On 27 July, LSR Group executed the second stage* of put option on its third domestic bond issue of Series 02. LSR-Invest LLC, a 100 percent subsidiary of OJSC LSR Group and a formal issuer of this series of bonds, bought back the issue after the end of the fourth coupon period.  Within the second stage of the put option 1 236 bonds with a nominal value of RUR 1,000 each  of a total amount of RUR 1,242,328 (including accumulated coupon payment) were bought back at the request of bondholders. Thus, LSR Group fully fulfilled its obligations on the put option.

In total during 2 stages of the put option 2,969,094 bonds of RUR 2 969 100 328 (including accumulated coupon payment) were bought back.

After the put option 906 bonds remain in the market.

It is the third bond issue of LSR Group that was placed in July 2007 in the amount of RUR 3 billion.

*In accordance with the prospectus the put option is exercisable in two stages:

 First stage –  16 July – for bondholders who applied from 7 to 13 July

 Second stage – 27 July – for bondholders who applied from 13 to 16 July.