Yandex Announces Preliminary 2007 Results

Internet, January 29, 2008. Yandex today announced preliminary unaudited financial results for 2007. Revenue increased by approximately 130% over 2006.

Yandex continues to derive most of its revenue from contextual advertising. The ratio of revenue derived from contextual and display advertising remained approximately the same.

The considerable expansion of our partner advertising network contributed significantly to revenue growth.

Yandex celebrated its 10th anniversary in 2007. During the year, we introduced a new search platform, revamped image search and launched a number of new services including Yandex.Fotki (a free photo hosting service) and satellite map search. We also localized search and a number of our other services to serve the Ukrainian market www.yandex.ua).

With the acquisition of Smartcom, a developer of mobile applications, Yandex launched mobile services.

In the spring, Yandex purchased Moi Krug (My Circle), a social networking website for professionals.

In the fall, Yandex announced the launch of the Yandex Local Network, to improve accessibility of Yandex services for users in Russia's regions and in the CIS.

Yandex also established the School for Data Analysis - a fundamental research center and a Master's program in data analysis.

Yandex has six offices and over 1000 employees and continues to grow.

Contact:
Media Relations
Vladimir Isaev, Ochir Mandzhikov
Phone: +7 495 739-7000
E-mail: pr@yandex-team.com