02.08.2010
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At the Regular Meeting of JSC RusHydro's Board of Directors


July 29, 2010. The Board of Directors of JSC RusHydro (ticker symbol: HYDR, MICEX, RTS and LSE) voted by proxy.

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The Board of Directors approved the Company's Board of Directors Plan of Activities for 2010-2011.

According to the plan of activities, the Company's Board of Directors meetings will be held once a month on the average.


In accordance with the Regulations on Procedures for the Convocation and Holding of the Board of Directors Meetings of the Company (approved by the General Meeting of Shareholders of June 22, 2007, Minutes No. 254), the Board of Directors meetings are held in accordance with the approved Board of Directors Plan of Activities, and also as may be necessary, but at least once a quarter.


The Board of Directors of JSC RusHydro approved securities (01 series bonds) placement by public offering.


In accordance with the Board of Directors resolution, documentary interest-bearing inconvertible bonds of 01 series, payable to bearer, subject to mandatory centralized custody, totaling 10,000,000 (Ten million) bonds, can be placed.


In accordance with the requirements of the Federal Law "On Joint Stock Companies" the Board of Directors approved the par value of 1 bond in the amount of 1,000 (One thousand) rubles each, maturing on the 3,640th (Three thousand six hundred and fortieth) day of the placement start date with the option of early redemption upon request of the bondholders and at the discretion of the Issuer.


Bonds are placed by making purchase and sale transactions at the price of the Bonds placement for trading held by the Moscow Interbank Currency Exchange. Other conditions of Bonds placement are specified in the Resolution on the Issue of Securities.


The Board of Directors approved the Resolution on the 01 series bonds issuance and the Bonds placement Prospectus.

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The Board of Directors of JSC RusHydro approved securities (02 series bonds) placement by public offering.


In accordance with the Board of Directors resolution, documentary interest-bearing inconvertible bonds of 02 series, payable to bearer, subject to mandatory centralized custody, totaling 10,000,000 (Ten million) bonds, can be placed.


In accordance with the requirements of the Federal Law "On Joint Stock Companies" the Board of Directors approved the par value of 1 bond in the amount of 1,000 (One thousand) rubles each, maturing on the 3,640th (Three thousand six hundred and fortieth) day of the placement start date with the option of early redemption upon request of the bondholders and at the discretion of the Issuer.


Bonds are placed by making purchase and sale transactions at the price of the Bonds placement for trading held by the Moscow Interbank Currency Exchange. Other conditions of Bonds placement are specified in the Resolution on the Issue of Securities.


The Board of Directors approved the Resolution on the 02 series bonds issuance and the Bonds placement Prospectus.

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The Board of Directors approved borrowings increase up to 20,000,000,000 (twenty billion) rubles for financing of investment activities.

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The Board of Directors approved the Regulations on JSC RusHydro Loan Policy as amended.

Amendments were introduced for the purpose of bringing the Regulations on Loan Policy to conformity with the planned expansion of the Company's international activity.

The revised version of the Regulations stipulates the establishment by the Company's Board of Directors of the net foreign exchange position limit of JSC RusHydro.

The version of the Program of Operations with Derivative Financial Instruments of JSC RusHydro, approved by the Company's Board of Directors No. 51 of April 21, 2008, (taking into account the amendment introduced by the resolution of the Company's Board of Directors No. 75 of April 28, 2009) became the Appendix to the Company's Regulations on Loan Policy.

Also some technical specifications were introduced in the text.

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The Board of Directors approved the management authorities limit in respect of net foreign exchange position in the amount equivalent to 50 million US dollars (excluding contracts entered into in accordance with respective BoD decisions).


The Company's net Foreign Exchange Position limit for day-to-day operation purposes (in the amount equivalent to 50 million US dollars) has been set within the framework of the Company's foreign exchange risk exposure management in order to enable the company to immediately enter into the contracts that stipulate foreign currency claims or and liabilities.

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The Board of Directors took note of the report on performance of the consolidated Business Plan of RusHydro Group for 2009.

RusHydro Group Business Plan consolidation was made in accordance with the consolidation methods under the Russian Accounting Standards (RAS).

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The Board of Directors took note of the report on purchasing of oil products by the Company in 2009, and also recognized the increase of oil products purchase share under direct contracts and using exchange trading marketplaces with simultaneous decrease of the purchase share using intermediary structures inexpedient.

The issue on increase of oil products purchase share is proposed for consideration of the Board of Directors in pursuance of the instruction of the Government of the Russian Federation No. ИС-П9-866 of February 15, 2010 and the RF Ministry of Energy (letters No. СС 3213-08 of April 19, 2010 and No. 08-251 of May 19, 2010).

Oil products are purchased by JSC RusHydro in accordance with the approved by the Company's Board of Directors Regulations on the Order of Regulated Product Purchases for JSC RusHydro needs.

The oil products are not used during the JSC RusHydro hydroelectric power plants (Branches / Subsidiaries and Associates) power generation production cycle. The purchase amount of oil products (petrol, diesel fuel, oils), intended for maintenance of transport and equipment normal operation, is insignificant. On the basis of the above-mentioned, the Board of Directors recognized the increase of oil products purchase share by JSC RusHydro inexpedient.

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The Board of Directors made the decision on termination of powers of Rustem Zakievich Khamitov, member of the Company's Management Board, from July 16, 2010 in connection with his appointment to a public office and in accordance with his application, and also on termination of contract made with him.


The Board of Directors identified the composition of the Company's Management Board totaling 11 people.


In accordance with sub-clause 8 of cl. 12.1 of JSC RusHydro Articles of Association, termination of powers of the Management Board members, including making a decision of early termination of their contracts, pertains to the competence of the Company's Board of Directors.

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The Board of Directors approved holding the concurrent position of the Chairman of the Council of the Non-Profit Partnership Construction Organization Association EnergoStroyAlliance by Alexey Victorovich Maslov, member of the Management Board.


In accordance with clause 17.8 of article 17 of JSC RusHydro Articles of Association, the Chairman of the Management Board and members of the Management Board may concurrently hold office in managing bodies of other organizations, as well as other gainful
occupations in other organizations only subject to the consent of the Company's Board of Directors.

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The Board of Directors approved interested-party transaction - the signing of bilateral agreements with JSC INTER RAO UES, in relation to Bureiskaya and Zeiskaya HPP branches for the purpose of exporting electric power to China.

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The Board of Directors approved the transaction with the Non-Profit Partnership (NP) Hydraulic Power of Russia which is identified as being of interest.

The agreement is signed within the framework of the Company's Program of Work on Standardization in the Sphere of Technical Regulation for 2009-2011, which was approved by the decision of JSC RusHydro Board of Directors (Minutes No. 78, dated June 8, 2009). The subject of the agreement is the services on development of the Company's fourteen priority standards for the year 2010.

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The Board of Directors approved the transaction with JSC Ust-Srednekanskaya HPP, which is identified as being of interest.

In compliance with the agreement, JSC RusHydro provides JSC Ust-Srednekanskaya HPP with a loan for the period up to December 25, 2011 for the purpose of providing finance for the HPP construction.

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