Russia's cellular service provider MTS (Mobile TeleSystems) may issue bonds but it will avoid equity markets in 2002, vice president Alexei Buyanov reported. The mobile phone company has no urgent need for funds because it still has $150 million from its initial public offering and was earning the equivalent of $200 million a year, said Buyanov. In addition, he said it would not like to dilute the holdings of its existing shareholders. "It may be necessary for us to raise money (in 2002,)" Buyanov said. But "our shareholders do not appreciate dilution of their stakes in MTS. Without a doubt it should be from the debt market," he said. The company may buy a competitor, or a third generation mobile telephone license before this takes place, the Russia Journal wrote.