange, in 1996. The company has experienced explosive growth over the past five years as the mobile telephone fad swept Russia. The number of VimpelCom subscribers hit 50 million in June 2006, a 52% increase over a year earlier. As the Russian market approaches saturation, VimpelCom is trying to get existing customers to use more services, which management expects will lift average revenue per user in 2006. The company also has expanded out of Russia into neighboring countries with greater room for subscriber growth: Kazakhstan, Uzbekistan, Tajikistan and Ukraine.

Company Info

2005 Rank

55

Sales*
($ Millions)

3,211.1

Sales Growth
(over prev. year)

52 %

Profits*
($ Millions)

615.1

Return on Equity

22.4 %

Total Return on Sales (12-mo.)

12.1

Share Price
As of 5/31/06

157.00

CURRENT
MARKET INFO

NYSE: VIP

No. of Employees

13,300

Industry Telecommunications
COMPANY WEB SITE >
*Trailing 12 months
Stock price data as of 5/31/06
DATA: Standard & Poor's Compustat

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Company Snapshot

Vimpel-Communications provides wireless communication services in Russia and Kazakhstan. Its wireless services include voice telephony services; value-added services using short messaging services, unstructured supplementary services data, wireless application protocol, global packet radio services, and multimedia messaging technologies; interconnections with other networks; and access to both national and international roaming service. The company offers these services to its subscribers under two types of payment plans, which include contract plans and prepaid plans. Vimpel-Communications also sells wireless handsets and accessories to its subscribers. As of Dec. 31, 2004, the company had approximately 26.6 million subscribers on wireless networks. Vimpel-Communications has strategic relationships with Telenor East Invest and Alfa Group. The company was founded in 1992 and is headquartered in Moscow. Vimpel-Communications acquired Sakhalin Telecom Mobile and Sakhalin Telecom in July, 2005.


Data provided by Capital IQ
 
Alexander Izosimov

Alexander Izosimov, 41

Chief Executive Officer

Alexander Izosimov has been chief executive officer and general director of Vimpel Communications since October, 2003. Most recently, Izosimov served as a member of the global executive management board and regional president for the CIS, Central Europe, and Nordics for Mars Inc. Prior to joining Mars in 1996, Izosimov worked for McKinsey in Stockholm and London for five years. Izosimov graduated from the Moscow Aviation Institute with a master's degree in 1987 and holds an MBA degree from INSEAD.



Executive Data provided by Capital IQ