Moscow, 13 February 2004. Today, the Deputy Chairman of the Management Board of RAO "UES of Russia" Mikhail Abyzov held a meeting with heads of the regional energos' energy sales units to discuss their Y2003 results.

It was stated that the sales of electricity and heat throughout RAO "UES of Russia" in 2003 made 101% of the energy charges. As a result, the receivables of the Holding's entities declined by 15.2% to RUB67.7 billion as of 1 January 2004, compared to RUB79.98 billion in 2003. As at year-end 2003, the housing and utility enterprises remained the main debtors of RAO "UES of Russia". Despite the decrease in their debts by 9% in 2003, the debts owed by the housing enterprises stood at above RUB31 billion as of 1 January 2004 (the housing enterprises consume 14% of all electricity and 45% of heat produced by RAO "UES of Russia").

In 2003, RAO UES entities were able to reduce the restrictions in electricity supply to non-payers. This was primarily due to the improvement in consumers' payment discipline and changes in the Company's policy regarding non-paying consumers from restricting energy supply to filing claims in respect of individual non-payers.

Mikhail Abyzov pointed to the fact that, over 2003, the number of energy companies of RAO "UES of Russia" Holding which do not have overdue receivables increased from 16 to 24. The best results in payments collection and fulfilment of the business plans for 2003 have been achieved by OAO "Astrakhanenergo", OAO "Bryanskenergo", OAO "Orelenergo", OAO "Vologdaenergo", OAO "Ivenergo", OAO "Kalugaenergo", OAO "Lipetskenergo", OAO "Ryazanenergo", OAO Penzaenergo", OAO "Samaraenergo", OAO "Rostovenergo", OAO "Stavropolenergo", OAO "Kurganenergo", and OAO "Tyumenenergo".