Dear shareholders!

The new Development Strategy takes into account the unique nature of RusHydro – a public and an infrastructure company. One of the most important tasks is the development of energy in the Far East.

The Strategy is aimed at combining the growth of capital-raising potential and ensuring the reliable and safe energy facilities operation.

In order to implement the Strategy we focus on improving efficiency, measures aimed at increasing Company’s value. This measures’ implementation will ensure high dividend yield and return on investment to shareholders. In 2016 Company completed a number of major transactions for the sale of non-core assets (dams of the Angarsk cascade of HPPs and the Energy Retail Company of Bashkortostan). Also, a unique mechanism for refinancing debts of the RAO ES of the East Holding companies for the amount of 55 billion rubles was developed with the signing of a non-deliverable forward contract.

In 2016 RusHydro Group demonstrated high financial results. Company’s management uses a risk-based approach to making managerial decisions taking into account the risks of production, financial and regulatory nature.

The Company focuses on the priorities of scientific, technological and innovative development, ensuring the increase in the efficiency of electricity and heat production by updating all production systems, enhancing the Company’s competitiveness in the long term.

George Rizhinashvili
Member of the Management Board, First Deputy CEO