Moscow. 15 November 2004. RAO "UES of Russia" has published the financial statements of OAO RAO "UES of Russia" for the first nine months of 2004 prepared according to the Russian Accounting Standards (RAS).

Balance Sheet as of 30 September 2004:

In the 9 months of 2004 ended 30 September 2004, the short-term receivables of OAO RAO "UES of Russia" decreased by RUB471.29 million to RUB17.91 billion.

The long-term receivables stood at RUB25.22 billion as at 30 September 2004, up RUB7.81 billion compared to the beginning of the year. Such an increase was due to the payments made under the partnership agreements, including the agreement with OAO "Bureyskaya HPP".

The short-term payables over the period decreased almost fourfold to RUB4.27 billion from RUB16.54 billion as at the beginning of 2004.

During the nine months, the long-term financial investments grew by RUB14.79 billion to RUB232.83 billion from RUB218.03 billion as at the beginning of 2004.

Income Statement for 9 Months of 2004:

The Company's sales in the first 9 months of 2004 totalled RUB24.77 billion, which represents a year-on-year decrease. The decline in the sales revenue during the period was primarily due to the reduction of the amount of the subscription fee by RUB11.45 billion after OAO "UES FGC" was set up as a separate legal entity, and a separate tariff was established for FGC. Other reasons for the decline include the transfer of part of electricity export contracts to ZAO "INTER RAO UES" and termination of sale of electricity and heat by the Company's branches "Kharanorskaya TPP", "Saratovskaya HPP", and "Nizhegorodskaya HPP" in connection with the establishment of OAO "Kharanorskaya TPP", OAO "Saratovskaya HPP", and OAO "Nizhegorodskaya HPP".

The sales profit amounted to RUB17.45 billion, down RUB5.18 billion compared to January-September last year. The pre-tax profit decreased over the period by nearly RUB5.26 billion to RUB20.42 billion from RUB25.69 billion in the same period last year.

The net profit amounted to RUB17.10 billion, a decrease of RUB2.31 billion on January-September 2003.