OREANDA-NEWS. July 22, 2010. Public tenders were held for the right to stipulate agreements on extending credit lines. Three lots for RUR 2 bln loans were presented at the tenders:

The public tenders were conducted in accordance with Federal Law No. 135-FZ “On protecting competition”.

The following banks participated in the tenders:

For lot # 1 – UniCreditBank, Bank VTB, Alfa Bank, TransCreditBank;

For lot # 2 – UniCreditBank, Bank VTB, Alfa Bank, TransCreditBank;

For lot # 3 – Bank VTB, Alfa Bank, TransCreditBank.

The winners of the tender were as follows:

For lot # 1 – UniCreditBank, which placed a bid for the minimum interest rate of 8.21%;

For lot # 2 –  UniCreditBank, which placed a bid for the minimum interest rate of 8.23%;

For lot # 3 –  Alfa Bank, which placed a bid for the minimum interest rate of 8.33%

Under the terms of the tender documentation, agreements on extending non-revolving credit lines with a limit of RUR 1.5 bln will be signed with the winners of lots No. 1 and 2 with a limit of RUR 1.5 bln on the following terms:

validity term of the credit line – 3 years from the signing date of the agreement;

unsecured loan;

credit resources are to be used to finance the company’s 2010 investment program and operating activities, buy back its own shares and refinance current liabilities.

Under the terms of the tender documentation, an agreement on extending a revolving credit line with a limit of RUR 500 mln will be signed with the winner of lot No. 3 on the following terms:

validity term of the credit line – 3 years from the signing date of the agreement;

unsecured loan;

credit resources are to be used to finance operating activities and refinance current liabilities.

For more detailed information on the tenders, see the Company’s corporate website in the section entitled “Tenders and auctions”.