Today, March 26, 2010, the IDGC Holding Board of Directors decided to increase the authorized capital of the Company by means of the placement through a public offering of 1.9 billion additional ordinary shares, each with a par value of 1 ruble. It is planned to use the money raised from the additional share issue, specifically the money received by the Government through the share placement, to implement the Sochi Olympics projects.

In addition, the Board of Directors decided to place bonds, Series 01 and Series 02, with the total par value of 12 billion rubles. The two bond issues comprise 5 million bonds worth 5 billion rubles and 7 million bonds worth 7 billion rubles respectively. The objective of the bond placement is to refinance IDGC Holding's short-term bank loans.