Rostelekom Adr Regulatory News (RKMD)

Rostelecom delivers integration services as part of Zenith football club's implementation of SAP solutions

March 13, Moscow - Rostelecom has signed a contract with Zenith football club to deliver integration services as part of its project to implement an SAP solution to create a new supporter relationship management platform. The 3 year contract amounts to RUB 44.5 mln.

Rostelecom will provide cloud services coupled with a software and hardware solution for SAP implementation to be installed in the company's data centre. The company is now buying equipment required for its implementation and is shaping the IT infrastructure of in line with SAP technical requirements.

Once the project is complete, Rostelecom will be further delivering technical support services to the established IT infrastructure, namely a complex 24/7 monitoring and administration of entire infrastructure, a whole cycle of maintenance of operational system, a technical support of equipment and systems software as well as an online support.

Dmitry Mankind, Commercial Director of Zenith FC, commented: 'We started our cooperation with Rostelecom in 2015 and they have really enhanced the development of Zenith FC. Zenith is always committed to addressing the challenges behind the logistics and organization linked with the sport industry and the growing standards for arranging home matches, processing of databases, ensuring smooth internal communication, information security and many others. Our partner Rostelecom offers solutions which can ensure a sustainable and efficient development of our brand'.

Valery Ermakov, VP for b2b/b2g products, also commented:' We have significantly enhanced our product portfolio for b2b/b2g clients. Now, not only can we deliver traditional services, such as the leasing of channels, but also a range of up-to-date cloud solutions. These cloud services are in high demand among our clients today. We are happy to see Zenith become our so called 'cloud' client.

We have been implementing this project in the partnership with SAP which is set to introduce an effective system for fans relationship management for Zenith FC. This system will enable us to monitor a history of relations with all target audiences of the club. Also it can provide fans with tailored offerings, ticket discounts etc. This is a unique IT project for Russia's entire sport industry'.

Ilya Yuriev, Deputy Director General of the SAP CIS, commented: 'The SAP technologies not only allow sport clubs to efficiently manage relationships with their supporters, but also forecast ticket sales, schedule individual trainings, efficiently develop tactics, etc. For instance, the German national team managed to reduce the the average time each player kept the ball from 3.4 seconds to 1.1 seconds at the World Championship in Brazil thanks to a SAP solution'

* * *

Rostelecom (www.rostelecom.ru) is one of the largest national telecommunications operators in Russia and Europe. The Group operates in all segments of the telecommunications market and covers millions of households in Russia.

Rostelecom is an undisputable leader of the broadband and pay-TV markets in Russia with over 12.3 million fixed-line broadband subscribers and over 9.3 million pay-TV subscribers, over 4.2 million of which are subscribed to Rostelecom's IPTV services.

The Group generated RUB 297.4 billion of consolidated revenues, RUB 96.8 billion of OIBDA (32.5% of revenue) and RUB 12.2 billion of net income in 2016.

The Group is a market leader in providing telecommunications services to government bodies and corporates of all levels. It is also an important innovator that provides solutions in the field of medicine, E-Government, cloud computing, education, security and housing & utility services.

Stable financial position of Rostelecom is confirmed by international credit ratings by Fitch Ratings at 'BBB-' and Standard & Poor's and 'BB+' respectively.

* * *SAP is one of the market leaders in enterprise application software. SAP helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device - SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition.

SAP applications and services enable more than 345,000 business (including Success Factors) and public sector customers to operate profitably, adapt continuously, and grow sustainably.

The SAP SE office was opened in Moscow in 1992. Also, within the last 20 years SAP opened representative offices in Yekaterinburg, Saint-Petersburg, Novosibirsk, Rostov-on-Don, Almaty, Minsk and Kiev. The number of employees has topped 1050 people. For more information, visit www.sap.com.

* * *Zenith Football Club was founded on the basis of the Leningradsky Metallichesky Zavod. 'Zenith' is the only football team from Russia's top division, representing Saint-Petersburg and winner of all national titles. In 2010, Zenith for the first time in history won the championship and Russian Cup in one year. Zenith FC also won 2 international trophies - the Union of European Football Associations (UEFA) Cup and Super Cup. According to independent analysts, Zenith is supported by 15.26 mln people. For more information, visit www.fc-zenit.ru​