Board of Directors of OJSC "Power Machines" elected the Management

The first session of the meeting of the new Board of Directors of OJSC “Power Machines,” which had been elected at the extraordinary General Meeting of Shareholders on February 22, was held on March 1, 2007. Sergey Batekhin, Deputy General Director of Interros was re-elected Chairman of the Board of Directors of OJSC “Power Machines,” and Vyacheslav Voronin, member of the Management Board, Managing Director of the business unit “Service” of RAO “UES of Russia” was elected Deputy Chairman of the Board of Directors, Anna Solotova was elected Secretary of the Board of Directors.

The Board of Directors approved the number of members of and elected the members of the Board of Directors’ committees, and elected the Chairmen and Secretaries thereof.

The following persons were elected to the Human Resources and Remunerations Committee: Vyacheslav Voronin, Michael Zuss, Ekaterina Salnikova. Michael Suess was appointed the Chairman and Elena Shameeva – the Secretary of the committee.

The following persons were elected to the Audit Committee: John Sleeman, Vyacheslav Voronin, Ekaterina Salnikova and Hans-Jorgen Vio. John Sliman was appointed the Chairman and Nadezhda Agafonova – the Secretary of the committee.

The following persons were elected to the Strategy Committee: Boris Vainzikher, Hans-Jorgen Wio, Vyacheslav Voronin and Ekaterina Salnikova. Vyacheslav Voronin was appointed the Chairman and Elena Zolotareva – the Secretary of the committee.

The committees have been formed in OJSC “Power Machines” for conducting preliminary consideration of the most important issues within the scope of the Board of Directors’ authority.

The Board of Directors of OJSC “Power Machines” increased the number of the Management Board members up to 7 members. Andrei Nesteruk, Director, Corporate governance and legal, was also elected Management Board member.

The Board of Directors resolved to hold extraordinary General Meeting of Shareholders of Power Machines on April 20, 2007 in the form of voting in absentia and approved the agenda of the meeting which included the approval of several interested party transactions, in particular, the agreement for reconstruction of the chain of the Vuokinsky GES – 1 power plants (Svetogorskaya GES – 11 and Lesogorskaya GES - 10) between the company and OAO “TGK-1” and the equipment supply contracts between the company and JSC “OGK-3.”

The Board of Directors approved the program of optimization of the company production facilities aimed at decreasing the number of those real property objects not being actually used in the production process.

The objective of the program is to turn OJSC “Power Machines” into a contemporary industrial enterprise with upgraded and reasonably diversified production facilities; to decrease the production costs; to obtain additional monetary funds for upgrading of production facilities out of the sale of real property objects.

The list of members of the Board of Directors of OJSC “Power Machines”:

1. S. L. Batekhin, Deputy General Director of ZAO “Interros” – Chairman of the Board of Directors;
2. V. P. Voronin, member of the Management Board, Managing Director of the business unit “Service” of RAO “UES of Russia” – Deputy Chairman of the Board of Directors;
3. E. M. Salnikova, Deputy Finance Director, Corporate governance (Corporate governance Director) of ZAO “Interros”;
4. B. F. Vainzikher, General Director of OJSC “Power Machines,” member of the Management Board, Technical Director of RAO “UES of Russia”;
5. A. A. Chuvaev, Managing Director of OJSC “Power Machines”;
6. Hans-Yurgen Wio, Vice President for Siemens (Russia), President, Power production, transmission and distribution department, Siemens LLC (Russia);
7. Michael Suess, Vice President of the Energy Production group of Siemens (Germany);
8. John Sleeman, independent Director.