Press release RUSSIA ANNOUNCES CLOSING OF FTO EXCHANGE OFFER
Moscow, 1 December 2006. The Ministry of Finance of the Russian Federation announced today the closing of the Russian Federation’s offer to exchange Russian Federation Eurobonds due 2010 (2010 Bonds) and 2030 (2030 Bonds) for eligible trade indebtedness of the former USSR (FTO Debt). The exchange offer expired on 10 November 2006. The 2010 Bonds and the 2030 Bonds accrue interest from 31 March 2000.
US$140. 5 million principal amount of 2010 Bonds and US$907.8 million principal amount of 2030 Bonds were issued at closing in exchange for US$1.075 billion principal amount of tendered FTO Debt. The FTO Debt tendered in the exchange represented approximately 99.97% by principal amount of the FTO claims confirmed as eligible to participate. In accordance with the terms of the exchange offer, 29.61% of the principal amount of the 2010 Bonds issued on the closing date, and all of the interest that would have been paid on the 2010 Bonds and the 2030 Bonds if such bonds had been issued in August 2000 as part of the Russian Federation’s London Club restructuring, was paid at closing to participating creditors.
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.