Results of the Board of Directors on August 16, 2013

Results of the Board of Directors on August 16, 2013

JSC RusHydro (ticker symbol: MICEX-RTS, LSE: HYDR; OTCQX: RSHYY) announces that the Company's Board of Directors held a meeting in absentia on August 16, 2013.

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The Board of Directors approved combining positions by members of RusHydro's management board in governance bodies of other organizations.

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The Board of Directors approved participation of RusHydro in CJSC Holding company BoGES and CJSC Holding company BoAZ through creation of these companies.

The companies will be wholly-owned by RusHydro. The share capital of each company will amount to RUR 500,000; total number of shares to be placed is 500,000 with par value of RUR 1 per share. The share capital will be paid in cash.

The creation of new RusHydro?s subsidiaries is aimed to execute the President?s decree to transfer the companies involved into implementation of BEMO project under jurisdiction of the Russian Federation.

RusHydro and UC RUSAL currently own on an equal basis joint ventures registered in Cyprus: BALP Limited, a sole shareholder of CJSC BoAZ, and BOGES Limited, a sole shareholder of JSC Boguchanskaya HPP.

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The Board of Directors approved termination of RusHydro?s participation in RusSUNHydro Limited due to voluntary liquidation of the company and commissioned RusHydro?s representatives in the management bodies of RusSUNHydro Limited to vote for the decisions related to its liquidation.

RusSUNHydro Limited was established in 2007 by HydroOGK and SUN Group in Nicosia, Cyprus, in order to control the construction and operate hydropower plants in India, Nepal and Bhutan. The company conducted feasibility studies on hydropower potential of India, Nepal and Bhutan with total installed capacity of 87 GW. Management of RusSUNHydro Limited considered potential investments in different projects in India, but the company did not participate in any of them, as these projects didn?t comply with its investment policy. At the moment the company stopped its operations. Shareholders preliminary decided to put the company into liquidation due to its economic inefficiency.

About RusHydro:

RusHydro Group is one of Russia?s largest generating companies. RusHydro is the leading producer of renewable energy in Russia with over 70 generating facilities in Russia and abroad. The company also manages a number of R&D, engineering and electricity retail companies. Group?s thermal assets are operated by subsidiary ? RAO Energy System of East in the Far East of Russia. Total electricity generation capacity of the Group is 36.5 GW, heat capacity ? 16.2 thousand GCal/h.

Russian Federation owns 65.9% in RusHydro, the rest is held by other institutional and individual shareholders (over 360,000). The company?s stock is traded on the MICEX and RTS stock exchanges, and included in MSCI EM ? MSCI Russia indexes. Company?s GDRs in the IOB section of LSE, ADRs ? in OTCQX.

 

For more information:

JSC RusHydro, Investor Relations Department

Tel. [phone] ext. 1319, 1607

[e-mail]

 

DISCLAIMER

The information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of RusHydro. One 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 and rapid technological and market changes in our industries, as well as many other risks specifically related to RusHydro and its operations.