Ministry of Finance of the Russian Federation announced the
launch of its final offer to exchange Russian Federation Eurobonds due
2010 and 2030 for eligible trade indebtedness of the former USSR
Moscow, 27 November 2009 – The Ministry of Finance of the Russian Federation announced the launch today of its third and final offer to exchange Russian Federation Eurobonds due 2010 and Russian Federation Eurobonds due 2030 for eligible trade indebtedness of the former USSR (FTO debt). Participating creditors will also receive all the principal payments and (except as provided in the offering documents) all the interest payments made on the 2010 and 2030 bonds prior to the settlement date for the exchange.
The FTO exchange offer is being made on substantially the same financial terms as were previously offered to FTO creditors in 2002 and 2006.
The bonds to be exchanged were previously issued by the Russian Federation and subsequently acquired in the secondary market, and will be fungible with all other existing 2010 and 2030 bonds. No new Eurobonds will be issued in connection with the exchange offer.
Following the conclusion of the current exchange, Russia will have completed the restructuring of the former Soviet Union’s commercial trade debt for which it has previously agreed to be responsible.
The Ministry of Finance today also announced that notices confirming the eligibility (or ineligibility) of all remaining FTO claims that were timely submitted for reconciliation will be dispatched shortly.
Copies of the Offering Circular containing the detailed terms of the exchange offer are being sent to all holders of reconciled FTO debt, and may also be obtained from the password-protected section of Vnesheconombank’s website at http://www.veb.ru/.
To assist holders in evaluating the exchange offer, an FTO Bond/Cash Calculator will be available on Vnesheconombank’s website http://www.veb.ru/. This calculator can be used to calculate the indicative amount of 2010 and 2030 bonds and cash that will be received in exchange for a tendered FTO debt. The actual amount of bonds and cash that will be received by a participating holder will be determined by Vnesheconombank in accordance with the terms of the exchange offer.
The exchange offer will remain open until 5 p.m., London time, on Wednesday, 9 December 2009. It is expected that the exchange offer will close on Friday, 18 December 2009.
Questions regarding the submission of Letters of Transmittal and requests for additional copies of the Offering Circular should be directed to Citibank, N.A., the Exchange Agent for the offer, at:
14th Floor, Citigroup Centre
London E14 5LB
Tel. No. ++44 20 7508 3867
Fax No. ++44 20 3320 2405
Questions regarding the reconciliation of FTO debt should be directed to Vnesheconombank, the Sub-Exchange Agent for the offer, at:
Academic Sakharov Avenue, 9
Moscow 107996 GS P-6
Tel. No. ++7 495 604 6327
Fax No. ++7 495 604 6095
NOT FOR RELEASE IN THE UNITED STATES. These materials are not an offer for sale of the securities in the United States. The securities may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act of 1933, as amended. The Russian Federation has not registered, and does not intend to register, the securities in the United States or to conduct a public offering of securities in the United States.