The Strategy and Development Committee of IDGC of North-West’s Board of Directors recommended that the Board of Directors should approve the report on implementation of the company’s business plan for the 2nd quarter of 2010 and 6 months of 2010.

A regular in-presence meeting of the Strategy and Development Committee of IDGC of North-West’s Board of Directors was held on 7 September in Moscow. One of the issues addressed by the members of the committee was implementation of the Company’s business plan for Q2 and 6 months of the current year.

The actual amount of earnings obtained by IDGC of North-West for Q2 2010 was RUR 6,227.4 million; their amount for 6 months of 2010 equaled RUR 13,462.5 million. The largest share was represented by the earnings obtained from rendering electric power transmission services - 96 % of the total amount of the Company’s earnings.

The net profit of IDGC of North-West based on the performance for H1 2010 was RUR 187 million.

Productive supply (total volume) to consumers of IDGC of North-West for H1 2010 was RUR 20,321 million kWh, which is by 3.3% above the target and by 3.4% above the similar indicator for H1 of the last year. Losses of electric power to the grids were 6.8% in relation to the supply to the grid on the target level of 7.31%.

IDGC of North-West’s EBITDA based on the results of H1 2010 was RUR 1,929 million, which is by 48.3% above the target. ROE was 0.32%, return on sales was 5.95%, current liquidity ratio was 1.74, and equity to total assets was 0.73.
Deputy General Director of IDGC of North-West for Economy and Finance Olga Makarova pointed out main risks, first of all, disagreements with sales companies regarding the value of rendered electric power transmission services for 2009, and in detail told about the work of the company as regards risk minimization. According to Olga Makarova, IDGC of North-West’s financial position is satisfactory, “based on the results I of H1 2010, the company improved its financial position in comparison with the target.” The Company’s solvency rating is “A”, the financial position rating is “Â2”. 

The Strategy and Development Committee of IDGC of North-West’s Board of Directors recommended that the Board of Directors should approve the report on performance of the company’s business plan for the 2nd quarter of 2010 and 6 months of 2010. This decision was taken at the committee in-presence meeting on 7 September 2010.