TVEL OJSC Registers Additional Issue of Shares

All additional shares will be purchased by Atomenergoprom OJSC as the sole shareholder.
As a payment for the additional shares TVEL OJSC received 100% of shares in “Obyedinennaya Kompaniya “Razdelitelno-Sublimatnyi Kompleks” OJSC (“United Company “Separation and Sublimation Complex”) (RSK, owns stakes in 4 separation and sublimation enterprises), as well as stakes in Siberian Chemical Works OJSC (SKhK, 2.03%) and in Bochvar High-Technology Research Institute of Inorganic Materials OJSC (VNIINM, 20.4%).
This additional issue is one more stage in the process of formation of a fuel company on the basis of TVEL OJSC, which includes transferring assets of the separation and sublimation complex to the company. According to the plan the fuel company formation process will be completed in December 2010. By the end of the year, gas centrifuges and auxiliary equipment manufacturing enterprises will also be transferred to TVEL OJSC.
As it was already reported, pursuant to the decision taken by Rosatom State Corporation, a fuel company is being formed on the basis of TVEL OJSC. The purpose of creating the fuel company is building the optimal management structure for nuclear fuel enterprises to enhance their performance and competitiveness on the global market. The fuel company will also improve the starting positions for creating global alliances with western companies and will provide a faster development of the scientific component that is needed for innovation-driven growth of manufacturing facilities.
At the first stage the fuel company will unite gas centrifuges manufacturing enterprises, separation and sublimation works, as well as fuel manufacturing works and the scientific block. President of TVEL OJSC – Yuri Olenin; Chairman of the Board of Directors – Alexander Lokshin, deputy CEO of Rosatom State Corporation.