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Unified Energy System

October 3, 2005

Three RAO UES representatives elected board members of OAO "RCS"

Moscow, 3 October 2005. The Extraordinary General Meeting of shareholders of OAO "Russian Communal Systems" (OAO "RCS") held today elected three representatives of RAO "UES of Russia" Holding Company as members of its new Board of Directors: Yakov Urinson, Deputy Chairman of the Management Board and Head of Corporate Center of RAO "UES of Russia"; Nikolay Brusnikin, Head of Project Group for Monitoring of Housing and Communal Sector at the Corporate Centre of RAO "UES of Russia"; and Alexander Christakos, First Deputy Chairman of the Management Board of OAO "UES FGC".

The other members of the Board of Directors are: Yuri Tyrtyshov, Deputy Head of the Federal Agency for Construction and Housing and Communal Sector; Mikhail Slobodin, Director General of ZAO "Complex Energy Systems" (ZAO "KES"), Chairman of the Management Board of OAO "RCS"; Vladimir Salikhov, Director General of OOO "KES-Razvitie"; Alexey Tuzhilin, Deputy Director General of ZAO "KES"; Danila Nikitin and Alexander Neveyko, advisors to Director General of ZAO "Kuzbassrazrezugol Management Company"; and Nikolay Stepanov, Deputy Chairman of the Management Board of OAO "RCS".

Besides electing the new Board of Directors, the EGM approved the Restated Charter of OAO "RCS" and some other regulations of the Company.

The Restated Charter significantly broadens the functions of the Board of Directors in managing OAO "RCS", and provides for the creation of the position of Company President.

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OAO "Russian Communal Systems" was registered on 29 May 2003. The authorized capital of OAO "RCS" is RUB1 billion. RAO "UES of Russia" was among the founders of the Company (25% stake).

OAO "RCS" was established with an objective of improving the quality of communal services provided to households and creating competition on the housing & utilities market. As a measure to achieve that objective, a network of regional subsidiaries and dependent companies of OAO "RCS" has been formed. These companies cooperate closely with local authorities in order the accomplish the common goals. As agreed with the municipal and regional authorities, these companies are granted the right to provide communal services; they lease or take custody of the facilities from the existing housing and utilities enterprises. The management of OAO "RCS" views reducing the administrative and technological costs at the enterprises administered by them and raising efficiency of the communal sector as their key priority.

 

 

 

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