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VimpelCom Selects Schema’s Innovative GSM Network Optimization Solution

GSM Forte delivers significant network quality improvement during successful project in Russia.

Herzlia, Israel and Moscow, July 6, 2005 – Schema, a global provider of industry-leading network optimization, simulation and related management software-based solutions, announced today that it has signed a corporate license agreement with VimpelCom, Russia’s leading international provider of telecommunications services, to deploy Schema’s GSM Forte. Forte is a highly advanced automatic RF optimization solution that has been successfully utilized by a growing number of major carriers worldwide since its introduction last year.

This announcement follows the completion of a successful RF network optimization project conducted in late 2004, which was a collaborative effort between teams of RF engineers from VimpelCom and Schema.

In order to achieve significant improvement of the RF quality of VimpelCom’s GSM network in Moscow, Schema integrated its Forte product with the carrier’s own tools in order to produce the most accurate model of VimpelCom’s already highly optimized RF network.

According to the corporate license agreement, Schema will deploy its GSM Forte solution first in VimpelCom’s Moscow market, and then expand to all other regions in Russia. GSM Forte will enable VimpelCom to increase voice and data services revenue and enhance user satisfaction, while at the same time curbing the need for additional CapEx and OpEx expenditures, by significantly improving network quality and capacity.

“Schema’s GSM Forte will assist us in providing our subscribers with the best service available, while improving our network efficiency. Our company is committed to providing superior service to our customers and our collaboration with Schema will certainly assist us in reaching this goal.” said Mr. S.M. Avdeev, CTO for VimpelCom.

“Schema’s GSM Forte will enable VimpelCom to give its customers excellent service quality while they achieve unprecedented, yet demonstrated, capital efficiency,” said Mr. Yosi Ben-Dov, Schema CEO. “Forte efficiently solves existing and emerging problems for this mature technology by utilizing mobile measurements, which is the most accurate, reliable source of information for network modeling. Forte’s innovative design ensures that it is an optimization solution that improves network performance on a consistent and on-going basis. We are pleased to be a part of VimpelCom’s success in delivering unparalleled quality of service to its Russian market.”

About VimpelCom
VimpelCom is a leading international provider of telecommunications services, operating under the “Beeline” brand in Russia and Kazakhstan. In addition, VimpelCom is continuing to use the “K-mobile” and “EXCESS” brands in Kazakhstan. The VimpelCom Group`s license portfolio covers approximately 94% of Russia`s population (136 million people), including the City of Moscow, the Moscow Region and the City of St. Petersburg, as well as the entire territory of Kazakhstan. VimpelCom was the first Russian company to list its shares on the New York Stock Exchange (“NYSE”). VimpelCom`s shares are listed on the NYSE under the symbol “VIP”. For more information about VimpelCom, visit the company’s web site at www.vimpelcom.com.

About Schema
Schema is a global provider to telecom operators of industry-leading network optimisation, simulation and related planning solutions that increase network performance and efficiency, reduce costs and improve network visibility, across voice and data networks. The company has been recognized every year starting in 2001 by Deloitte and Touche as one of the fastest growing and most innovative high tech companies in North America, Europe, and Israel.

Schema’s solutions are deployed and benchmarked by leading wireless operators worldwide, including AT&T Wireless, U.S. Cellular, BellSouth International, Cellcom Greenbay, Hutch India, Peoples PCS of Hong Kong, Claro Brazil and Cellcom Israel. For more information about Schema, visit the company’s web site at www.schema.com.