On July 23^rd, 2009, a regular session of JSC RusHydro's Board of Directors was conducted in the form of joint attendance. 

JSC RusHydro's Board of Directors elects the Company's Strategy Committee

The Company's Board of Directors elected the following members of the Strategy Committee (which operates under RusHydro's Board of Directors):

1. Vyacheslav Yuryevich Sinyugin, Deputy Energy Minister of the Russian Federation;

2. Maria Gennadyevna Tikhonova, Deputy Director of the department for economic regulation and property relations at fuel and energy complexes in the Russian Ministry of Energy;

3. Tatiana Viktorovna Zlydareva, Deputy Head of the division for fuel and energy and the coal industry at the directorate of the Russian Agency for State Property Management;

4. Valentin Efimovich Mezhevich, member of the Russian Federation Council Assembly, First Deputy Chairman of the Federation Council's Committee on Natural Monopolies;

5. Vsevolod Valeryanovich Gavrilov, Head of the directorate for the management of projects in energy saving and conservation at Sberbank of Russia;

6. Sergei Sergeyevich Beloborodov, member of RusHydro's Board of Directors;

7. Eduard Petrovich Volkov, member of RusHydro's Board of Directors;

8. Viktor Ivanovich Danilov-Danilyan, member of RusHydro's Board of Directors;

9. Vasily Aleksandrovich Zubakin, member of RusHydro's Board of Directors, Acting Chairman of RusHydro's Management Board;

10. Oleg Borisovich Oksuzyan, member of RusHydro's Management Board.

Vyacheslav Yuryevich Sinyugin was elected Chairman of the Company's Strategy Committee under RusHydro's Board of Directors.

JSC RusHydro's Board of Directors elects the Company's Investment Committee

The Company's Board of Directors elected the following members to the Company's Investment Committee (which operates under RusHydro's Board of Directors):

1. Andrei Vladimirovich Sharonov, member of RusHydro's Board of Directors;

2. Dmitry Ruslanovich Kostoyev, Deputy General Director, head of the economic and finance department at Norilsk Nickel (metals and mining company);

3. Matvei Vladimirovich Taits, senior analyst with the analytical research department at LLC Uralsib Capital;

4. Viktor Yuryevich Lebedev, head of the division for electric power development at the department of the state regulation of tariffs, infrastructure reforms and energy efficiency at the Russian Ministry of Economic Development;

5. Dmitry Aleksandrovich Kozlov, Deputy Director of the department for the development of and investment policy at fuel and energy complexes in the Russian Ministry of Energy;

6. Elena Valentinovna Pomchalova, head of the department for regulation and electric power pricing control at the Russian Federal Tariff Service;

7. Vasily Aleksandrovich Zubakin, member of RusHydro's Board of Directors, Acting Chairman of RusHydro's Management Board;

8. Denis Aleksandrovich Nozdrachev, Director of the infrastructure department at the Russian State Corporation "The Bank for Development and Foreign Economic Affairs" (Vnesheconombank);

9. Wolfgang Skribot, Managing Director of the direct investment department at JSC Gazprombank;

10. Maria Gennadyevna Tikhonova, Deputy Director of the department for economic regulation and property relations at fuel and energy complexes in the Russian Ministry of Energy.

Andrei Vladimirovich Sharonov was elected Chairman of the Investment Committee under RusHydro's Board of Directors.

JSC RusHydro's Board of Directors approves the report on the fulfillment of the Ñompany's Investment Program for Q1 2009

RusHydro's Board of Directors has noted the Report on the interim results of the fulfillment of the Company's Business Plan for IH 2009, taking into account the actual results for Q1 2009.

In addition, the Company's Board of Directors approved the Report on the fulfillment of RusHydro's Investment Program for Q1 2009.   The actual volume of financing for RusHydro's Investment Program during Q1 2009 totaled  9.62 billion rubles (the Investment Program fulfillment during the Q1 2009 stood at 87.6 %).

RusHydro's 2009 Investment Program was approved by the Company's Board of Directors on May 18^th, 2009 in the amount of 64.9 billion rubles and foresees the introduction of 74 MW of additional capacity (additional information is posted on the corporate website at (https://www.rushydro.ru/company/invest/investprogram/2009).

JSC RusHydro's Board of Directors approves the Concept for a System for effectively managing the safety and reliability of hydro-engineering structures

During the meeting, JSC RusHydro's Board of Directors approved the Concept for a System for effectively managing the safety and reliability of hydro-engineering structures (heretoafter referred to as the "System).  The Board also adopted a resolution to create the System's organization structure at one of the Company's subsidiaries during 2009.   

Ensuring the safe and reliable operation of the Company's hydro-engineering structures is a key focus of RusHydro's strategic initiatives, complying with its mission and the principles governing its activities, as well as all applicable requirements of the Russian Federation's legislative framework.

Objectives for creating the System:

· to ensure the safe and reliable functioning of the Company's hydro-engineering structures at an optimal cost level, which means the timely performance of repair work and the comprehensive assessment of all factors that affect safety.

· to have the Company enter the market for providing hydro-engineering structure reliability and safety services, that is, to introduce the System at other companies' hydro-engineering structures (that own hydro-electric power stations), as well as at government-owned non-power hydro-engineering structures.

To develop the Concept for the System, RusHydro has selected the Cascade of Kubanskiye HPP as the site for the pilot project.   The result of the pilot project will be a program to carry out required repair work at the hydro-engineering structures at the Cascade of Kubanskiye HPPs from 2010 - 2015, optimizing the Company's financial outlays, as well as fully ensuring the reliable operations of these hydro-engineering structures - in full accordance with Russian Federation legislative requirements.  Leading Russian scientific and design institutes, including: JSC NIIES, JSC VNIIG im. B.E.Vedeneev and JSC Mosoblgidroproekt, are engaged in this pilot project. 

The Concept for the System has been developed within the scope of the Key Provisions for RusHydro's strategy, taking into account that the Company will not compromise when it comes to ensuring the safety of its hydro-engineering structures.  The means envisaged by the Concept for effectively managing the safety and reliability of hydro-engineering structures include: regulatory and methodological, instrumental, informational and personnel support, which meet (and or exceed) the most recent requirements and fully comply with international best practice standards. 

The Concept focuses particular attention on information support, which the Company plans to develop in the form of an automated decision-making support system in the area of the safety and reliability of RusHydro's  hydro-engineering structures.

The central feature of the System for managing the safety and reliability of the Company's hydro-engineering structures must be an information analysis center for the safety and reliability of these structures.  The task of this center will include drawing up proposals on measures to ensure safety and reliability, as well as developing a repair and renovation program.  The center incorporates the Company's design and research sub-divisions, as well as the engineering services of all of its subsidiaries. 

JSC RusHydro's Board of Directors has determined the price for the Company's retained auditing services

The Company's Board of Directors has determined the price of services for RusHydro's Auditor (closed joint stock company (CJSC) PriceWaterhouseCoopers Audit)  to compile RusHydro's financial and accounting reports for FY 2009.

According to a decision made at the recently completed AGM (on 2009 results), the Company approved PriceWaterhouseCoopers Audit (CJSC PwC Audit) as RusHydro's auditor (protocol #4 from June 10th, 2009).

JSC RusHydro's Board of Directors considers approving transactions

The Company's Board of Directors addressed an item "On the approval of related-party transactions involving members of the Board of Directors," approving the conclusion of agreements between JSC RusHydro and the following Board members:  Anatoliy Borisovich Ballo, Sergey Sergeyevich Beloborodov, Boris Feliksovich Veinsikher, Eduard Petrovich Volkov, Viktor Ivanovich Danilov-Danilyan, Sergey Vladimirovich Maslov, Sergey Vladimirovich Serebryannikov, Oleg Vyacheslavovich Surikov, Vladimir Vitalievich Tatsiy and Andrey Vladimirovich Sharonov.

The agreement contains general rights and obligations for members of the Company's Board of Directors, which have been established by regulatory and legal acts, as well as the Company's Articles of Association and other internal documents.

JSC RusHydro's Board of Directors considers an item "On determining the agenda for General Shareholder Meetings of the Company's SDCs"

RusHydro's Board of Directors has instructed Company representatives in the event of the incorporation of new subsidiary and dependent companies (SDCs) to provide for the inclusion of the item "On the approval of a Company auditor" in the agenda of the General Shareholder Meeting(s) of the subsidiary and dependent companies.

In accordance with the Russian Federal Law "On Joint-Stock Companies (JSCs)," the approval of a company auditor falls within the terms of reference for a company's General Shareholder Meeting.

JSC RusHydro's Board of Directors approves a transaction involving the disposal of JSC Prometey's assets

The Company's Board of Directors has approved a transaction involving the disposal of JSC Prometey's assets through the conclusion of a property sale and purchase agreement between Prometey and RusHydro.

The subject of the transaction is a transfer by Prometey of the complex of Gunibskaya HPP's assets to RusHydro's ownership.  The assets are worth 571.2 million rubles (including VAT).

RusHydro's  Board of Directors has instructed its representatives to vote FOR inclusion of the following items on the agenda for Prometey's General Shareholder Meeting:

· on Prometey's liquidation;

· on the formation of a liquidation committee for Prometey;

· on the approval of an interim liquidation balance sheet forPrometey;

· on the approval of a liquidation balance sheet for Prometey.

In addition, RusHydro's Board of Directors has instructed Company representatives at Prometey's General Shareholder Meeting (the functions of which are fulfilled by RusHydro's Management Board) to vote FOR liquidation of Prometey.

Prometey, which is a 100% subsidiary and dependent company of RusHydro, was established in 2004 to fulfill the functions of customer, exercise technical supervision and start up operations at the Gunibskaya HPP.

The Gunibskaya HPP is located in the Russian Republic of Dagestan on the Karakoisy River, upstream from the Gergebilskaya HPP.  The installed capacity of the electric power station is 15 MW.  The Gunibskaya HPP was started up in 2005 and is operated by Prometey personnel.

The aims and tasks for which the Company was initially established have now been successfully fulfilled.  The function of operating the Gunibskaya HPP will be assumed by RusHydro's Dagestan subsidiary.