Azercell announces the tender regarding the network extension and increasing the number of subscribers up to 3.000.000

August 30, 2007

Tender Advertisement regarding the network extension of “Azercell Telecom MMM” JV and increasing the number of subscribers up to 3.000.000

1. Information about the Procuring entity: “Azercell Telecom MMM” J.V., 61-A, Tbilisi ave., Baku, Azerbaijan

2. Tender procedures commencement time and place: 61-A, Tbilisi ave., Baku, “17” of Oktober 2007, local time 11:00

3. Documents required for participation in Tender:

• Application for participation in Tender
• Banking document certifying payment of participation fee;

Tender Proposal

The following documents shall be presented by potential supplier (contractor):

• full name of the supplier (contractor), its legal status, details of country of registration
• The documents related to supplier’s (contractor’s) qualification indicators; supplier’s (contractor’s) qualification indicators shall comply with the following criteria:
• To have professional skills in the appropriate field, be experienced, technically and financially capable, to have manpower, administration competence, and reliability for ensuring fulfillment the procurement contract;
• To have authority to conclude the procurement contract
• To have ability for free and unlimited disposal of its property, also be financially solvent;
• Not to be declared bankrupt, not to have arrest on its property, not to have a pawn (security) subject to payment; not to be an entity which commercial activity is suspended by court decision;
• not to have any overdue obligations and liabilities in respect of taxes and other obligatory payments in the Azerbaijan Republic;
• Not to be sentenced for criminal actions related to indicating of wrong professional indicators for professional activities of itself, it’s managers, employees, or having a procurement contract signed during 5 preceding years prior to commencement of the procurement procedures; or not to be suspended by a court order regarding conducting of relevant professional activities;
• Reference issued by a bank stating the financial status of supplier (contractor) during the last 1 year (if operating for a lesser period – during whole period of activity)

4. The documents specified herein (except for a Tender Proposal) shall be submitted to purchasing entity at least 7 (seven) banking days before commencement of the Tender procedures.

5. Name, working phone and fax numbers of a contact person for obtaining of additional information are as follows:

Additional information regarding the Tender can be received through: +994 12 4967007(phone) and +994 12 430 05 68(fax), contact person - Mr.Ali Ercan

6. Terms of bank guarantee for the tender proposal:

Bank guarantee in amount of 2% (two percent) of a tender proposal (it shall be valid, at least, for a period of 30 (thirty) work days after validity of Tender proposal).

7. Name, quantity (scope), destination of goods to be supplied, place and specific criteria of works to be carried out, place and description of services to be rendered:

• To extend GSM network and increase the number of subscribers up to 3.000.000
• The present main stations’ capacity increase
• AUC integrated SA-HLR capacity upgrade to 3.000.000 subscribers
• Prepaid system capacity upgrade to 3.000.000 subscribers
• BGW capacity upgrade to 3.000.000 subscribers
• ADC capacity upgrade to 3.000.000 subscribers
• GPRS capacity upgrade
• SMSC capacity upgrade
• 425 Radio Base Stations with transferring antennas
• Microwave link hops and SDH Backbone network
• WCDMA implementation
• All above mentioned shall be carried out in the Azerbaijan Republic

8. Time schedule for shipping/delivery and execution of works or services - 12 (Twelfth months)

9. Procedures and criteria to be preferred during evaluation and comparison of professional indicators of supplier (contractor) :

Proposal estimated as most profitable on the basis of professional skills in the appropriate field, experience, technical and financial ability, manpower, administration competence, and reliability for ensuring fulfilment of procurement contract;

10. Restriction terms regarding participation of the suppliers (contractors) in procurement procedures by countries of origin;

Restrictions for participation in tender shall not apply to those bidders that are registered in conformity with legal provisions of the appropriate countries, irrespective of its title form, having the relevant permissions and licenses to execute the given activity, fully paid its charter capital, except for entities that are currently under the relevant sanctions of the UNO Security Council and except for Armenian Republic, shall be including into participants list.

11. The Tender Proposal fee amount and order of payment.

Bidders shall transfer the Tender Proposal fee in the amount of 8,000 (eight thousand ) AZN, (or the appropriate equal amount in USD at the official rate of the National Bank of the Azerbaijan Republic) to the following account:

Manat account The International Bank of Azerbaijan Republic Account CCS-310375 AZN 3808-01, Bank code: 805250, C/a 01370100020994 Bank INTP-990000213, SWIFT – IBAZAZ2X USD account International Bank of Azerbaijan Bank SWIFT - IBA ZAZ2X Acc. CCS310375 USD 3818-01 C/a 01370100020994 Bank INTP-990000213, SWIFT – IBAZAZ2X Participation fee shall not be repaid back to bidders.

12. Tender Proposal Language Tender proposals must be submitted in Azerbaijani and English. Both versions should be authentic and have the same legal power.

13. Submission of tenders, place and closing date: 61-A, Tbilisi ave., Baku, “16” of October 2007, 17:00 local time. Other issues related to the Tender shall be determined in the General Tender Terms and Conditions.

Tender Committee