INTER RAO Receives Global Credit Rating From Fitch

In the evaluation process Fitch has applied a technique that enables to assess the relationship between INTER RAO and its majority shareholder. In accordance with this methodology, INTER RAO received a rating two positions below the sovereign credit rating of the Russian Federation. At present, no Russian power generation company has a higher rating. At the same time, Fitch notes that diversified gas-generating companies with strong financial performance have the potential to receive an investment grade credit rating within the next two years.

The credit rating agency has noted the strategic importance of INTER RAO for the national economy and the company’s strong position in cross-border supply of electric power. Fitch also notes the well-balanced structure if the Group’s debt profile regarding maturity periods, as well as the positive influence of minority stakes monetization on the Group’s liquidity in general.

Troika Dialog and the Royal Bank of Scotland have acted as rating consultants.

“The high rating obtained by INTER RAO demonstrates the correctness of the company’s strategy as well as its importance in the development of Russia’s energy sector,” - said Boris KOVALCHUK, Chairman of the Board of INTER RAO. “This event is the result of systematic work on cost optimization, increase of operating margins, and development of corporate governance and financial control at all companies of the Group. Obtaining a rating from global agencies at such high level can expand the list of available financial instruments, promotes the growth of the base of debt investors and opens new capital markets for INTER RAO.”