Press release RUSSIA Announces Results of FTO Exchange Offer: SETTLEMENT DATE FIXED FOR 28 NOVEMBER 2006
Moscow, 16 November 2006. The Ministry of Finance of the Russian Federation announced today the results of the Russian Federation’s offer to exchange Russian Federation Eurobonds due 2010 and 2030 for eligible trade indebtedness of the former USSR (FTO debt). The exchange offer expired on 10 November 2006.
U.S. $1.075 billion aggregate principal amount of FTO claims were validly tendered and accepted in the exchange offer, comprising over five thousand claims held by creditors located in close to 30 countries. All claims properly tendered prior to the expiration of the offer period were accepted, regardless of their date of tender. The debt accepted in the exchange offer represents approximately 99.97% by principal amount of the FTO claims that were confirmed as eligible to participate.
Upon settlement of the exchange offer, holders who tendered FTO claims are expected to receive approximately U.S. $98.9 million principal amount of 2010 Bonds (after giving effect to previously scheduled principal payments), U.S. $907.8 million aggregate principal amount of 2030 Bonds and a cash payment in the aggregate amount of U.S. $383.4 million. The settlement date for the exchange offer is 28 November 2006.
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.