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RusHydro secures financing from EBRD for reconstruction of power facilities in the Far East of Russia

JSC RusHydro (ticker symbol: MOEX, LSE: HYDR; OTCQX: RSHYY) announces that European Bank for Reconstruction and Development (EBRD) will provide a 12-year loan facility to RusHydro in the amount of RUR 4.4 bn to finance reconstruction and modernization of power infrastructure in the Far East of Russia, suffered from massive floods in 2013 caused by ample rainfalls.

The loan will be used to reschedule the current debt of Far Eastern distribution company (DRSK), part of RAO ES of East holding, and support the company’s large-scale program providing for modernization of a grid system aimed to reduce electricity losses as well as improve quality and reliability of power supply in the region.

Far Eastern distribution company (DRSK) provides electricity transmission services through grid system of Primorsky, Khabarovsy regions, Amur Oblast, Jewish Autonomous Oblast and the South Yakutia.

RusHydro’s strategy of energy development in the Far East includes the replacement of economically inefficient capacities with effective power generation through incorporation of hydro and thermal generation; signing direct contracts with consumers of both existing and generation assets under construction; realization of electricity export opportunities to neighboring countries and implementation of investment projects using public-private partnership tools and project financing.

European Bank for Reconstruction and Development (EBRD) is an international financial institution established by 64 countries and international organizations to support market economies and democracies in central Europe and central Asia. 

The information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of RusHydro. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might," the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially from these statements. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to RusHydro and its operations.
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