Patrick LORIN

______Patrick LORIN

QUARTERLY REPORT April-June 2011

TABLE OF CONTENTS

1. COMMERCIAL ...... 5 QUARTERLY ACTIVITIES ...... 6 DIAGRAM 1 ...... 10 DIAGRAM 2 ...... 10 DIAGRAM 3 ...... 11 DIAGRAM 4 ...... 11 2. OPERATION & MAINTENANCE ...... 12 2.1 WATER PRODUCTION ...... 13 1.PRODUCED WATER QUANTITY AND POTABLE WATER LOSSES ...... 14 DIAGRAMS – 5 ...... 14 WATER PRODUCTION & LOSSES TABLE-1 ...... 15 2. POTABLE WATER DISINFECTION ...... 19 QUARTERLY USE OF DISINFECTION MATERIALS TABLE – 2 ...... 19 3. ELECTRICITY CONSUMPTION & EXPENSES ...... 21 ELECTRICITY CONSUMPTION & EXPENSES DIAGRAM – 6 ...... 21 ELECTRICITY EXPENSES TABLE-3 ...... 22 ELECTRICITY CONSUMPTION TABLE-4 ...... 23 WATER DELIVERED THROUGH PUMPING AND CORRESPONDING ELECTICITY CONSUMPTION – TABLE 5 ...... 24 DIAGRAMS – 7,8 ...... 25 4. WATER METERS OPERATION AND SERVICE ...... 26 PROGRESS OF THE WATER METERS EQUIPMENT INSTALLATION BY THE AWS CJSC IN ITS MAINTENANCE AREA TABLE - 6, DIAGRAM – 9 ...... 27 2.2 WATER DISTRIBUTION ...... 28 DISTRIBUTION DEPARTMENT ...... 29 5. REPAIRS OF DAMAGES, CAPITAL REPAIRS AND REHABILITATION OF SYSTEMS ...... 29 OPERATION AND MAINTENANCE OF WATER TRANSMISSION AND DISTRIBUTION SYSTEMS TABLE-7, DIAGRAM 10 ...... 30 NETWORK ANALYSIS TABLE – 8 ...... 31 DIAGRAMS – 11,12 ...... 31 2.3 WASTEWATER & SEWERAGE ...... 32 WASTEWATER DEPARTMENT ...... 33 6. WASTEWATER COLLECTION SYSTEMS ...... 33 MAINTENANCE OF WASTEWATER COLLECTION SYSTEMS TABLE-9 ...... 36

QUARTERLY REPORT April-June 2011

DIAGRAMS – 13,14 ...... 37 NETWORK ANALYSIS TABLE -10 ...... 38 DIAGRAMS – 15,16 ...... 38 2.4 SPECIAL WORKS ...... 39 3. TECHNICAL ...... 42 3.1 TECHNICAL BLOCK ...... 43 TECHNICAL INVESTIGATIONS AND DESIGN ...... 44 CAPITAL ACTIVITIES IMPLEMENTATION INTERNAL AUDIT ...... 47 MAPPING OF THE TECHNICAL SYSTEMS ...... 50 PLANNED ACTIVITIES ...... 54 3.2 MANAGEMENT OF COMPANY’S ASSETS ...... 55 3.3 WATER QUALITY CONTROL...... 58 REFERENCE ON THE ORGANIZATION OF NEW LABORATORIES TABLE -11 ...... 59 ANALYSES OF WATER QUALITY AT PLACES OF WATER INTAKE (UNDERGROUND AND SURFACE SOURCES) TABLE – 12 ...... 60 ANALYSES OF WATER QUALITY BEFORE DISTRIBUTION NETWORK TABLE - 13 ...... 64 ANALYSES OF WATER QUALITY IN THE DISTRIBUTION NETWORK TABLE - 14 ...... 65 CONTROL OF DRINKING WATER DISINFECTION TABLE - 15 ...... 67 REPORTS ON NATURAL RESOURCE UTILIZATION ...... 70 AMOUNTS OF NATURAL RESOURCE UTILIZATION AND ECOLOGICAL FEES TABLE - 16 ...... 70 3.4 COMPANY’S SERVICES ...... 71 PROCUREMENT WITHIN AWSC BUDGET TABLE – 17 ...... 72 TRANSPORTATION ...... 73 4. QUALITY, SAFETY & ENVIRONMENT ...... 74 REPORT ON THE ACTIVITIES IMPLEMENTED BY THE QUALITY, SAFETY AND ENVIRONMENT DEPARTMENT IN THE II QUARTER OF 2011 ...... 75 5.ADMINISTRATION...... 80 5.1 FINANCE & ACCOUNT ...... 81 SUBSIDY TABLE-18 ...... 82 INFORMATION CONCERNING INCOMES AND EXPENSES OF AWS CJSC IN II QUARTER, 2011 TABLE-19 ...... 83 CAHS FLOW– DIAGRAM 17 ...... 84 5.2 HUMAN RESOURCES ...... 85

QUARTERLY REPORT April-June 2011

NUMBER OF EMPLOYEES DIAGRAM 18 ...... 87 LABOR TURNOVER DIAGRAM 19 ...... 87 5.3 TRAINING & DEVELOPMENT ...... 89 TRAINING AND DEVELOPMENT DEPARTMENT ...... 90 LIST OF TRAININGS DURING SECOND QUARTER 2011 TABLE-20 ...... 91 5.4 LEGAL & INSURANCE ...... 92 6. PROJECTS...... 94 6. 1 W B ...... 95 PHYSICAL IMPLEMENTATION OF WORKS TABLE-21 ...... 97 PHYSICAL IMPLEMENTATION OF WORKS TABLE-22 ...... 98 LIST OF CONTRACTS WERE SIGNED DURING THE II QUARTER 2011 TABLE-23 ...... 99 WB PROQUREMENT TABLE-24 ...... 99 6.2 A D B ...... 101 PHYSICAL IMPLEMENTATION OF WORKS TABLE-25 ...... 103 LIST OF SIGNED CONTRACTS TABLE 26 ...... 104 LIST OF EXTENDED CONTRACTS TABLE 27 ...... 104 LIST OF FINALIZED CONTRACTS - TABLE 28 ...... 105 ADB PROCUREMENT TABLE-29 ...... 107 6.3 E B R D ...... 108 7. PUBLIC RELATIONS ...... 112 8. INDICATORS ...... 117 INDICATORS RECAPITULATION – TABLE 30 (INDICATORS 1-25) ...... 118

QUARTERLY REPORT April-June 2011

1. COMMERCIAL

QUARTERLY REPORT April-June 2011

QUARTERLY ACTIVITIES

G e n e r a l

During the II quarter of 2011 positive improvements were registered. All the indicators continue increasing. May-June months can be underlined as problematic connected with irrigation season. In some residencies problems occur connected with continuous water supply, so implementation of random visits became stricter to the residencies without irrigation system.

In March 2011 the Company implemented Customer survey for the Customers with service for a period of 1 year and “0” payment in Echmiadzin town. The program was implemented with the help of the Employees of Call centre of the Company and the reason was to find out the reason of nonpayment through the survey. After summarizing of the results we had the following picture: only 83 out of 175 Customers participated at the survey, the rest 92 did not participate because of different reasons.

unsatisfied with insolvent not informed will pay not receiving service refused to answer service quality

Number of customers 21 10 32 13 2 5

At “What is the reason of nonpayment” survey participated 83 and the answers are as follows:

Answers of survey participants

unsatisfied with service quality refused to answer 2% 6% insolvent 25% not receiving service 16%

not informed 12% will pay 39%

QUARTERLY REPORT April-June 2011

What refers to the results after the survey, appeared following picture:

03.11 04.11 05.11 06.11 Total

Number of customer having made payments 20 16 11 22 40

% of the customers having made payments 24% 19% 13% 27% 48%

Amount paid (thous. AMD) 90 135 35 68 328

From the analysis of the program it can be summarized that we have problems in the following directions: customers’ awareness level increase and billing accuracy. Meantime it should be mentioned that Customers still do not pay because of different unjustified reasons (do not use the service, will pay later, etc.).

Anyway, the program was successful and similar programs will be implemented also in other spheres.

Despite of the registered results we still have a lot of things to do. If the problem with payments has been solved (about 95% are paying), then for the billing we still have serious actions to be done. In January-June months of 2011 for the provided services billing has the following picture:

A W S C B i l l i n g

390 381

380 366 362 370 360 350 347 344 350 332 340 327 323 322 mln. AMD mln. 330 324 322 320

310

300

290 Jan Feb Mar Apr May Jun

Task Actual

QUARTERLY REPORT April-June 2011

Considering the fact that the quality of the provided water in the Company continuously increases (duration, continuation, construction of new network, quality improvement, etc.), so it should have influence also on the level of billing. It should be mentioned that in this issue big influence has decrease of commercial losses, which is the main objective of the Company. During irrigation season water wastage can be registered in the private houses sector.

Straggle against illegal connections

During April-June months 760 different cases of violation have been registered and “detected violations” acts of AMD 16.2 mln. were prepared, where biggest part was for the resident- customers. Control team random visits to different residencies is ongoing.

For the economic entities special attention is given to registration of the big Customers: technical conditions, transfer of the water meter out of the territory of the Customer, presence of the bypass pipeline, etc.

Water meter installation

During the II Quarter of 2011 2694 water meters (including the new Customers and replaced water meters) were installed. In general the result is satisfactory. It should be mentioned that water meters do not have those Customers, which prefer making payment in normative way (mainly Customers of multi-storey buildings with only 1 registered resident - 5249 resident- customers). It’s a little problematic issue as the water meters are the property of the Customers and are installed by themselves.

A lot of activities have been implemented in the sphere of replacement of the old water meters with the new high quality ones.

Special attention is given to the issue of transferring water meters out of the territory of the Customer (resident-customers of private houses and legal entities). The reason is avoiding of bypass pipelines.

Payments

As we have mentioned, 95% of the Customers are paying, though we still have actions to do in the sphere of periodical payments and partial payments. We have some progress with periodical payments, though we still have Customers which are not paying each month, anyway in some cases debts are not accumulated. What refers to the partial payments (payments less than usage) we are actively sending envelops to the Customers with information for one year, through which the Customers are informed about their monthly expenses and payments, correspondingly. The problem is more complicated in the communities where the invoices are not provided in electronic way (because of no computer in some post offices, the invoices are fulfilled by hand and not fully). Anyway, the results in this sphere are also satisfactory.

During April-June months of 2011 the dynamics of payments has the following picture:

QUARTERLY REPORT April-June 2011

A W S C I N C O M E 1 200

1 001 1 000 949

800

600 mln.AMD

400 306 334 313 329 330 338

200

0 April May June Total

2010 2011

Comparing with the same period of the last year we can notice some increase, though it is not satisfactory, and there are still activities to be implemented.

Also see below

Diagrams 1-4

QUARTERLY REPORT April-June 2011

DIAGRAM 1

Billing & Revenue collection (Collection n, Billing n-1) Billing Revenue Collection 400 360 347 357 353 350 334 344 326 332 340 301 327 329 327 329 338 300 323 322 278 274 250 259 262 259 242 200

196 MillionsAMD 150 179

100

85 50

0 01/05 12/05 12/06 12/07 12/08 12.09 12.10 01.11 02.11 03.11 04.11 05.11 06.11

DIAGRAM 2

Billing, collection and ratio % for customers with water meters Billing Revenue Collection Ratio

4 000 130%

3 500 3 417 120%

111% 3 227 3 000 110% 2 808 101% 101% 101% 106% 99% 99% 2 500 99% 100% 98% 2 528 96% 2 104 89% 2 073 2 000 1 867 87% 90%

MillionsAMD 1 718 1 731 1 850 1 401 1 500 1 711 1 702 80% 1 242 1 104 1 391 1 211 1 000 819 1 092 70% 547 66% 785 500 272 60% 72 488 48 0 238 50% 01/05 12/05 12/06 12/07 12/08 12.09 12.10 01.11 02.11 03.11 04.11 05.11 06.11

QUARTERLY REPORT April-June 2011

DIAGRAM 3

Cummulative billing & collection Billing Revenue Collection

5 000 4 624

4 500 4 183 4033 3 797 4 000 3 626 3 432 3 268 3 220 3388 3 500

3 000 2 683 2 443 2 308 2 500 2 135 2 010 1 834 1 860 Millions AMD Millions 2 000 1 593 1 599

1 500

1 000

500

0 2003 2004 2005 2006 2007 2008 2009 2010 as of 01.07.2011

DIAGRAM 4

BILLING PAYMENTS IN AWSC

2004 2005 2006 2007 2008 2009 2010 2011

360 Pic due to the payment of 357 budget organizations for 3 338 353 340 months 320

300

280 260 260 New tariff from: 240 1st April 2009 243 220

mln.AMD 200 196

180

160 179

140 141 120 Management Contract New tariff from: 100 started date: 1st May 2005 19th October 2004 80

QUARTERLY REPORT April-June 2011

2. OPERATION & MAINTENANCE

QUARTERLY REPORT April-June 2011

2.1 WATER PRODUCTION

QUARTERLY REPORT April-June 2011

PRODUCTION DEPARTMENT

1.PRODUCED WATER QUANTITY AND POTABLE WATER LOSSES

In the II quarter of 2011 the quantity of produced water was 39 042.1 thousand m3 (by gravity – 26 194.9 thousand m3, mechanical – 12 847.2 thousand m3).

In the II quarter potable water calculated loss was equal to 83.6 %, which is 0.9 % (84.5%) less than in the II Quarter of 2010.

DIAGRAMS – 5

W A T E R P R O D U C T I O N 45 000 40 000 35 000 30 000 25 000 20 000 15 000 10 000 5 000 - I Quarter April May June II Quarter Delivered through pumps 13 282 4 343 4 320 4 184 12 847 Gravity 24 814 8 648 8 826 8 721 26 195 Total 38 096 12 991 13 147 12 905 39 042

In the result of tight cooperation of “Jrar” water production units, operating in the Production Department and RBs of the Company, it became possible to stop penetration of polluted waters into the internal networks of the Communities, implementing water supply by other reserved options.

QUARTERLY REPORT April-June 2011

WATER PRODUCTION & LOSSES TABLE-1

WATER PRODUCTION WATER DELIVERED UN-ACCOUTED FOR WATER

/thousand m3/ /thousand m3/

Name of Source

N January February March I Quarter (pumping station) water water water water

SECTORS thous thous thous thous

Iquart Iquart March

March 3 losses 3 losses 3 losses 3 losses

January January

SUBSECTORS m m m m February February % % % % 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 NORTH-WEST REGION

Makravan - 4 p/s 584,5 601,5 548,6 1734,6 113,4 117,5 152,8 383,7 659,2 85,3 674,2 85,2 585,7 79,3 1919,1 83,3

15,0 16,0 15,0 46,0 Bujakan s.

Aramus p/s 138,0 137,5 136,8 412,3

Abovyan 35,2 36,6 38,1 109,9 Akunq p/s

1 Total 772,7 791,7 738,5 2302,8 113,4 117,5 152,8 383,7 659,2 85,3 674,2 85,2 585,7 79,3 1919,1 83,3 Abovyan Byuregavan Nurnus s. 83,0 89,0 92,0 264,0 29,9 32,4 34,3 96,6 53,1 63,9 56,6 63,6 57,7 62,7 167,4 63,4

Total 83,0 89,0 92,0 264,0 29,9 32,4 34,3 96,6 53,1 63,9 56,6 63,6 57,7 62,7 167,4 63,4

Total 855,7 880,7 830,5 2566,8 143,4 149,9 187,1 480,3 712,3 83,2 730,8 83,0 643,4 77,5 2086,5 81,3

Solak p/s 16,7 17,2 20,3 54,2 67,3 69,8 75,2 212,3 295,0 81,4 308,2 81,5 300,6 80,0 903,8 81,0

77,9 84,7 97,3 259,9 Alapars s. Makravan-4 - 233,0 240,0 223,0 696,0

2 Abovyan main

Charencavan Gyumush s. 28,5 29,5 28,5 86,5 Charencavan 6,2 6,6 6,7 19,5 Fantan b-h Total 362,3 378,0 375,8 1116,1 67,3 69,8 75,2 212,3 295,0 81,4 308,2 81,5 300,6 80,0 903,8 81,0

Makravan-2 p/s 45,3 17,0 23,9 86,2 14,9 18,9 20,9 54,7 51,1 77,4 31,9 62,8 31,7 60,3 114,7 67,7

20,7 32,0 25,9 78,6 Tegenis s.

0,0 1,8 2,8 4,6

Tsaghkadzor Ulashik WCS

Total 66,0 50,8 52,6 169,4 14,9 18,9 20,9 54,7 51,1 77,4 31,9 62,8 31,7 60,3 114,7 67,7 Makravan-4 - 3 116,6 120,5 104,0 341,1 76,7 83,7 86,6 247,0 1000,4 92,9 1039,6 92,5 999,4 92,0 3039,4 92,5 Hrazdan Abovyan main 591,3 636,3 613,3 1840,9 Solak p/s

Hrazdan 369,1 366,5 368,8 1104,4 Makravan 2-3 p/s Total 1077,0 1123,3 1086,1 3286,4 76,7 83,7 86,6 247,0 1000,4 92,9 1039,6 92,5 999,4 92,0 3039,4 92,5

Total 1143,0 1174,1 1138,7 3455,8 91,6 102,6 107,5 301,7 1051,4 92,0 1071,5 91,3 1031,1 90,6 3154,1 91,3

Golovino WCS 66,0 84,0 85,0 235,0 40,2 34,6 41,3 116,0 159,8 79,9 172,4 83,3 165,7 80,1 498,0 81,1

Florovi Balka

87,0 83,0 76,0 246,0 WCS 44,0 37,0 43,0 124,0

Bldan WCS Dilijan 4 Dilijan 2,0 2,0 2,0 6,0 Shamakhyan s. 1,0 1,0 1,0 3,0 Jiliut Tala s. Total 200,0 207,0 207,0 614,0 40,2 34,6 41,3 116,0 159,8 79,9 172,4 83,3 165,7 80,1 498,0 81,1

Qarqarut s. 48,1 47,3 46,3 141,7 44,1 44,4 43,3 131,8 145,5 76,7 145,7 76,7 128,2 74,7 419,3 76,1

37,4 40,2 38,9 116,5 Spitak dzur s. 38,8 40,2 38,9 117,9 Getahovit s. 22,6 15,1 0,0 37,7 Anapat s. 26,4 28,6 28,8 83,8 Ijevan Khozmarag s. 4,7 5,2 5,7 15,6 Getapnya p/s

Ijevan 6,4 8,0 7,7 22,1 5 Jri dzor s. 5,2 5,4 5,2 15,8 Gmbet s. 0,0 0,0 0,0 0,0 Azatamut s. Total 189,6 190,0 171,5 551,1 44,1 44,4 43,3 131,8 145,5 76,7 145,6 76,6 128,2 74,7 419,3 76,1 Berd WTP 89,0 105,0 98,0 292,0 15,9 17,2 17,6 50,7 77,2 83,0 91,8 84,2 84,4 82,7 253,3 83,3 Berd 4,0 4,0 4,0 12,0 Sharapey s. Total 93,0 109,0 102,0 304,0 15,9 17,2 17,6 50,7 77,1 82,9 91,8 84,2 84,4 82,7 253,3 83,3 Total 282,6 299,0 273,5 855,1 60,0 61,5 61,0 182,5 222,7 78,8 237,5 79,4 212,5 77,7 672,6 78,7

QUARTERLY REPORT April-June 2011

WATER PRODUCTION WATER DELIVERED UN-ACCOUTED FOR WATER

/thousand m3/ /thousand m3/

Name of Source

N January February March I Quarter (pumping station) water water water water

SECTORS thous thous thous thous

Iquart Iquart March

March 3 losses 3 losses 3 losses 3 losses

January January

SUBSECTORS m m m m February February % % % % 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Berdavan b-h 31,4 11,5 45,3 88,2 14,4 16,2 21,4 52,1 45,4 75,9 14,4 47,0 33,1 60,7 92,9 64,1 25,6 1,8 3,7 31,1 Ayrumi p/s 1,9 6,3 2,5 10,7 Noyembery Srocahanq s.

an 0,0 10,0 2,0 12,0 Gij sari s. 0,5 0,5 0,5 1,5 Spitakashen s. 6 0,5 0,5 0,5 1,5

Varar agbyur s. Alaverdi Total 59,9 30,6 54,5 145,0 14,4 16,2 21,4 52,1 45,4 75,9 14,4 47,1 33,1 60,7 92,9 64,1 Lori berd s, 630,5 669,6 648,0 1948,1 47,3 43,5 46,3 137,2 751,7 94,1 800,1 94,8 783,1 94,4 2334,8 94,5 Alaverdi 168,5 174,0 181,4 523,9 Agarak s. Total 799,0 843,6 829,4 2472,0 47,3 43,5 46,3 137,2 751,7 94,1 800,1 94,8 783,1 94,4 2334,8 94,5 Total 858,9 874,2 883,9 2617,0 61,8 59,7 67,8 189,3 797,1 92,8 814,5 93,2 816,1 92,3 2427,7 92,8 Chakhkali s. 62,0 64,0 66,0 192,0 31,8 32,1 32,1 96,1 168,6 84,1 172,5 84,3 178,9 84,8 520,0 84,4

70,0 70,0 72,0 212,0 Jrashen b-h 58,0 60,0 62,0 180,0 Nalband b-h Spitak 7,6 7,6 7,8 23,0 Ghazanchi s, 2,8 3,0 3,2 9,1 Spitak b-h

Total 200,4 204,6 211,0 616,1 31,8 32,1 32,1 96,1 168,6 84,1 172,5 84,3 178,9 84,8 520,0 84,4 Gyulidar s, 8,0 8,0 8,0 24,0 39,6 39,7 37,6 116,8 304,2 88,5 319,4 89,0 319,6 89,5 943,2 89,0

151,8 162,1 179,1 493,0 7 Stepanavan Getavan p/s

Stepanavan 184,0 189,0 170,0 543,0 Novoseltsovo s, Total 343,8 359,1 357,1 1060,0 39,6 39,7 37,6 116,8 304,2 88,5 319,4 88,9 319,6 89,5 943,2 89,0 Novoseltsovo p/s 34,1 31,0 30,5 95,6 31,7 31,4 32,8 95,9 65,6 67,4 50,6 61,7 44,1 57,3 160,3 62,6 33,1 19,6 17,4 70,1 Tashir Sevaberd s. 30,1 31,4 29,0 90,5 Katnakhbyur s. Total 97,3 82,0 76,9 256,2 31,7 31,4 32,8 95,9 65,6 67,4 50,6 61,7 44,1 57,3 160,3 62,6 Total 641,5 645,7 645,0 1932,3 103,1 103,2 102,5 308,8 538,4 83,9 542,5 84,0 542,5 84,1 1623,4 84,0 MAIN TOTAL 4344,0 4458,7 4354,4 13157,0 567,2 581,3 642,3 1790,8 3776,8 86,9 3877,3 87,0 3712,1 85,2 11366,2 86,4

CENTER-WEST REGION

Masis c. Araratyan 1,2 p/s 385,9 393,7 227,0 1006,6 58,1 56,7 63,8 178,6 327,8 84,9 337,0 85,6 163,3 71,9 828,1 82,3

Total 385,9 393,7 227,0 1006,6 58,1 56,7 63,8 178,6 327,8 84,9 337,0 85,6 163,3 71,9 828,1 82,3

Araratyan 1,2 p/s 205,7 206,4 339,6 751,7

1 Masis Masis v. 50,2 51,5 55,7 157,4 186,5 78,8 187,4 78,4 324,1 85,3 698,0 81,6 Yerevan Djur 31,0 32,5 40,1 103,7 Total 236,7 238,9 379,7 855,4 50,2 51,5 55,7 157,4 186,5 78,8 187,4 78,4 324,1 85,3 698,0 81,6 Total 622,6 632,6 606,7 1862,0 108,3 108,2 119,4 335,9 514,3 82,6 524,4 82,9 487,3 80,3 1526,1 82,0

Ghazaravani b-h 3,2 3,2 10,0 16,4

Bazmagbyur 3 s. 0,0 0,0 0,0 0,0 962,0 994,0 996,0 2952,0 199,66 209,6 218,3 627,6 822,6 80,5 842,1 80,1 828,6 79,1 2493,3 79,9 Ghazaravani s.

2 Echmiadzin Echmiadzin Artameti p/s 6 6 5 16 Kozdasheni p/s 8,0 9,2 8,4 25,6

49,1 45,3 32,4 126,8

Total

Artashati b-h 1022,3 1051,7 1046,9 3120,9 199,7 209,6 218,3 627,6 822,6 80,5 842,1 80,1 828,6 79,1 2493,3 79,9 29,0 32,9 33,3 95,1 Garni s. 173,5 183,1 189,4 545,9 780,5 81,8 805,8 81,5 798,9 80,8 2385,3 81,4

3 Artashat

Artashat Gay-Haykashen s. 925,0 956,0 955,0 2836,0 Total 954,0 988,9 988,3 2931,1 173,5 183,1 189,4 545,9 780,5 81,8 805,8 81,5 798,9 80,8 2385,2 81,4 Garni s. 250,0 252,0 228,0 730,0 Vedi 132,0 137,9 154,9 424,8 202,2 60,5 198,1 59,0 134,4 46,5 534,7 55,7

Jermanis s. 84,2 84,0 61,3 229,5

Total 334,2 336,0 289,3 959,5 132,0 137,9 154,9 424,8 202,2 60,5 198,1 59,0 134,4 46,5 534,7 55,7

4 Vedi Ararat Garni s. 164,0 162,0 157,0 483,0 44,1 44,1 42,2 130,4 119,9 73,1 117,9 72,8 114,8 73,1 352,6 73,0 Total 164,0 162,0 157,0 483,0 44,1 44,1 42,2 130,4 119,9 73,1 117,9 72,8 114,8 73,1 352,6 73,0

Total 498,2 498,0 446,3 1442,5 176,1 181,9 197,1 555,1 322,1 64,7 316,1 63,5 249,2 55,8 887,4 61,5

QUARTERLY REPORT April-June 2011

WATER PRODUCTION WATER DELIVERED UN-ACCOUTED FOR WATER

/thousand m3/ /thousand m3/

Name of Source

N January February March I Quarter (pumping station) water water water water

SECTORS thous thous thous thous

Iquart Iquart March

March 3 losses 3 losses 3 losses 3 losses

January January

SUBSECTORS m m m m February February % % % % 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Artik reservoir 103,7 107,1 103,7 314,5 Artik Mantash 61,8 70,3 58,2 190,3 327,0 84,1 331,4 82,5 330,7 85,0 989,1 83,9 285,1 294,6 285,1 864,9 reservoir Total 388,8 401,8 388,8 1179,4 61,8 70,3 58,2 190,2 327,0 84,1 331,5 82,5 330,7 85,0 989,1 83,9 Zovasar s. 25,4 25,4 25,6 76,4 Talin Jinj Akner s. 45,4 41,7 38,7 125,7 26,7 37,1 31,7 43,2 38,9 50,2 97,4 43,7 Kentagbyur s., N 46,7 48,0 52,0 146,7 809 s.

Total 72,1 73,4 77,6 223,1 45,4 41,7 38,7 125,7 26,7 37,1 31,7 43,2 38,9 50,2 97,4 43,6

Dagdzutner s. 26,0 27,0 26,6 79,6

5 Artik Sari s. 5,7 6,0 6,4 18,1

Ghazanchi s. 21,5 22,5 18,0 62,0

Lusagbyur s. 4,7 4,9 5,7 15,3 13,0 14,1 12,2 39,3 54,7 80,9 55,3 79,7 54,5 81,7 164,5 80,7

Zuygaghbyur s. 0,0 0,0 0,0 0,0 Ashotsk Gazanchi s. 5,3 5,6 5,0 15,9 Dzragacneri s. 0,0 0,0 0,0 0,0 Bavra b-h 4,5 3,4 5,1 13,0

Total 67,7 69,4 66,8 203,8 13,0 14,1 12,2 39,3 54,7 80,9 55,3 79,7 54,5 81,7 164,5 80,7

Total 528,6 544,6 533,2 1606,3 120,1 126,1 109,1 355,3 408,5 77,3 418,4 76,8 424,1 79,5 1251,0 77,9

Karbi b-h 75,6 88,9 95,6 260,1

Artak p/s 81,8 28,2 25,4 135,4

Artashavan s. 23,0 121,2 121,2 265,4

Sagmusavan s. 105,0 95,0 96,0 296,0

Wosketas s. 10,5 10,5 10,5 31,5 105,1 120,4 113,5 339,0 588,3 84,8 633,8 84,0 641,4 85,0 1863,4 84,6

Ashtarak Bazmagbyur b-h 0,0 0,0 0,0 0,0

Kazaravan b-h 7,4 7,4 4,2 19,0 Bazmagbyur-3 s. 6 390,0 403,0 402,0 1195,0 Ashtarak Kazaravan s

Total 693,3 754,2 754,9 2202,4 105,1 120,4 113,5 339,0 588,2 84,8 633,8 84,0 641,4 85,0 1863,4 84,6 Ortachit s.

19,0 20,0 21,0 60,0 15,5 17,4 17,9 50,8 66,8 81,2 70,3 80,2 66,9 78,9 204,0 80,1 Geghagzor s.

Aparan 63,3 67,7 63,8 194,8 Eznak p/s

Total 82,3 87,7 84,8 254,8 15,5 17,4 17,9 50,8 66,8 81,2 70,3 80,2 66,9 78,9 204,0 80,1

Total 775,6 841,9 839,7 2457,2 120,6 137,8 131,4 389,8 655,1 84,5 704,1 83,6 708,3 84,4 2067,5 84,1

MAIN TOTAL 4401,4 4557,7 4461,0 13420,0 898,2 946,7 964,6 2809,6 3503,2 79,6 3610,9 79,2 3496,4 78,4 10610,5 79,1

SOUTH REGION

Sarnagbyur s. 26,4 27,0 26,5 79,9 9,0 9,9 10,2 29,1 17,4 66,0 17,1 63,4 16,3 61,5 50,8 63,6 Eghegnadz Qarasun s. 44,9 45,6 44,8 135,3 8,7 9,4 10,1 28,2 36,3 80,7 36,2 79,4 34,7 77,5 107,1 79,2

or Vostan s. 73,7 75,4 74,7 223,8 10,8 11,0 14,4 36,2 62,9 85,3 64,4 85,4 60,3 80,7 187,6 83,8 Total 145,0 148,0 146,0 439,0 28,4 30,3 34,7 93,5 116,6 80,4 117,7 79,5 111,3 76,2 345,5 78,7 1 Vayk Bazmagbyur s. 203,0 203,0 198,0 604,0 21,7 24,5 28,6 74,9 181,3 89,3 178,5 87,9 169,4 85,5 529,1 87,6 203,0 203,0 198,0 604,0 21,7 24,5 28,6 74,9 181,3 89,3 178,5 87,9 169,4 85,5 529,1 87,6

Eghegnadzor Total Jermuk Jrasar s. 74,0 80,9 86,8 241,7 15,4 16,8 19,7 51,9 58,6 79,2 64,1 79,2 67,1 77,3 189,8 78,5 Total 74,0 80,9 86,8 241,7 15,4 16,8 19,7 51,9 58,6 79,2 64,1 79,2 67,1 77,3 189,8 78,5

Total 422,0 431,9 430,8 1284,7 65,5 71,7 83,1 220,2 356,5 84,5 360,2 83,4 347,7 80,7 1064,5 82,9

Shaqe s. * 134,1 132,3 145,6 412,0 49,5 57,6 79,6 186,6 84,6 63,1 74,8 56,5 66,1 45,4 225,4 54,7 Mukhutyan s. 43,0 48,7 52,3 144,0 5,9 5,2 10,1 21,2 37,1 86,2 43,5 89,4 42,2 80,7 122,8 85,3

2 Sisyan Sisyan Zor - zor s. 12,9 14,0 17,1 44,0 0,6 0,6 3,6 4,8 12,3 95,3 13,4 95,6 13,5 78,9 39,2 89,1 Total 190,0 195,0 215,0 600,0 56,0 63,3 93,3 212,6 134,0 70,5 131,7 67,5 121,8 56,6 387,4 64,6

QUARTERLY REPORT April-June 2011

WATER PRODUCTION WATER DELIVERED UN-ACCOUTED FOR WATER

/thousand m3/ /thousand m3/

Name of Source

N January February March I Quarter (pumping station) water water water water

SECTORS thous thous thous thous

Iquart Iquart March

March 3 losses 3 losses 3 losses 3 losses

January January

SUBSECTORS m m m m February February % % % %

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

Akner s. 135,7 88,6 93,1 317,4 24,5 25,4 27,4 77,2 111,2 81,9 63,2 71,4 65,7 70,6 240,2 75,7 Goris 3 Goris Mukhutyan s. 317,2 206,4 216,9 740,5 36,3 39,5 42,2 117,9 280,9 88,6 166,9 80,9 174,7 80,6 622,6 84,1 Total 452,9 295,0 310,0 1057,9 60,8 64,9 69,5 195,2 392,1 86,6 230,1 78,0 240,5 77,6 862,7 81,6 Geghi s, 46,1 47,2 46,8 140,1 8,7 8,7 8,7 26,1 37,4 81,1 38,5 81,6 38,1 81,4 114,0 81,4

Surin kap s. 24,3 24,8 24,6 73,7 9,0 9,0 9,0 27,0 15,3 63,0 15,8 63,7 15,6 63,4 46,7 63,4 Geghi WCS 1076,6 1103,0 1094,2 3273,8 78,7 78,8 78,8 236,3 997,9 92,7 1024,2 92,9 1015,4 92,8 3037,5 92,8

Kapan Chanakhchi WCS 165,7 170,0 168,8 504,5 21,7 23,0 24,8 69,5 144,0 86,9 147,0 86,5 144,0 85,3 435,0 86,2

Vachagan WCS 5,1 5,2 5,1 15,4 4,1 4,1 4,1 12,2 1,0 20 1,1 21,7 1,0 20,2 3,2 20,7

4 Total 1317,8 1350,2 1339,5 4007,5 122,2 123,6 125,4 371,2 1195,6 90,7 1226,6 90,8 1214,1 90,6 3636,3 90,7 Kapan 155,0 155,7 150,4 461,1 73,3 75,3 80,3 229,0 81,7 52,7 80,4 51,6 70,1 46,6 232,1 50,3 Agarak WCS Setenc s. 28,0 29,0 27,9 84,9 4,9 4,9 6,3 16,1 23,1 82,5 24,1 83,1 21,6 77,5 68,8 81,0

Mghri Megri WCS 170,0 170,3 163,7 504,0 7,7 7,4 16,4 31,4 162,3 95,5 162,9 95,7 147,3 90,0 472,6 93,8 Total 353,0 355,0 342,0 1050,0 85,9 87,6 103,0 276,5 267,1 75,7 267,4 75,3 239,0 69,9 773,5 73,7 Total 1670,8 1705,2 1681,5 5057,5 208,1 211,2 228,4 647,7 1462,7 87,5 1494,0 87,6 1453,1 86,4 4409,9 87,2

Dzknget s. 0,0 0,0 0,0 0,0

Hatsarat p/s 102,5 103,0 90,7 296,2 39,6 41,7 46,8 128,0 305,8 88,5 315,8 88,3 296,4 86,4 918,1 87,8 Sevan

Lchashen b-h 242,9 254,5 252,5 749,9

Total 345,4 357,5 343,2 1046,1 39,6 41,7 46,8 128,0 305,8 88,5 315,8 88,3 296,4 86,4 918,1 87,8

5 Sevan Kushchinski s. 10,0 10,0 14,0 34,0 Chambarak 4,1 4,3 3,9 12,3 13,9 77,4 13,7 76,2 20,1 83,6 47,7 79,5 Taqa s. 8,0 8,0 10,0 26,0

Total 18,0 18,0 24,0 60,0 4,1 4,3 3,9 12,3 13,9 77,4 13,7 76,2 20,1 83,6 47,7 79,5 Total 363,4 375,5 367,2 1106,1 43,6 46,0 50,7 140,3 319,8 88,0 329,5 87,8 316,5 86,2 965,8 87,3 Akunq s. 119,9 120,9 121,0 361,8 St. Vardan s. 55,9 56,9 57,0 169,8 Vartenis 30,9 32,2 28,8 91,9 371,7 92,3 373,8 92,1 381,3 93,0 1126,7 92,5 Akner s. 113,9 115,3 116,0 345,2 Shat Jreq s. 112,9 112,9 116,0 341,8

Total 402,6 406,0 410,0 1218,6 30,9 32,2 28,8 91,9 371,7 92,3 373,8 92,1 381,3 93,0 1126,7 92,5

Tsakqari s. 129,2 129,2 129,2 387,6 Martuni 20,0 17,4 19,7 57,0 120,0 85,7 122,6 87,6 119,7 85,9 362,4 86,4 6 10,8 10,8 10,2 31,8 Gavar Hopoy var s. Total 140,0 140,0 139,4 419,4 20,0 17,4 19,7 57,0 120,0 85,7 122,6 87,6 119,7 85,9 362,3 86,4 Kaleri p/s

486,2 476,0 468,9 1431,1 Hatsarat p/s 83,2 78,4 88,1 249,7 520,4 86,2 503,2 86,5 447,6 83,6 1471,2 85,5

Sarukhan p/s 63,3 64,8 32,3 160,3 Gavar Gandzak b-h 54,1 40,8 34,5 129,4 Total 603,6 581,6 535,7 1720,8 83,2 78,4 88,1 249,7 520,4 86,2 503,2 86,5 447,6 83,6 1471,2 85,5 Total 1146,2 1127,6 1085,1 3358,8 134,10 128,0 136,5 398,61 1012,1 88,3 999,6 88,6 948,5 87,4 2960,2 88,1 MAIN TOTAL 4245,3 4130,2 4089,6 12465,0 568,1 585,0 661,5 1814,5 3677,2 86,6 3545,2 85,8 3428,1 83,8 10650,5 85,4

GRAND TOTAL 12990,7 13146,5 12904,9 39042,1 2033,5 2113,0 2268,4 6414,9 10957,2 84,3 11033,5 83,9 10636,5 82,4 32627,2 83,6

Notification` - water supply system with installed operating bulk flow meter

 “Shake” source is a water supply system where a functioning bulk water meter is installed.

QUARTERLY REPORT April-June 2011

2. POTABLE WATER DISINFECTION

During the II Quarter of 2011 in the W&W systems 26 430 kg of liquid chlorine and 2 247.1 kg of PC tablets were used for disinfection.

In compliance with the required rules planned activities on liquid chlorine bottles walls thickness metering, sand cleaning and painting are accomplished.

During the II Quarter “Nairit Factory” CJSC did not supply chlorine to the Company. Procurement and supply of liquid chlorine was implemented on contractual basis through other supply company.

Cleaning and painting the bottles of chlorine gas

QUARTERLY USE OF DISINFECTION MATERIALS TABLE – 2

BALANCE in the BALANCE of the RECEIVED UTILIZED beginning of end of reporting quarter SECTORS AND reporting quarter N SUBSECTORS CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE GAS PILLS GAS PILLS GAS PILLS GAS PILLS (kg) (kg) (kg) (kg) (kg) (kg) (kg) (kg) 1 2 3 4 5 6 7 8 9 10 NORTH-WEST 1 Abovyan 349 100 1439 0 1406 35 382 65 2 Bjureghavan 17 15 114 0 107 0 24 15 3 Hrazdan 296 70 3112 0 1930 10 1478 60 4 Tsaghkadzor 0 0 52 120 36 84 16 36 5 Charentsavan 90 35 215 0 240 30 65 5 6 Ijevan 289 0 52 160 250 160 91 0 7 Berd 91 0 111 40 202 25 0 15 8 Dilijan 191 6 629 80 750 14 70 72 9 Nojemberyan 52 60 0 40 48 75 4 25 10 Alaverdi 522 0 648 40 992 0 178 40 11 Stepanavan 41 38 168 40 209 78 0 0 12 Spitak 80 5 0 80 80 80 0 5 13 Tashir 57 25 170 40 227 45 0 20 TOTAL 2 075 354 6 710 640 6 477 636 2 308 358 19

QUARTERLY REPORT April-June 2011

BALANCE in the BALANCE of the RECEIVED UTILIZED beginning of end of reporting quarter SECTORS AND reporting quarter N SUBSECTORS CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE CHLORINE GAS PILLS GAS PILLS GAS PILLS GAS PILLS (kg) (kg) (kg) (kg) (kg) (kg) (kg) (kg) 1 2 3 4 5 6 7 8 9 10 CENTER-WEST 1 Artashat 3 0 4491 20 3799 4 695 16 2 Echmiatsin 700 0 2213 120 2913 100 0 20 3 Masis 26 45 2187 0 1930 45 283 0 4 Vedi 52 0 159 65 186 45 25 20 5 Ararat 0 0 0 60 0 57,1 0 2,9 6 Ashtarak 595 50 903 80 1406 105 92 25 7 Aparan 7 10 178 120 185 80 0 50 8 Artik 492 10 1156 40 1421 43 227 7 9 Talin 58 8 290 160 316 117 32 51 10 Ashotsk 0 55 0 320 0 318 0 57 TOTAL 1 933 178 11 577 985 12 156 914,1 1 354 248,9

SOUTH 1 Egheghnadzor 110 0 437 40 540 0 7 40 2 Vayk 78 1 116 80 194 29 0 52 3 Jermuk 43 5 62 0 100 0 5 5 4 Sisian 63 0 105 35 165 25 3 10 5 Goris 43 40 757 0 662 40 138 0 6 Kapan 270 294 3604 200 3606 272 268 222 7 Meghri 149 27 801 200 831 27 119 200 8 Sevan 98 0 344 80 383 28 59 52 9 Gavar 810 58 765 80 901 51 674 87 10 Martuni 0 26 115 80 115 80 0 26 11 Vardenis 67 15 233 80 300 95 0 0 12 Chambarak 0 50 0 40 0 50 0 40 TOTAL 1 731 516 7 339 915 7 797 697 1 273 734

GRAND TOTAL 5 739 1 048 25 626 2 540 26 430 2 247,1 4 935 1 340,9

Remark* The information is presented based on operative data.

QUARTERLY REPORT April-June 2011

3. ELECTRICITY CONSUMPTION & EXPENSES

Electricity consumption during the I Semester of 2011 was 18 674 thousand Kvt/h, AMD 459 024 mln., which is less than actual expense of the I Semester of 2010 for 1.824 mln Kvt/h or about 8.9 %.

Planned by Budget consumption of electricity for the I Semester of 2011 is equal to 18 978 mln Kvt/h AMD 471 094 mln.

This means that actual consumption of electricity, comparing with the planned 2011 budget, is less for 304 thousand Kvt/h ( 1.6%) or AMD 12 070 mln. (2.56 %).

ELECTRICITY CONSUMPTION & EXPENSES DIAGRAM – 6

120 000 4500

4000 100 000 3500

80 000 3000

2500 60 000

1000AMD 2000 1000KWH

40 000 1500

Cost 2011 Cost 2010 KWH 2011 KWH 2010 1000 20 000 500

July

May

June

April

March

August

October

January

February

December

November September

QUARTERLY REPORT April-June 2011

ELECTRICITY EXPENSES TABLE-3

January February March April May June Total 2011 Variation between N S E C T O R S BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL total 2011 actual and 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 budget % AMD AMD AMD AMD AMD AMD AMD AMD AMD AMD AMD AMD AMD AMD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 9 10 11

North-West R/B 48 647 45 746 43 227 41 766 43 555 45 291 41 243 39 314 39 727 35 605 38 509 38 274 254 908 245 996 -3,50 1 Abovyan 9 125 9 349 8 250 8 290 8 625 9 724 8 000 8 392 8 000 8 589 8 000 8 269 50 000 52 614 5,23 2 Bjureghavan 330 333 300 279 330 310 300 295 270 232 270 282 1 800 1 731 -3,86 3 Hrazdan 18 600 19 400 17 360 16 806 17 484 18 734 16 864 17 367 16 120 16 719 16 120 18 759 102 548 107 784 5,11 4 Tsaghkadzor 5 704 3 338 3 844 2 679 3 596 3 188 3 348 1 931 2 232 940 1 736 39 20 460 12 115 -40,79 5 Charaentsavan 5 289 5 284 4 773 4 706 5 031 4 652 4 644 4 535 5 031 4 623 4 644 4 659 29 412 28 457 -3,25 6 Ijevan 240 207 210 218 210 202 180 166 210 153 180 147 1 230 1 093 -11,10 7 Berd 165 125 150 155 120 105 105 85 105 32 105 19 750 520 -30,64 8 Nojemberyan 4 350 3 715 3 944 3 338 4 060 3 625 4 060 3 125 4 060 974 3 770 2 718 24 244 17 496 -27,83 9 Dilijan 795 660 690 666 705 666 690 636 705 594 675 504 4 260 3 726 -12,54 10 Stepanavan 3 200 2 101 3 100 2 867 2 900 2 909 2 700 2 397 2 700 2 522 2 700 2 687 17 300 15 483 -10,50 11 Spitak 210 138 180 147 180 134 165 124 180 101 165 111 1 080 755 -30,05 12 Tashir 504 1 001 336 1 453 224 911 112 167 84 92 84 60 1 344 3 683 174,01 13 Alaverdi 135 95 90 162 90 131 75 95 30 36 60 20 480 538 12,16

Center -West R/B 20 218 18 160 17 532 17 076 18 473 17 992 17 678 18 618 18 687 18 482 17 678 19 807 110 265 110 135 -0,12 1 Artashat 450 522 420 440 420 483 420 415 420 413 420 418 2 550 2 691 5,52 2 Vedi 56 138 45 106 54 91 45 93 45 50 45 104 290 584 101,41 3 Masis 7 973 7 239 7 378 7 208 7 735 7 831 7 497 7 460 7 854 7 136 7 497 7 140 45 934 44 013 -4,18 5 Ararat 30 138 30 106 30 91 30 94 30 50 30 180 480 166,83 6 Echmiatsin 3 731 3 817 3 014 3 186 3 301 3 056 3 014 2 985 3 301 2 843 3 014 2 835 19 373 18 723 -3,35 7 Ashtarak 5 515 4 141 4 708 4 208 4 842 4 476 4 708 5 858 4 977 6 340 4 708 7 766 29 456 32 789 11,32 8 Aparan 1 728 1 445 1 458 1 152 1 566 1 240 1 485 1 160 1 566 1 180 1 485 1 125 9 288 7 302 -21,39 9 Talin 90 118 60 87 60 109 45 79 60 36 45 24 360 452 25,54 10 Artik 120 115 90 129 120 139 90 75 90 59 90 44 600 560 -6,65 11 Ashotsk 525 487 330 455 345 476 345 400 345 372 345 352 2 235 2 541 13,70

South R/B 17 204 17 936 15 933 15 432 16 719 16 722 16 116 16 129 16 361 16 146 15 715 15 525 98 046 97 891 -0,16

1 Kapan 450 418 270 392 270 351 195 250 195 179 180 120 1 560 1 710 9,64 2 Meghri 89 334 59 280 83 233 59 195 83 168 59 140 431 1 350 213,41 3 Goris 90 121 60 84 75 65 75 53 75 38 75 26 450 387 -13,96 4 Sisian 210 285 159 331 144 273 132 229 144 113 132 83 921 1 313 42,58 5 Egheghnadzor 36 85 30 77 27 23 21 8 24 6 21 25 159 224 40,92 6 Jermuk 63 84 51 81 42 74 36 66 42 46 36 28 270 379 40,33 7 Vayq 66 56 51 53 36 77 27 33 36 20 27 13 243 252 3,64 8 Gavar 11 475 11 169 10 838 9 789 11 475 10 616 11 156 10 645 11 475 10 974 11 050 10 744 67 469 63 937 -5,23 9 Sevan 4 620 5 247 4 340 4 237 4 480 4 892 4 340 4 551 4 200 4 552 4 060 4 312 26 040 27 790 6,72 10 Martuni 60 87 45 78 51 74 30 65 36 22 30 13 252 339 34,62 11 Vardenis 45 51 30 30 36 45 45 35 51 27 45 21 252 209 -16,90

Administrative 1 985 1 454 1 824 1 068 1 042 651 990 585 1 042 588 990 656 7 875 5 002 -36,48 Building Administrative 35 1 985 1 454 1 824 1 068 1 042 651 990 585 1 042 588 990 656 Building 7 875 5 002 -36,48 Total 88 053 83 297 78 516 75 341 79 789 80 656 76 028 74 647 75 817 70 820 72 892 74 263 471 094 459 024 -2,56

QUARTERLY REPORT April-June 2011

ELECTRICITY CONSUMPTION TABLE-4

Total January February March April May June Total 2011 2010 Variation Variation between between total N S E C T O R S ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL BUDGET ACTUAL of year 2011 actual 2010 and and budget 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 2011% % KWH KWH KWH KWH KWH KWH KWH KWH KWH KWH KWH KWH KWH KWH KWH 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 10 11 12 13

North-West R/B 10 207 1 941 1 826 1 727 1 681 1 738 1 741 1 645 1 607 1 583 1 445 1 537 1 558 10 169 9 857 -3,42 -3,06

1 Abovyan 2 109 365 379 330 337 345 387 320 344 320 350 320 373 2 000 2 170 2,86 8,49 2 Bjureghavan 57 11 12 10 11 11 12 10 12 9 10 9 12 60 69 20,28 15,25 3 Hrazdan 4 637 750 785 700 677 705 698 680 720 650 671 650 683 4 135 4 233 -8,72 2,37 4 Tsaghkadzor 473 230 136 155 109 145 116 135 78 90 43 70 51 825 532 12,43 -35,49 5 Charaentsavan 1 370 205 198 185 179 195 173 180 169 195 173 180 178 1 140 1 071 -21,85 -6,09 6 Ijevan 36 8 7 7 7 7 7 6 6 7 5 6 5 41 37 3,11 -10,13 7 Berd 23 6 4 5 5 4 4 4 3 4 1 4 1 25 17 -23,88 -30,64 8 Nojemberyan 677 150 128 136 115 140 130 140 120 140 35 130 95 836 624 -7,91 -25,41 9 Dilijan 145 27 22 23 22 24 22 23 21 24 20 23 17 142 124 -14,17 -12,54 10 Stepanavan 575 160 104 155 144 145 146 135 121 135 128 135 136 865 778 35,34 -10,02 11 Spitak 29 7 5 6 5 6 4 6 4 6 3 6 4 36 25 -14,19 -30,05 12 Tashir 59 18 43 12 64 8 38 4 7 3 4 3 3 48 159 171,02 231,12 13 Alaverdi 16 5 3 3 5 3 4 3 3 1 1 2 1 16 18 14,36 12,16

Center -West R/B 5 483 776 708 677 662 712 702 683 731 721 721 683 763 4 251 4 287 -21,81 0,84

1 Artashat 283 15 18 14 15 14 17 14 15 14 15 14 15 85 95 -66,52 11,50 2 Vedi 13 2 5 2 4 2 3 2 3 2 2 2 2 10 18 39,03 86,04 3 Masis 2 268 335 303 310 297 325 325 315 312 330 302 315 298 1 930 1 837 -19,00 -4,83 5 Ararat 13 1 5 1 4 1 3 1 3 1 2 1 1 6 17 35,01 191,17 6 Echmiatsin 930 130 138 105 116 115 112 105 109 115 102 105 101 675 678 -27,06 0,52 7 Ashtarak 1 535 205 159 175 159 180 169 175 223 185 235 175 287 1 095 1 232 -19,76 12,50 8 Aparan 319 64 57 54 45 58 49 55 47 58 47 55 45 344 291 -8,87 -15,39 9 Talin 17 3 4 2 3 2 4 2 3 2 1 2 1 12 15 -13,29 25,54 10 Artik 17 4 4 3 4 4 5 3 3 3 2 3 1 20 19 10,47 -6,65 11 Ashotsk 87 18 16 11 15 12 16 12 13 12 12 12 12 75 85 -2,90 13,70

South R/B 4 476 742 785 690 682 726 739 701 712 713 724 685 695 4257 4337 -3,12 1,89

1 Kapan 64 15 14 9 14 9 12 7 9 7 6 6 4 52 60 -6,85 14,90 2 Meghri 52 3 11 2 9 3 8 2 6 3 6 2 5 15 45 -14,00 208,18 3 Goris 18 3 4 2 3 3 2 3 2 3 1 3 1 15 13 -28,44 -13,96 4 Sisian 52 7 10 5 12 5 10 4 8 5 4 4 3 31 48 -7,02 56,81 5 Egheghnadzor 6 1 3 1 3 1 1 1 0 1 0 1 1 5 8 34,84 42,11 6 Jermuk 12 2 3 2 3 1 2 1 2 1 2 1 1 9 13 4,94 40,33 7 Vayq 14 2 2 2 2 1 3 1 1 1 1 1 0 8 8 -41,24 3,64 8 Gavar 3 254 540 538 510 475 540 515 525 510 540 532 520 517 3 175 3 087 -5,15 -2,78 9 Sevan 986 165 195 155 159 160 182 155 169 150 170 145 162 930 1 037 5,23 11,51 10 Martuni 11 2 3 2 3 2 3 1 1 1 1 1 0 8 11 0,58 27,24 11 Vardenis 8 2 2 1 1 1 2 2 2 2 1 2 1 8 8 6,30 -3,21

12 Chambarak 0

Administrative 332 75 56 70 41 40 25 38 23 40 23 38 25 301 193 -41,83 -35,87 Building

Administrative 35 332 75 56 70 41 40 25 38 23 40 23 38 25 301 193 -41,83 -35,87 Building

Total 20 498 3 534 3 375 3 164 3 066 3 215 3 207 3 066 3 072 3 057 2 912 2 942 3 041 18 978 18 674 -8,9 -1,6

QUARTERLY REPORT April-June 2011

PS engines and electro-economic service was implemented by an expert company, which resulted in considerable decrease of damages of the pumps and engines.

WATER DELIVERED THROUGH PUMPING AND CORRESPONDING ELECTICITY CONSUMPTION – Table 5

WATER DELIVERED ELECTRICITY ELECTRICITY Cumulative / 6 month N SUBSECTORS THROUGH PUMPING CONSUMPTION CONSUMPTION thous.KWH / quarter thous. m3/quarter thous.KWH /quarter Electricity Water thous. KWH thous. m3 1 2 3 4 5 6 7 1 Ashtarak 395 1,9 754 1 232 710

2 Aparan 195 0,7 132 264 409

3 Artashat 95 0,3 27 50 179

4 Echmiadzin 188 0,8 152 307 384

5 Gavar 2 017 0,7 1 466 2 876 4 152

6 Sevan 750 0,5 369 733 1 505

7 Tashir 96 0,1 5 127 201

8 Stepanavan 493 0,7 358 726 1 004

9 Noyemberyan 119 2,1 246 616 313

10 Spitak 9 0,5 5 9 18

11 Abovyan 3 294 0,3 1 016 1 991 6 597

12 Charentsavan 326 1,1 348 695 640 Hrazdan and 13 3 032 0,7 2 037 4 358 6 342 Tsakhkadzor

14 Ijevan 16 0,8 12 26 34

15 Masis 1 758 0,5 892 1 783 3 508

16 Ashotsk 65 0,5 30 58 134

T O T A L 12 847 0,6 7 849 15 852 26 129

QUARTERLY REPORT April-June 2011

DIAGRAMS – 7,8

WATER DELIVERED THROUGH PUMPING AND CORRESPONDINGELECTRICITY CONSUMPTION 14 000 12 000 10 000 8 000 6 000 4 000 2 000 - I Quarter April May June II Quarter Water 13 282 4 343 4 320 4 184 12 847 El. energy 8 003 2 610 2 539 2 699 7 848

ELECTRICAL CONSUMPTION KWH/m3 0,70 0,60 0,50 0,40 0,30 0,20 0,10 I Quarter April May June II Quarter El. energy 0,60 0,60 0,59 0,65 0,61

QUARTERLY REPORT April-June 2011

Preparatory activities for «Malishka» water supply mechanical network operation and “Dereri” deep wells testing are ongoing.

Implementation of PS engines and electro-economic service by an expert company is ongoing, which resulted

in considerable decrease damages of the pumps and engines. Repairing production site

4. WATER METERS OPERATION AND SERVICE

The main activities of Water Meter Division and RB corresponding employees during the II Quarter of 2011 was ensuring of safe operation of water meters, installed during winter period.

With the purpose to maintain uninterrupted water supply instead of dismantled water meters corresponding blank flanges were installed.

NUMBER OF WATER METER INSTALLED IN REPORTING QUARTER

1600 1400 1200 1000 800 600 400 200 0 I Quarter April May June II Quarter North-West 839 441 50 227 718 Center-West 1357 220 437 600 1257 South 436 206 171 342 719

QUARTERLY REPORT April-June 2011

PROGRESS OF THE WATER METERS EQUIPMENT INSTALLATION BY THE AWS CJSC IN ITS MAINTENANCE AREA TABLE - 6, DIAGRAM – 9

WATER METERS REQUIRED & INSTALLED

In entrance of Individual Bulk water Budget Other apartment apartment of Private houses Total Including meters organizations organizations

buildings building

SECTORS

NAME

condition

Installed in in Installed

Installed in Installed

requirements requirements requirements requirements requirements requirements requirements

Not working in

reporting quart

meters installed meters installed meters installed meters installed meters installed meters installed meters installed reporting month

number number number number number number number number number number number number number number number number number 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 NORTH WEST 1 Abovyan 2 17 308 34 2 826 20 681 2 244 3 540 7 66 127 655 5 514 24 993 45 198 67 2 Charencavan 0 9 178 18 1 764 8 743 1 126 2 957 11 63 103 357 3 182 12 147 65 - 35 29 3 Hrazdan 2 9 339 0 4 124 12 767 2 032 3 333 13 87 96 624 6 606 16 820 18 129 31 4 Dilijan 2 9 97 1 1 402 2 111 1 236 2 063 14 46 31 141 2 782 4 371 7 38 32 5 Ijevan 1 13 177 0 1 475 4 189 486 3 593 5 61 17 312 2 161 8 168 1 84 56 6 Stepanavan 1 48 148 34 1 063 3 904 2 489 8 088 1 77 8 276 3 710 12 427 56 142 82 7 Alaverdi 3 40 246 0 1 424 6 643 2 066 5 642 32 134 100 343 3 871 12 802 35 162 34 Total 11 145 1 493 87 14 078 59 038 11 679 29 216 83 534 482 2 708 27 826 91 728 227 718 331 CENTER WEST

1 Artashat 0 78 123 0 1 429 4 904 10 055 13 217 52 105 76 344 11 735 18 648 192 413 151 2 Vedi 0 28 159 0 1 030 5 354 5 344 7 597 14 125 124 961 6 671 14 065 77 225 209 3 Echmiadzin 0 85 247 0 634 8 916 8 320 11 622 56 84 55 707 9 312 21 414 125 151 237 4 Masis 14 17 69 0 734 3 917 2 990 7 522 19 67 31 487 3 857 12 010 60 116 104 5 Ashtarak 3 58 209 0 868 4 211 7 597 6 977 38 93 54 363 8 769 11 702 95 184 41 6 Artik 9 63 257 0 1 930 3 626 8 270 5 232 7 93 30 224 10 503 9 238 51 168 60 Total 26 329 1 064 0 6 625 30 928 42 576 52 167 186 567 370 3 086 50 847 87 077 600 1 257 802 SOUTH 1 Goris 0 13 154 0 510 3 068 974 3 725 19 68 42 210 1 699 7 084 2 23 33 2 Eghegnadzor 0 17 124 1 956 5 723 659 2 214 0 94 19 527 1 758 8 576 24 68 50 3 Sisian 1 13 97 0 182 3 762 288 1 986 14 64 47 422 629 6 247 128 169 21 4 Kapan 3 15 339 1 1 504 15 902 1 505 2 524 34 77 73 335 3 458 18 854 41 163 27 5 Gavar 11 46 120 28 1 993 2 788 10 036 8 408 60 122 145 362 12 365 11 754 108 159 124 6 Sevan 2 13 134 12 1 280 6 382 426 2 414 6 100 62 386 1 910 9 307 39 137 45 Total 17 117 968 42 6 425 37 625 13 888 21 271 133 525 388 2 242 21 819 61 822 342 719 300 MAIN TOTAL 54 591 3 525 129 27 128 127 591 68 143 102 654 402 1 626 1 240 8 036 100 492 240 627 1 169 2 694 1 433

Note: 1. The report is prepared according to the data from the customer database and the branches. 2. Considering that the water to individual customers is supplied through more than one pipeline (feeder), the required quantity of water meters is calculated based on the number of customers, applying the k-1.2 index.

QUARTERLY REPORT April-June 2011

2.2 WATER DISTRIBUTION

QUARTERLY REPORT April-June 2011

DISTRIBUTION DEPARTMENT

5. REPAIRS OF DAMAGES, CAPITAL REPAIRS AND REHABILITATION OF SYSTEMS

Continuing water supply inter-communal networks productive operation processes, Distribution Division during the II quarter of 2011 the following activities were implemented: registration of 320 linear and partial repairing, 70 reinforcements, 2036 damages repairing, where 154 cases were implemented on the water, 1859 on the internal networks and 23 reinforcements.

Connected with summer season big volume of water consumption, it was necessary to ensure high pressure on the distribution networks of some towns and communities (Vedi, Masis, Hrazdan, Ashtarak, Abovyan, Sevan and nearby village communities). Though in the result of direct involvement of the Division within a short period water supply schedule and required pressure were regulated.

We had meetings in the Sectors of the Company; issues connected with Customers' water supply service were discussed and proposals on solving problems were provided.

During the II Quarter, through coordinating and controlling RBs water supply schedules, within the whole service perimeter of the Company average water supply time-period is 14.36 h.

Due to regular visits and inspection of the water mains and distribution networks of the Company’s RBs and Sectors number of illegal connections has decreased, leaks are detected and corresponding steps are taken for on time regulation of the problems. Consequently, during the II Quarter of 2011 only 92 cases of illegal connections were detected on the service area of the Company.

QUARTERLY REPORT April-June 2011

OPERATION AND MAINTENANCE OF WATER TRANSMISSION AND DISTRIBUTION SYSTEMS TABLE-7, DIAGRAM 10

NUMBER OF BREAK-DOWNS NUMBER OF LIQUIDATED BREAK-DOWNS

NETWORK PARTLY NETWORK LINEAR ARMATURE

ILLEGAL MAIN TOTAL REPAIRED REPAIRED REPAIRED

DOWNS NOT NOT DOWNS WATER -

WATER WATER WATER DISTRIBUTION

SYSTEMS SYSTEMS

REPAIRED TRANSMISSION ARMATURE TOTAL

INSPECTION SYSTEM

DISTRIBUTION DISTRIBUTION SYSTEM

TOTAL

WATER WATER WATER

SYSTEM SYSTEM

TRANSMISSION AND AND TRANSMISSION

ARMATURE

BREAK

TRANSMISSON TRANSMISSON

DISTRIBUTION DISTRIBUTION

) ) )

) ) ) ) )

AMD AMD AMD AMD Materi Total

pc pc pc km pc pc pc pc pc pc pc pc pc pc

cost cost cost cost cost cost cost

aterial aterial aterial aterial aterial aterial aterial

us. AMD)

Total Total Total Total Total

Total Total Total Total

Total al cost cost

AMD) AMD) AMD) AMD) AMD) AMD) AMD) AMD) AMD)

NAME OF REGIONAL BRANCH REGIONAL OF NAME

M M M M M M M

(thousand (thousand (thousand (thousand (thousand (thousand (thousand (thousand (thousand (thousand

tho

thous. AMD thous. AMD

(thous. (thous. (thous. (thous. (thous.

(

( (

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 CENTER WEST 30 52 598 30 401 5242 4 10 22 0 0 78 371 25 690 17 732 0 25 120 485 666 1827 12625 17 116 2262 732 2163 15391 2626 21624

SOUTH 23 303 614 54 1285 2164 43 4341 4933 0 0 0 0 80 621 0 701 0 80 383 2281 621 1195 7455 0 0 0 701 1578 9736 7507 17446

NORTH WEST 60 505 1947 123 2657 5553 23 244 2068 11 11 14 83 49 548 6 603 0 49 49 1036 548 702 6638 6 0 109 603 751 7783 4156 17445

TOTAL 113 859 3158 207 4343 12959 70 4594 7023 11 11 92 454 154 1859 23 2036 0 154 552 3803 1859 3725 26301 23 101 2371 2036 4492 32909 14289 56515

CUMU- LATIVE 197 1628 5169 316 6968 20406 131 6215 9903 18 13 115 582 332 3454 53 3839 0 332 1291 7388 3430 8945 48551 52 367 4278 3839 10717 60652 25529 96725

REMARK* The information is presented in base of operative data.

NUMBER OF REPAIRED BREAK DOWNS ARMATURES AND WATER TRANSMISSION & DISTRIBUTIONS SISTEMS

900 800 700 600 500 400 300 200 100 0 I Quarter April May June II Quarter North-West 700 251 278 280 809 Center-West 719 286 275 235 796 South 638 280 290 251 821

QUARTERLY REPORT April-June 2011

NETWORK ANALYSIS TABLE – 8

WATER TRANSMISSION AND DISTRIBUTION SYSTEMS

Water Water Water # REGIONS Transmission Distribution Total Break - downs Losses System System (km) piece/km m3/day km (km) (km)

1 2 3 4 5 6 7 1 CENTER-WEST 1 025 1 462 2 487 46,88 0,29 2 SOUTH 844 977 1 821 64,22 0,38 3 NORTH-WEST 785 1 232 2 016 61,95 0,30

T O T A L 2 654 3 671 6 324 56,68 0,32

DIAGRAMS – 11,12

MUMBER OF BREAK-DOWNS ON I KM WATER PIPE 0,4 0,35 0,3 0,25 0,2 0,15 0,1 0,05 0 I Quarter Apeil May June II Quarter North-West 0,28 0,09 0,1 0,11 0,3 Center-West 0,27 0,11 0,1 0,08 0,29 South 0,3 0,12 0,14 0,12 0,38

WATER LOSSES - M3/DAY*KM 80

0 I Quarter April May June II Quarter North-West 62 62 62 61 62 Center-West 43 47 47 47 47 South 70 67 63 63 64

QUARTERLY REPORT April-June 2011

2.3 WASTEWATER & SEWERAGE

QUARTERLY REPORT April-June 2011

WASTEWATER DEPARTMENT

6. WASTEWATER COLLECTION SYSTEMS

1. During the reporting quarter, due to cooperation between Wastewater Departmrnt of Company’s Exploitation Directorate and Regional Branches of the company, during the mentioned period sewerage damages repairing and investigation activities, with the purpose of improvement of the network, have been implemented in Artik, Spitak, Jermuk, Vedi and Vardenis towns.

Major activities were implemented in the result of which new DN315 PVC, 106 m, pipeline were installed, 3 r/c manholes were constructed with r/c covers, with the purpose to improve sewerage system operation in the region, as well as to avoid anti- sanitary situation

ARTIK town, Sasuntsi Davit street

Damaged situation After the repairing

2. Because of damages on Spitak town, Estonakan District main sewerage pipeline anti- sanitary situation was caused and operation of the mentioned sewerage main was impossible. Due to mutual activities of the Wastewater Departmrnt, North-West RB and Spitak sector new DN200 PVC, 170 m, pipeline was installed, 3 r/c manholes were constructed with r/c covers, with the purpose to improve sewerage system operation in the region, as well as to avoid anti-sanitary situation in the Region.

QUARTERLY REPORT April-June 2011

SPITAK town, Estonakan District

Damaged situation After the repairing

3. Tree roots penetrated into Jermu town Shahumyan street sewerage pipeline because of which the mentioned sewerage pipeline was clogged, which caused anti-sanitary situation and operation of the mentioned sewerage main was impossible.

Due to mutual activities of the Wastewater Departmrnt, South RB and Jermuk sector new DN160 PVC, 5 m, pipeline was installed with the purpose to ensure sewerage system regular operation in the

region, as well as to avoid JERMUK town, Shahumyan street anti-sanitary situation in the

Damaged situation After the repairing Region.

QUARTERLY REPORT April-June 2011

4. Because of broken r/c cover of a sewerage manhole on Kasyan street, Vedi town regular traffic flow, as well as system operation was on risk.

Due to mutual activities of the Wastewater Departmrnt, Centre-West RB and Vedi sector new r/c cover was installed on the manhole with the purpose to ensure sewerage system regular operation in the region, as well as regular traffic

VEDI town, Kasyan street flow.

Broaken manhole Repaired manhole

5. Because of a sewerage manhole under the asphalt cover on the central square of Vardenis town sewerage system irregular operation was caused. Due to mutual activities of the Wastewater Departmrnt and Vardenis subsector the mentioned manhole was detected and cleaned in the result of which sewerage system operation became regular.

VARDENIS town, Central square

Manhole detection

During the reporting quarter by means of Exploitation current expenses in the sewerage network 55,7 km of sewerage pipeline and 132 pc of manholes were cleaned, 82 pc (432,8 m) of sewerage pipe and 37 manholes were repaired, as well as 1412 damages were repaired, without additional investments.

QUARTERLY REPORT April-June 2011

MAINTENANCE OF WASTEWATER COLLECTION SYSTEMS TABLE-9

Cleaned Including Cleaned Repaired sewers Repaired man-holes Cleared blockages Total sewers >300 <300 manholes

mm mm

n n

n of Head of Head n

Branch

Name of Name of -

Regional Regional km km km Unit l/m Unit Unit Unit

n of H n

AMD) AMD)

HO reserve reserve HO

materials materials

Total cost Total

Other costs costs Other costs Other

cons

(thous. AMD) (thous. AMD) (thous. AMD) (thous. reserve of HO AMD) (thous. AMD) (thous. AMD) (thous. AMD) (thous. of

Total fuel cost cost fuel Total cost fuel Total cost fuel Total cost fuel Total cost fuel Total cost fuel Total

Total consum Total

reserve materials reserve

Total other costs other Total

Total fuel cost and cost fuel Total

Other costs (thous. (thous. costs Other (thous. costs Other consumption Total

Office reserve mat reserve Office Total cons Total 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 North- 27,6 293,7 0,21 27,39 12 70 230,6 141,9 208,3 10 98,5 40 662,6 0 0 0 679 0 3905,2 329,1 4380,8 870,9 5251,7 5580,8 West

Center- 17,3 800,3 1,1 16,2 12 150 46,4 147,2 628,9 9 18,5 34,2 492,6 16 0 51,5 232 6,7 1071 71,6 2104,2 1121,5 3225,7 3297,3 West

South 10,75 2171,2 3,07 7,682 58 212,8 115,2 688,6 1023,5 18 127,8 200,6 1244,4 116 0 298,1 501 0 700,3 243 4058,8 2267,9 6326,7 6569,7

TOTAL 55,65 3265,2 4,38 51,27 82 432,8 392,2 977,7 1860,7 37 244,8 274,8 2399,6 132 0 349,6 1412 6,7 5676,5 643,7 10543,8 4260,3 14804,1 15447,8

QUARTERLY REPORT April-June 2011

DIAGRAMS – 13,14

MAINS CLEANED / km / 30 25 20 15 10 5 0 I Quarter April May June II Quarter North-West 17,98 10,66 8,98 7,96 27,6 Center-West 2,2 4 1,6 11,7 17,3 South 10,18 3,76 3,45 3,54 10,75

NUMBER OF REMOVAL OF OBSTRUCTIONS, MAINS AND MANHOLES REPAIRED 800 700 600 500 400 300 200 100 0 I Quarter April May June II Quarter North-West 487 215 229 257 701 Center-West 479 92 99 78 269 South 594 225 205 263 693

QUARTERLY REPORT April-June 2011

NETWORK ANALYSIS TABLE -10

WASTEWATER COLLECTION SYSTEM Number of Wastewater Cleaned # REGIONS Collectors Total Obstructions System Network km km Collection km % piece/ km 1 2 8 9 10 11 12 1 NORTH-WEST 174,8 742,3 917,1 0,76 3,01 2 CENTER-WEST 86,1 282,2 368,3 0,73 4,70 3 SOUTH 94,9 533,7 628,6 1,10 1,71 TOTAL 355,8 1 558,2 1 914,0 0,87 2,91

DIAGRAMS – 15,16

NUMBER OF OBSTRUCTIONS IN KM 1,4 1,2 1 0,8 0,6 0,4 0,2 0 I Quarter April May June II Quarter North-West 0,53 0,23 0,25 0,28 0,76 Center-West 1,3 0,25 0,27 0,21 0,73 South 0,94 0,36 0,33 0,42 1,11

LENGTH OF CLEANED WASTEWATER PIPELINE % 5

0 I Quarter April May June II Quarter North-West 1,96 1,16 0,98 0,87 3,01 Center-West 0,6 1,09 0,43 3,18 4,7 South 1,62 0,6 0,55 0,56 1,71

QUARTERLY REPORT April-June 2011

2.4 SPECIAL WORKS

QUARTERLY REPORT April-June 2011

SPECIAL WORKS DIVISION

During the II quarter of 2011 Special Works Division of the Exploitation Department has implemented some activities directed at water metering of the service area of the Company, water supply schedules regulation, losses detection and elimination.

Activities in Vedi on damages detection and water supply schedule regulation are ongoing. On Araratyan street a pipeline of DN150, cast-iron, 15-20 l/sec capacity, was detected, which was out of operation. Being damaged, water from the pipe was penetrating “Armentel” chambers and was disturbing regular operation of telephone system.

Using the existing technical means it became possible to detect that water was penetrating into the network out of operation from the final section of a pipeline on Araratyan street. After discussing with the Director of Centre-West RB DN110 PE pipeline, about 250 m, was injected into DN200 cast-iron pipeline and water penetration into the non-operating system, as well as “Armentel” chambers, was stopped.

Damage in VEDI town

Water metering and regulation activities were implemented also in Alaverdi town connected with water supply of Haghtanak and Deghdzavan communities through Loriberd-Agarak gravity system, as well as conservation of Ayrum PS in future.

Activities on Garni-Artashat water main were implemented, connected with detection of losses in Lanjazat section.

Investigation and shooting of Dzknget-Sevan DN500 pipeline was implemented, damages and illegal connections were detected.

QUARTERLY REPORT April-June 2011

Investigations were implemented also in Berd WTP for detecting losses from radial sedimentation tank. It became clear that the losses are from the base of the tank, DN100 and DN150 outlet pipes, 0.07l/sec. Decision for stopping the loss has not been taken till now as it is on a big depth, under the basis of the sedimentation tank.

Losses detection activities were implemented also in Berd WTP filter through polymeric injections.

UAZ 3303 car was reequipped, which was provided for the Division but used for other purposes, dismantled shelves and equipment were installed, which will be operated for water metering, losses detection and other standard purposes, diagnostic vehicle suitable for operation in the field with separate el. supply.

UAZ 3303 losses detection vehicle

Activities were implemented also on Abovyan town internal network, aimed at old pipes location identification and disconnection, as well as new zoning and regulation.

Interconnection between Yot Aghbyur Geghard DN200 pipeline and Yot Aghbyur Garni DN500 pipelines was implemented, with the purpose to ensure water supply of Geghard-Hatsavan- Ughjaberd villages with 10l/sec of water.

YOT AGHBYUR pipelines interconnection 41

QUARTERLY REPORT April-June 2011

3. TECHNICAL

QUARTERLY REPORT April-June 2011

3.1 TECHNICAL BLOCK

QUARTERLY REPORT April-June 2011

TECHNICAL INVESTIGATIONS AND DESIGN

The operations of the Technical Department during the II quarter of 2011 were implemented in the following directions.

. Technical Investigations, Design

. Internal audit of capital activities

. Technical systems mapping.

During the reporting period the following activities have been implemented:

Technical investigation and design

1. Hydraulic possibilities of Lori-Berd-Noyemberyan water main were investigated with the purpose to add some villages into the gravity water supply system.

1 Longitudinal cut of Lori-Berd water main

2. -Bazmaghbyur-Agarak- ydraulic possibilities was implemented for bypassing Agarak PS and supply of villages before Kosh PS with gravity water.

QUARTERLY REPORT April-June 2011

Ghazaravan DW Shahumyan DRR water main longitudinal cut

3. - -Gyumri-Geordia border Ashtarak-Talin and Talin- Gyumri sections designs was implemented, crossings of AWSC water supply systems with the new road under construction were presented, proposal on required work volume for bypassing was submitted with approximate assessment of activities.

4. Topographic survey of Sevan town Sayat-Nova street sewerage collector damaged section was implemented, on the basis of which longitudinal cut and required work volume for repairing were developed.

5. Installation schemes of suction and pressure pipelines for installation of pumps, procured under the procurement plan of WB loan project II phase, have been developed for the below mentioned PSs: Sarukhan, Gandzak, Artsvaqar, Artak, Getapya.

SEVAN sector, sewerage pipeline Gavar Sector, GANDZAK PS, topographic survey Pumps to be replaced

6. Investigation of RA Syunik Marz Agarak WTP filters washing PS technological section with the purpose to present repairing proposal.

QUARTERLY REPORT April-June 2011

7. Implementation of WB Loan project MWWP II phase procurement plan, foreseen by TS-C2.11 component:

. Gavar, Hrazdan, Charentsavan, Sisian, sectors and Jermuk, Agarak, Spitak subsectors buildings construction

. Hydrotechnical structures sanitary zones repairing activities authorized supervision, foreseen by TS-C2.18 components

SISIAN Sector new building BERD Sector Prukants DRR, under construction repaired section of the fence

8. Implementation of survey of RA Kotayq Marz Ulashik WTP feeding river intakes sources for choosing new point of water intake.

9. Investigation of the new water intake point for ensuring RA Kotayk Marz Hrazdan town Verin Aghbyurak district water supply by gravity

10. Conditions for the below mentioned economic entities were developed:

. for construction of a multi-storey building in Dilijan, Getapnya 2/14 street for potable-domestic needs.

. RA Tavush Marz, Dilijan town, Moldovakan 7/3, Saralanj 1/3, «Cottage» building for potable- domestic needs.

. RA Tavush Marz Dilijan town, Parz lich for potable-domestic needs.

QUARTERLY REPORT April-June 2011

11. Investigation of RA Vayots Dzor Marz,

territory of sources supplying Malishka

community was implemented for involving it

into the perimeter of AWSC and receiving

of a new water usage permission.

«MALISHKA» CAPTAGES

12. Joining the Committee established by N32 order of the General Director from 23.05.2011, handover-

CAPITAL ACTIVITIES IMPLEMENTATION INTERNAL AUDIT

. On the basis of preliminary applications submitted by the

regional branches capital activities implementation

applications have been developed and submitted. Below are

presented the ongoing and accomplished capital activities.

I. Ongoing capital repairing activities:

South RB

. Gavar town Artsvaqar District new pipelines laying.

. Gavar town Barekamutyun and Zoravar Andranik streets «Mashtorg century» territory pipelines

capital repairing.

. Vayq town Ori district internal network pipelines repairing.

QUARTERLY REPORT April-June 2011

Centre-West RB

. RA Ararat Marz Artashat town Manushyan alley water pipeline capital repairing.

. RA Armavir Marz Arevshat community water pipeline capital repairing,

. RA Ararat Marz Deghdzut community water pipeline capital repairing.

. RA Ararat Marz Vardashen community water pipeline capital repairing.

. RA Aragatsotn Marz Shamiram community water pipeline capital repairing.

. RA Ararat Marz Artashat town Bakunts street new sewerage pipeline construction:

ARTASHAT town Bakunts street ECHMIADZIN sector Arevshat sewerage pipeline community water pipeline

« North-West RB

. RA Kotayq Marz Alapars village gravity water main and nearby district distribution network pipelines construction, . Dilijan town Hakobyan street houses and 1 alley private houses pipelines capital repairing . RA Lori Marz Archis-Noyemberyan DN530 water main capital repairing

II. List of accomplished capital activities according to technical conditions

« South RB

. Sevan town Gortsaranayin street dormitary water pipeline capital repairing de50mm 150m, . Vayots Dzor Marz Yeghegnadzor town Narekaci N3 building pipeline capital repairing de75mm 280m,

QUARTERLY REPORT April-June 2011

Centre-West RB . RA Ararat Marz Aygestan Community water pipeline capital repairing de110mm 400m and de75mm 900m, . Artik town Kasyan and Sasuntsi Davit streets sewerage pipeline capital repairing DN300mm 191m with PVC poipes, . RA Ararat Marz Voskehat community Dashtents street water pipeline capital repairing de75mm 250m.

« North-West RB

. RA Lori Marz Aqori village water pipeline capital repairing de75mm 500m, de50mm 500m and de40mm 300m, . Alaverdi town Sanahin district water pipeline construction de50mm 520m, . Spitak town Estonakan district new sewerage pipeline construction DN250mm 170m with PVC pipes, . Alaverdi town Sanahin-Sarahart 1/21, 1/22 buildings connections pipelines replacement de50mm 100m and de32mm 50m.

 In the Regional branches a trainings on

applications and accomplishment acts

Training in the Ragional Branch

 Inspection visits were organized with the purpose to control the quality of capital repairing activities by approved applications, which are under implementation.

 Checking and control of accomplishment, implementation, testing, covered-up works and disinfection acts packages, on the basis of applications, submitted from the RBs.

 Continuation of hand-over-acceptance of equipment by the Committee established by the Order of the General Director, foreseen by the Procurement plan.

QUARTERLY REPORT April-June 2011

MAPPING OF THE TECHNICAL SYSTEMS

Mapping Division has implemented activities through GIS program for some departments of “Armenian Water and Sewerage” CJSC, which are: HR Department Billing and Collection Department Assets managements Division

For HR Department through GIS program database of the staff list for all the Branches (including Sectors and Sub-sectors) was prepared. It means that a database was prepared where in front of every name personal data was fulfilled and the data was linked with the corresponding Sector/Subsector on the Map.

: On the map of RA Sisian Sector is pointed out.

QUARTERLY REPORT April-June 2011

Data on the Employee chosen by questionnaire from the staff list of Sisian Sector

For Billing and Collection Division through GIS program Sisian town addresses database was prepared, besides Customers' database was prepared with the following information:

. Name . Preliminary new debt . Surname . Supplied water volume total (m3) . Middle Name . Removed water volume total (m3) . District . BIlling . Street . Payment . Building . Final debt . House/Apt . Final old debt . Preliminary debt . Final new debt . Preliminary old debt . Fabrication Number

QUARTERLY REPORT April-June 2011

Having addresses' and Customers' data base through questionnaire we have a possibility to choose the required address. In the result the list of Customers registered at the address is reflected (with corresponding data) and meantime on the map the mentioned address is separated. For example: as it is shown on picture A, in case of questionnaire concerning Sisian town Fizkulturnikner-2 address the list of Customers registered at that address is reflected, and on picture B on the map you can see Fizkulturnikner-2 building with corresponding Customers.

Having link between Customers, addresses and internal water supply networks bases we have a possibility through choosing corresponding pipeline to see on the map the buildings and houses which are supplied by that pipeline (the information will be given as a text, as well as visually). The above mentioned possibility is useful also for the Customers Service Centre (CSC), as having the data on the Customers of the mentioned area (addresses, telephone numbers) CSC operators can inform the population on temporary interruption of water supply (See picture C).

QUARTERLY REPORT April-June 2011

B C

For Assets management Division through GIS program was prepared Sisian town operating fixed assets inventory list with the following information:

. Name . Short description . Source . Production date . Location . Inventory number . Ballance price . Responsible person (Name, surname, position)

Data on each Employee we can receive from HR data base as an employee of AWSC, as well as from Billing and Collection data base, as AWSC customer. Besides we can make questionnaire and see on the map the address of the mentioned person (information will be provided in taxt, as well as visually) (See picture D).

QUARTERLY REPORT April-June 2011

We already have a possibility through questionnaire to see a link between AWSC departments, which means that we have information on AWSC assets (water supply systems, PSs, CSs, water mains, etc.), as well as on the employees and customers.

Additionally other mapping activities were implemented depending on daily requirements of the Company.

Planned activities

The priority for year 2011 is to continue implementation of geo-information system for the service areas of the Company.

QUARTERLY REPORT April-June 2011

3.2 MANAGEMENT OF COMPANY’S ASSETS

QUARTERLY REPORT April-June 2011

ASSETS MANAGEMENT

During the second quarter of 2011 in the sphere of assets management AWSC implemented the following activities:

1. In implementation of N69 order of the General Director as of 09.09.2010, in the frame of “MWWP additional financing” N 4514 – AM Loan Project:

. In compliance with MWWP II-C2.7/2-07 contract signed between AWSC and “Euroterm” CJSC, as of 22.09.2010, on provision of pumps, a committee was established for acceptance of the assets from “Euroterm” LTD, handover –acceptance Acts were prepared and submitted to the financial department.

. In compliance with MWWP II – C2.1/2-19 contract signed between AWSC and “Grundfos Water treatment GmbH” Company, as of 03.12.2010, on provision of 5 sets of water treatment facility, a committee was established for acceptance of the assets from “Grundfos Water treatment GmbH” Company, handover –acceptance Acts were prepared and submitted to the financial department.

. In compliance with MWWP II- C2.17/2-10 contract signed between AWSC and “Arazen” LTD, as of 04.11.2010, on provision of water meters, a committee was established for acceptance of the assets from “Arazen” LTD, handover –acceptance Acts were prepared and submitted to the financial department

2. 2. In compliance with N207/ contract on «Kamenka – Vanadzorwater supply unfinished construction objects inventory and reevaluation services», signed between AWSC and “Express Laboratory” LTD, «Express Laboratory» LTD has implemented inventory, as well as the opinion of the expert was presented on external description of the pipeline and hydro-technical structures as well as on its market price.

«KAMENKA-VANADZOR» water supply system

Expert's opinion and activities hand-over-acceptance Act was presented to the financial department for registering “Kamenka-Vanadzor” water supply system into the accounting balance of AWSC.

3. In implementation of N69 order of the General Director as of 09.09.2010, in the frame of “MWWP additional financing» N 4514 – AM Loan Project, provision processes under the following contract is still ongoing: MWWP II-C2.3 – provision of 200 pressure equipment.

QUARTERLY REPORT April-June 2011

4. In implementation of N32 Order of the General Director, as of 23.05.2011 a committee was established for handover – acceptance of construction objects constructed in the frame of “Sevan lake environmental project”, visits were organized to Sevan and Gavar Sectors, as well to Vardenis, Martuni, Jermuk sub-sectors.

JERMUK town new sewerage PS

5. On the basis of MWWP II-B1.8/3-02 contract signed between AWSC and “Mets Masreni” LTD on inventory and assets state cadastre registration of AWSC W&W systems, “Mets Masreni” LTD presented 5th groups of privatization certificates with total 150 certificates. During implementation of the activities it became clear that on the perimeter of AWSC there are some objects, registration of which requires modification of the purpose of location, category of soil, for which we have applied to the Municipality and Communities.

6. Alienation process of assets not useful for further operation and are registered in the Head office of AWSC and 3 regional branches is still ongoing.

7. According to the form, approved by RA Government N1543-N, as of 18.12.2008, list of constructions, as well as unfinished structures, registered in the balance of AWSC HO and 3 Regional branches, and property of AWSC, is presented to the State Committee of Water Economy.

8. List of cattle watering system, registered in the accounting balance of AWSC was presented to the SCWE.

9. Registration of water meter chambers of AWSC 3 regional branches was implemented.

10. AWSC HO useless, out of operation assets were transported to Abovyan stock of AWSC North-West RB.

11. In compliance with the Orders of the General Director of AWSC assets transfer from the central apparatus to the Regional Branches have been implemented.

12. Documents preparation and formulation of assets internal transfer between the employees of the HO was implemented.

QUARTERLY REPORT April-June 2011

3.3 WATER QUALITY CONTROL

QUARTERLY REPORT April-June 2011

WATER QUALITY CONTROL

Investigation of water quality of sources, serviced by the Company, is ongoing, as well as washing and disinfection of main facilities, some section of water distribution networks, DRRs and WTP structures is also under implementation.

Process of establishment of 17 new bacteriological laboratories is ongoing. Information on the process (as of 01.06.2012) is presented in table N11 below:

Reference on the organization of new laboratories Table -11

Sector The location of the laboratory The current situation

1 2 3 North-West Regional Branch Hrazdan Maqravan 3 pumping station In operation Berd WTP In operation Dilijan Repaired administrative building In operation Noyemberyan Repaired administrative building In operation Spitak Administrative building Area not ready Alaverdi Repaired administrative building In operation Charentsavan Administrative building Area not ready

Center-West Regional Branch

Artashat Administrative building In operation Masis Araratyan pumping station In operation Ashtarak Repaired administrative building In operation Ashotsq Repaired administrative building In operation

South Regional Branch

Vayq Repaired administrative building In operation Sisian Administrative building Area not ready Jermuk Administrative building Area not ready Agarak Administrative building Area not ready Goris Repaired area at old administrative building In operation Gavar Administrative building Area not ready

QUARTERLY REPORT April-June 2011

On the 6th of June 2011 the Division participated in «Potable water safety. Quality productivity control organization» seminar, organized by RA Ministry of Economy.

In compliance with the comments, presented by the private technical auditor of the Company, the form of presenting water quality control results has been changed. In the result of discussions with the Auditor detailed and short forms of reports submission were developed. They include 4 tables: water intake, up to the distribution network at the pressure point and water quality investigations implemented in the distribution network, as well as potable water disinfection control. All the 4 regional laboratories were connected to the internal network of the Company for ensuring efficiency in receiving of data. Data information system was established for transferring information between Sector-Branch-HO.

A training was organized with the heads of the Laboratories in Echmiadzin Training centre of the Company.

The results of potable water quality investigations are presented in tables # 12=15. In compliance with it during the II quarter of 2011 laboratories of the Company have implemented about 5.1 thousand samples bacteriological and 383 samples general and physic-chemical investigations. Deviations from the bacteriological indicators were equal to 1.8%.

Analyses of Water Quality at Places of Water Intake (underground and surface sources) Table – 12

Microbiological analyses Number of physicochemical Number of Number of Water Intake Number of N analyses including Number of planned deviations (Spring, WTP, PS) customers generalized planned samples among the analyses samples actually actually taken taken samples

1 2 3 4 5 6 7 North-West Regional Branch

1 Maqravan 4 19 871 2 1 1 1

2 Aramus 2936 0 0 0 0

3 Akunq 396 2 9 9 3

QUARTERLY REPORT April-June 2011

1 2 3 4 5 6 7 4 Buzhakan 639 2 1 1 1

5 Nurnus 3 976 2 4 4 3

6 Alapars 4 489 2 1 1 1

7 Solak 565 2 1 1 1

8 Gyumush 1110 0 0 0 0

9 Fantan 247 2 1 1 1

10 Maqravan 2 8 415 2 1 1 1

11 Maqravan 3 7 811 1 1 1 1

12 Teghenis 401 2 1 1 1

13 Ulashik 4 5 3 3 3

14 Water intakes in Dilijan town 5 905 14 279 154 11

15 Water intakes in Ijevan town 5 466 0 7 6 0

16 Azatamut 888 0 1 1 0

17 Water intakes in Berd town 2 517 2 7 3 1

18 Lori-Berd, Agarak 11 521 2 2 2 0

19 Berdavan 2 185 0 1 0 0

20 Water intakes in Noyemberyan town 220 0 3 0 0

21 Ayrum 40 0 1 0 0

22 Shirakamut, Jrashen 3 356 2 2 2 2

23 Chakhkal 1 504 1 1 1 1

24 Ghazanchi 403 1 1 1 1

25 Spitak bore-hole N1 107 1 1 1 1

26 Spitak bore-hole N 2 113 0 1 1 1

27 Novoseltsovo 6 265 1 1 1 1

28 Gyulidar 520 1 1 1 1

29 Getavan 687 1 1 1 1

30 Katnaghbyur 1 100 2 1 0 0

31 Sevaberd 7 2 1 0 0 Total 93 664 54 336 199 38

QUARTERLY REPORT April-June 2011

1 2 3 4 5 6 7 Center-West Regional Branch

1 Artashat 315 0 0 0 0

2 Garni 41 158 8 4 4 0

3 Bazmaghbyur 15 576 12 6 6 2

4 Ghazaravan 14 183 12 6 6 3

5 Artamet 2 0 0 0 0

6 Kozdashen 2 0 0 0 0

7 Araratyan 1, 2 12 041 2 1 1 0

8 Jermanis 2 723 1 1 1 0

9 Vosketas 3 375 4 2 2 1

10 Karbi 3 1 0 0 0

11 Yeznak 4 613 2 1 1 0

12 Ortachia 1 947 2 1 1 0

13 Geghadzor 403 1 0 0 0

14 Mantash spring 1 170 2 1 1 0

15 Mantash rezervoir 6 400 2 1 1 0

16 Kentaghbyur N 809 5 510 3 91 26 21

17 Zovasar, Jinj Akner 1 695 4 2 2 0

18 Sari 123 4 2 2 0

19 Ghazanchi 1 023 2 1 1 0

20 Bavra 128 2 2 2 0

21 Lusaghbyur 377 0 0 0 0

22 Gharaghachi 160 2 1 1 0

23 Artashat 160 2 1 1 0

24 Garni 150 2 1 1 0

Total 113 237 70 125 60 27

QUARTERLY REPORT April-June 2011

1 2 3 4 5 6 7 South Regional Branch 1 Shaqe 4 630 0 1 1 0

2 Zor-Zor 1 0 0 0 0

3 Mukhuturyan 2 302 0 1 1 1

4 Mukhuturyan, Akner 5 635 0 1 1 1

5 Geghi WTP 13 500 0 7 7 3

6 Vachagan WTP 11 0 3 3 2

7 Chanakhchi WTP 283 0 3 3 2

8 Agaraki WTP 1 435 0 3 3 2

9 Setents 381 0 3 3 2

10 Meghri WTP 1 141 0 6 6 4

11 Water intakes in Yeghegnadzor t. 3 559 0 3 3 2

12 Bazmaghbyur 1 822 0 1 1 1

13 Jrasar 2 388 0 1 1 0

14 Dzknget 72 0 1 0 0

15 Lchashen 7 479 1 1 1 0

16 Hatsarat 9 397 1 1 1 0 17 Kaler 136 1 1 1 0 18 Sarukhan 2 655 1 1 1 0 19 Gandzak 1 101 1 1 1 0 20 Water intakes in Chabarak town 1 109 2 2 2 2

21 Tsakqar 3 009 0 1 1 0

22 Hopoyi var 1 242 0 1 1 0

23 Shat jreq 1 274 1 1 1 0

24 Akner 1 289 1 1 1 0

25 Akunq 1 184 1 1 1 0

26 Surb Vardan 453 1 1 1 0 Total 67 488 11 47 46 22

GRAND TOTAL 274 389 135 508 305 87

QUARTERLY REPORT April-June 2011

Analyses of Water Quality before Distribution Network Table - 13

Number of Microbiological analyses physicochemical Number of analyses Number of Number of N Sectors Number of % of deviations customers including planned deviations among planned among the actually generalized samples the actually taken samples taken samples analyses actually taken samples

1 2 3 4 5 6 7 8 North-West Regional Branch

1 Abovyan 17 380 3 45 45 0 0.0

2 Byureghavan 3 976 1 13 13 0 0.0

3 Charencavan 12 291 6 27 27 0 0.0

4 Hrazdan 16 518 2 78 78 0 0.0

5 Tsakhkadzor 695 3 112 58 0 0.0

6 Dilijan 5 905 6 198 113 0 0.0

7 Ijevan 6 354 7 84 50 0 0.0

8 Berd 2 517 15 320 215 5 2.3

9 Alaverdi 10 579 4 48 48 0 0.0

10 Noyemberyan 3 387 7 84 52 2 3.8

11 Stepanavan 4 905 2 48 48 2 4.2

12 Spitak 5 483 5 60 60 0 0.0

13 Tashir 3 674 2 24 18 3 16.7 Total 93 664 63 1131 825 12 1.5

Center-West Regional Branch

1 Artashat 27 556 3 36 36 0 0.0 2 Ichmiatsin 25 373 24 96 96 3 3.1 3 Masis 12 041 1 12 12 0 0.0 4 Vedi 12 163 4 48 45 0 0.0 5 Ararat 4 477 3 36 36 0 0.0 6 Ashtarak 12 381 13 120 120 2 1.7 7 Aparan 3 520 3 24 20 0 0.0 8 Artil 11 910 1 36 31 2 6.5 9 Talin 1 818 1 24 24 0 0.0 10 Ashotsq 1 998 12 39 39 0 0.0 Total 113 237 65 471 459 7 1.5

QUARTERLY REPORT April-June 2011

1 2 3 4 5 6 7 8 South Regional Branch

1 Sisian 4 970 3 36 34 0 0.0 2 Goris 7 597 12 96 82 0 0.0 3 Kapan 13 794 79 349 349 0 0.0 4 Meghri 2 957 3 12 12 0 0.0 5 Yeghegnadzor 3 559 3 38 32 0 0.0 6 Vayq 1 822 2 20 20 0 0.0 7 Jermuk 2 388 2 32 32 0 0.0 8 Sevan 8 453 2 24 24 0 0.0 9 Chambarak 1 109 1 12 8 0 0.0 10 Gavar 12 387 9 45 45 0 0.0 11 Martuni 4 251 3 36 25 0 0.0 12 Vardenis 4 200 1 12 8 0 0.0

Total 67 487 120 712 671 0 0.0

Grand Total 274 388 248 2314 1955 19 1.0

Analyses of Water Quality in the Distribution Network Table - 14

M i c r o b i o i o g ic a l a n a l y s e s

Number of Number of Number of Number of % of deviations N Sectors deviations among the customers planned planned samples among the actually actually taken samples actually taken taken samples samples

1 2 3 4 5 6 7 North-West Regional Branch

1 Abovyan 17 380 105 105 2 1.9 2 Byureghavan 3 975 12 12 0 0.0 3 Charencavan 12 291 87 87 2 2.3 4 Hrazdan 16 518 84 84 0 0.0 5 Tsakhkadzor 691 8 6 0 0.0 6 Dilijan 5 905 36 34 1 2.9 7 Ijevan 6 354 34 20 0 0.0

QUARTERLY REPORT April-June 2011

M i c r o b i o i o g ic a l a n a l y s e s

Number of Number of Number of Number of % of deviations N Sectors deviations among the customers planned planned samples among the actually actually taken samples actually taken taken samples samples

1 2 3 4 5 6 7 8 Berd 2 517 6 6 1 16.7 9 Alaverdi 10 579 42 42 0 0.0 10 Noyemberyan 3 387 18 5 0 0.0 11 Stepanavan 4 898 24 24 2 8.3 12 Spitak 5 479 33 33 0 0.0 13 Tashir 3 667 12 12 7 58.3 Total 93 641 501 470 15 3.2 Center-West Regional Branch

1 Artashat 27 556 218 217 0 0.0 2 Ichmiatsin 25 369 273 273 1 0.4 3 Masis 12 040 124 120 3 2.5 4 Vedi 12 160 110 107 0 0.0 5 Ararat 4 477 14 11 0 0.0 6 Ashtarak 12 377 84 84 0 0.0 7 Aparan 3 520 51 50 8 16.0 8 Artil 11 905 108 107 10 9.3 9 Talin 1 802 12 12 1 8.3 10 Ashotsq 1 998 78 78 1 1.3 Total 113 204 1072 1059 24 2.3 South Regional Branch 1 Sisian 4 970 102 77 0 0.0 2 Goris 7 597 222 195 0 0.0 3 Kapan 13 794 510 510 12 2.4 4 Meghri 2 957 114 103 9 8.7 5 Yeghegnadzor 3 559 94 58 0 0.0 6 Vayq 1 822 84 56 0 0.0 7 Jermuk 2 388 62 34 0 0.0 8 Sevan 8 453 72 72 4 5.6 9 Chambarak 1 109 12 12 1 8.3 10 Gavar 12 387 96 96 0 0.0 11 Martuni 4 251 45 42 1 2.4 12 Vardenis 4 200 30 30 0 0.0 Total 67 487 1 443 1 285 27 2.1 Grand Total 274 332 3 016 2 814 66 2.3

QUARTERLY REPORT April-June 2011

Control of Drinking Water Disinfection Table - 15

1 Maqravan 4 19 871 1 484 0 321 42 54 3

2 Aramus 2 936 0 0 0 0 0 0

3 Akunq 396 0 0 0 0 0 0

4 Buzhakan 639 0 35 172 96 0 0

5 Nurnus 3 976 107 0 259 4 0 0

6 Alapars 4 489 102 0 129 16 21 0

7 Solak 565 14 0 65 33 0 0

8 Gyumush 1 110 46 0 0 0 2 0

9 Fantan 247 0 30 0 0 0 0

10 Maqravan 2 8 415 1 346 0 454 0 56 6

11 Maqravan 3 7 811 584 10 94 0 11 1

12 Teghenis 401 0 84 0 0 0 0

13 Ulashik 0 36 0 0 0 0 0

14 WI-s in Dilijan town 5 905 750 14 721 20 0 0

15 WI-s in Ijevan town 5 466 248 160 276 16 56 5

16 Azatamut 888 2 0 0 0 0 0

17 Water intakes in Berd town 2 517 202 25 206 21 29 0

18 Lori-Berd, Agarak 11 521 992 0 329 23 0 0

19 Berdavan 2 185 48 35 180 3 0 0

20 Water intakes in Noyemberyan t. 220 0 25 172 7 0 0

21 Ayrum 40 0 15 0 0 0 0

22 Chakhkal 1 504 0 2 0 0 0 0

23 Water intakes in Spitak town 3 979 80 78 240 12 15 10

24 Novoseltsovo 6 265 296 45 218 31 147 15

25 Gyulidar 520 0 27 39 1 60 9

26 Getavan 687 140 31 77 0 61 9

QUARTERLY REPORT April-June 2011

28 Sevaberd 7 0 12 0 0 0 0 Total 93 664 6 477 636 3 956 325 512 58 Center-West Regional Branch 1 Artashat 315 0 0 0 0 0 0

2 Garni 41 158 3819 61 324 0 504 4

3 Bazmaghbyur 15 576 796 100 189 0 314 12

4 Ghazaravan 14 183 2117 0 162 0 300 21

5 Artamet 2 0 0 0 0 0 0

6 Kozdashen 2 0 0 0 0 0 0

7 Araratyan 1, 2 12 041 1930 45 77 0 401 12

8 Jermanis 2 723 166 45 138 0 58 2

9 Vosketas 3 375 1131 0 281 0 55 6

10 Karbi 3 0 105 65 1 6 4

11 Yeznak 4 613 265 0 54 0 20 0

12 Ortachia 1 947 185 120 81 0 38 2

13 Geghadzor 403 0 0 0 0 0 0

14 Mantash spring 1 170 0 0 0 0 0 0

15 Mantash rezervoir 6 400 882 43 297 0 145 3

16 Kentaghbyur N 809 5 510 539 0 67 0 118 19

17 Zovasar, Jinj Akner 1 695 135 155 232 0 90 1

18 Sari 123 181 0 95 0 0 0

19 Ghazanchi 1 023 0 78 94 0 161 6

20 Bavra 128 0 65 56 0 20 0

21 Lusaghbyur 377 0 68 67 0 24 2

22 Gharaghachi 160 0 36 39 0 9 1

23 Artashat 160 0 36 53 0 18 2

24 Garni 150 0 35 73 0 29 3

Total 113 237 12146 994 2444 1 2310 100

QUARTERLY REPORT April-June 2011

Disinfectants used / kg Residual chlorine analyses done / unit Water Intake Number of N Before distribution Within distribution (Spring, WTP, PS) customers Chlorine Chlorine network network gas powder total deviations total Deviations 1 2 3 4 5 6 7 8 9 South Regional Branch 1 Shaqe 4 630 165 25 441 0 125 0 2 Zor-Zor 1 0 0 0 0 0 0 3 Mukhuturyan 2 302 0 0 0 0 0 0 4 Mukhuturyan, Akner 5 635 662 40 260 0 581 0 5 Geghi WTP 13 500 2791 0 366 0 1075 13 6 Vachagan WTP 11 0 18 68 0 97 0

7 Chanakhchi WTP 283 815 160 141 0 96 2

8 Agaraki WTP 1 435 332 0 36 0 361 30 9 Setents 381 75 27 35 3 472 26 10 Meghri WTP 1 141 424 0 36 2 433 53

11 Water intakes in Yeghegnadzor 3 559 540 0 37 0 62 0

12 Bazmaghbyur 1 822 194 29 29 0 35 0

13 Jrasar 2 388 100 0 27 0 31 0

14 Dzknget 72 0 0 0 0 0 0

15 Lchashen 7 479 383 28 57 5 272 2

16 Hatsarat 9 397 817 0 65 2 333 0

17 Kaler 136 0 27 7 0 3 0

18 Sarukhan 2 655 53 4 4 0 10 0

19 Gandzak 1 101 38 20 2 0 9 0

20 Water intakes in Chabarak town 1 109 0 50 2 0 23 2

21 Tsakqar 3 009 115 0 55 4 88 4

22 Hopoyi var 1 242 0 80 26 4 59 4

23 Shat jreq 453 152 0 105 0 100 4

24 Akner 1 184 148 0 131 0 59 0

25 Akunq 1 274 0 80 108 0 120 59

26 Surb Vardan 1 289 0 7 0 0 0 0 Total 67 488 7 804 595 2 038 20 4 444 199 Grand Total 274 389 26 427 2 225 8 438 346 7 266 357

Note* All information concerning water quality control and analyses is presented by attached CD.

QUARTERLY REPORT April-June 2011

REPORTS ON NATURAL RESOURCE UTILIZATION

Nature utilization fee of the Company for the 2nd quarter of 2011 constituted about AMD 5.03 million, nature protection fee - AMD 8.12 million (about AMD 1.18 million by coefficient “3”) Table #17.

Amounts of Natural Resource Utilization and Ecological Fees Table - 16

Calculated Fee for Natural Resource Utilization Calculated Ecological Fee (thous. AMD) (thous. AMD)

Underground Surface Water Total By index §1¦ By Index §3¦ TOTAL Water

“North-West” Regional Branch Abovyan 0.0 404.8 404.8 0.0 0.0 0.0 Hrazdan 11.8 435.3 447.1 629.3 28.7 658.0 Charentsavan 0.0 282.7 282.7 0.0 0.0 0.0 Ijevan 15.8 74.9 90.7 412.4 58.5 470.9 Dilijan 35.6 2.0 37.6 139.6 44.2 183.8 Alaverdi 0.0 311.8 311.8 256.7 32.6 289.3 Stepanavan 29.6 293.7 323.3 745.6 6.1 751.7 Total 92.8 1 805.2 1 898.0 2 183.6 170.1 2 353.7 “Center-West” Regional Branch

Artashat 0.0 346.9 346.9 223.0 305.8 528.8 Echmiatsin 0.0 437.6 437.6 680.2 391.4 1 071.6 Masis 0.0 192.2 192.2 507.5 46.4 553.9 Vedi 0.0 182.2 182.2 435.8 54.7 490.5 Ashtarak 0.0 302.0 302.0 332.5 0.0 332.5 Artik 0.0 227.2 227.2 221.2 0.0 221.2 Total 0.0 1 688.1 1 688.1 2 400.2 798.3 3 198.5 “South” Regional Branch Sisian 0.0 122.2 122.2 650.3 0.0 650.3 Goris 0.0 194.7 194.7 134.4 103.8 238.2 Kapan 135.0 129.5 264.5 524.9 100.4 625.3 Yeghegnadzor 0.0 189.4 189.4 202.0 9.4 211.4 Sevan 0.0 263.2 263.2 317.2 0.0 317.2 Gavar 0.0 546.8 546.8 522.2 0.0 522.2 Total 135.0 1 445.8 1 580.8 2 351.0 213.6 2 564.6

Grand Total 227.8 4 939.1 5 166.9 6 934.8 1 182.0 8 116.8

QUARTERLY REPORT April-June 2011

3.4 COMPANY’S SERVICES

QUARTERLY REPORT April-June 2011

COMPANY’S PROCUREMENT

Procurement within AWSC Budget Table – 17

PROCUREMENT AMMOUNT, AMD

1. Car services, petrol diesel and gas 62 260 000

2. Pipes, fittings, valves and other 1 700 000

3. Water chlorination 715 400

4. Office supply, IT and cellular phones 4 243 897

5. Safety devices 7 499 078

6. Equipment for works 2 180 416

7. Other works/ goods 5 740 024

8. Echmiatsin Training Center 0

9. Laboratories 208 000

10. Publications and TV broadcasting. 8 893 850

TOTAL ALLOCATED 93 440 665

TOTAL REQUESTED 428 455 116

QUARTERLY REPORT April-June 2011

TRANSPORTATION

 Gas system: During the second quarter of 2011 transportation means supplied and operated with gas, due to the difference between the prices for natural gas and gasoline , about AMD 3 000 000 (three million) was saved.

 Technical maintenance: Transportation Department periodically organizes and implements repair of those transportation means in Yerevan, which face problems while being repaired on site.

 Technical inspection-2011: Transportation division organized and implemented vehicles annual inspection activities for 2011.

Testing and regulation of headlights Testing opeation of the car brakes with the help of a stand with the help of the stand

 announcing the call center telephone number 1-71.

Advertisement of phone number 1-71 Regulation of Gaz-31 tires with a special equipment

QUARTERLY REPORT April-June 2011

4. QUALITY, SAFETY & ENVIRONMENT

QUARTERLY REPORT April-June 2011

REPORT ON THE ACTIVITIES IMPLEMENTED BY THE QUALITY, SAFETY AND ENVIRONMENT DEPARTMENT IN THE II QUARTER OF 2011

The activities carried out by Quality & Environment Division:

Activities on Company’s operating vehicles antitheft control, remote control system service is ongoing. Vehicles operation productivity indicator has considerably increased, particularly cases of passing speed limit of the vehicles during non-working hours and days, as well as activities on ensuring safe operation of “locator” system, installed on the vehicles, were implemented. In case of any damage or deviation of the system visit of the department, together with the representatives of the Company, were implemented and the issues were solved on site.

Diagram – 17

Mileage of the vehicles of the Company during weekends for the II quarter of 2011

6 424 7 000

6 000

5 000 4 108

4 000 3 058 2 715 2 555 2 211 3 000

2 000

1 000

0 January February March April May June

QUARTERLY REPORT April-June 2011

Diagram-18

Mileage of transportation means of the structural divisions during non-working days of the second quarter

Head Office 1 467 km North - West 19% 2 100 km 27%

South Center - West 2 542 km 1 715 km 32% 22%

Activities on control and arrangement of activities of the structure were implemented, another 3 “Teltonika” sets were installed. Presently 211 vehicles of the Company are equipped with the mentioned equipment.

The experts of the Department participated at discussions over drafts on amendments to N130-N Decree of RA Government from 22.01.2004, considering proposals and comments of the other water supply Companies.

The department has organized “Quality

management system” seminar, presenting ISO

9001 international standards usage sphere,

main principles, QMS 5 phase and quantitative

data of Companies certified by ISP 9001

standard, etc.

“Quality management system” seminar process

QUARTERLY REPORT April-June 2011

The Department continues implementation of visits to the HEC of the Company’s service territory: Yeghegnadzor, Vayq, Sisian, Goris, Kapan, Meghri, Agarak, Echmiadzin, Masis, Sevan, Gavar, Vardenis, Ashtarak, Aparan, Artik, Charentsavan, etc.

Revealed defects

Safety of the Employees operating the structures was checked, quality of implementation of operational and technical assignments, risk evaluation was implemented. Assignments towards improvement of the defects were given. Meantime, on site HEC and Sector name boards were installed.

Installed boards

QUARTERLY REPORT April-June 2011

The activities carried out by Safety Division

Procurement and distribution of summer uniform and shoes, long sleeve rubber shoes, welder’s uniform, gloves, protection boards, fire extinguisher, emergency sign for the cars, etc. was implemented.

Procured and distributed goods

In implementation of N50 Order of the General Director of the Company from 30.06.2010, the Division has implemented visits to construction sites of some construction-mounting activities, which are implemented under loan investments of the Company, for assessment of LP and TS risks, their registration and prevention. For this time visits were implemented to Agarak, Kosh PSs, Agarak WTP, Kapan town water distribution construction site, for participation at on site discussion. Problems with ensuring safety were registered and presented to the participants.

AGARAK WTP substation KAPAN town, channel development activities, violation of safety norms

QUARTERLY REPORT April-June 2011

The Division, in the required order, has presented an application for implementation of technical expertise of tracks, including chlorine transportation vehicles, in RA “Technical safety national centre”.

The Division prepared and submitted “Regulation on safety against high air temperature (first aid)” for ensuring safety of the Employees working under hot weather conditions, as well as “Air conditioners operation regulation” for ensuring safe and productive operation of the ACs, installed in the offices of the Company.

QUARTERLY REPORT April-June 2011

5.ADMINISTRATION

QUARTERLY REPORT April-June 2011

5.1 FINANCE & ACCOUNT

QUARTERLY REPORT April-June 2011

SUBSIDY TABLE-18

Subsidy FROM RA GOVERNMENT

RECEIVED AMOUNT MONTH 2011 COMMENTS (mln AMD)

JANUARY - -

108,99 salary FEBRUARY 152,00 10,56 income tax 28,15 social security payment

5,40 salary MARCH 50,90 10,50 income tax 27,61 social security payment

APRIL 67,63 79,35 salary

MAY 67,63 67,76 salary

JUNE 67,63 22,63 salary

TOTAL AMOUNT 405,8

QUARTERLY REPORT

April-June 2011

INFORMATION CONCERNING INCOMES AND EXPENSES OF AWS CJSC IN II QUARTER, 2011 TABLE-19

thousand drams

Received Current expenses

from

Proceeds other activity Net salary Social Total N H/O from main Covering Other Total

(including Payment. Electricity insurance Taxes expenses Subsidy activity Total income income of credit payments

sell of fund

water Currentexpenses meters) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 NORTH WEST REGION BRANCH 1 Abovyan 280 432,6 2 833,2 283 265,8 15 038,0 115 547,5 120 209,6 5 988,8 126 198,4 256 783,9 TOTAL 280 432,6 2 833,2 283 265,8 15 038,0 115 547,5 120 209,6 5 988,8 126 198.4 256 783.9 CENTER WEST REGION BRANCH 2 Artashat 368 036,3 5 320,9 373 357,2 15 000,0 102 955,8 55 092,1 3 437,7 58 529,8 176 485,6 TOTAL 368 036,3 5 320,9 373 357,2 15 000,0 102 955,8 55 092,1 3 437,7 58 529,8 176 485,6 SOUTH REGION BRANCH 3 Sisian 251 813,8 3 958,6 255 772,4 15 436,2 98 830,3 48 998,1 564,0 49 562,1 163 828,6 TOTAL 251 813,8 3 958,6 255 772,4 15 436,2 98 830,3 48 998,1 564,0 49 562,1 163 828,6 Total from 900 282,7 12 112,7 912 395,4 45 474,2 317 333,6 224 299,8 9 990,5 234 290,3 597 098,1 Branches

TOTAL 86 306,5 202 900,0 14 028,7 303 235,2 28 516,6 68 993,0 1 800,2 81 457,5 139 168,3 - 332 224,9 554 650,9 652 160,5 HEAD OFFICE

MAIN TOTAL 986 589,2 202 900,0 26 141,4 1 215 630,6 73 990,8 386 326,6 226 100,0 81 457,5 139 168,3 - 342 215,4 788 941,3 1 249 258,6

* See also below Diagram-17 83

QUARTERLY REPORT April-June 2011

CAHS FLOW– DIAGRAM 17 Thousand AMD

IN CASH INCOMES OUTCOMES IN CASH + - = 30.06.2011 01.04.2011 2 157 124.7 2 301 126.8 793 437.2 937 439.3 EBRD ADB** ADB** EBRD 33 321.9 806 126.1 BANK 728 043.0 1 030.9 BANK 58 502.1 BANK CASH 25 133.5 1 460 310.8 1 368.0 BANK CASH Social Fund 1 108.6 Other CASH 81 457.5 Staff Salary CASH 1 426 942.2 Expenses 791.6 Salary to 576.4 282.1 From Branches From Bank From ther Debtors Branches 22.7 (main activity ) 0 1 108.6 900 282.7 317 333.6 Taxes Payment ADB** From Budget & other 139 168.3 org. Centr. Payment ADB** 702 655.1 86 306.5 Centr. Procurement 342 215.4 624 572.0 Subsidy 202 900.0 Current Expenses EBRD 73 414.4 From other EBRD El. Consuption 176 000.0 Debtors 10 835.7 226 100.0 143 709.0

From water Credit Acquittant meters sales 0 12 112.7 Staff Salary From Bank 68 201.4 212 420.2 Bank 212 420.2 Credit *** CASH * 2 084.4 0

* Internal Cash Flow isn’t including in the Table 19 ** The cash drive of the ADB’s Loan Project wasn’t included in the Table 19 84 *** Overdraft Bank account increase as of 30.06.2011

QUARTERLY REPORT April-June 2011

5.2 HUMAN RESOURCES

QUARTERLY REPORT April-June 2011

In the second quarter of 2011 HR Department has performed the following activities:

. Has started collaboration with the companies (gyms, dental clinics, chain of supermarkets) suggesting special discounts and offers for the employees of Armenian Water and Sewerage CJSC to take their services.

. Organized and performed a number of corporate activities aimed at strengthening the communication and personal relations between the employees of the Head Office of the Company.

. Organized and performed meetings and discussions with the HR staff of the Regional Branches of the Company on «How to fill in the blanks of Social Security Fund», «How to formulate the annual vacations» and other topics.

. Performed a survey on the staff turnover in the Regional Branches of the Company:

 The staff turnover during 2011 has been evaluated according to the sectors/subsectors as well as by the positions/blocks.  Exit interview has been performed by the HR staff with the dismissed staff to reveal and later remove the reasons of turnover in the Company.

. Organized and has been performed visits to the Regional Branches of the Company (Office of the RB and Sector/Subsectors) to check the HR documentation and implementation of HR policy of the Company in line with the defined procedures and policies:

 HR records have been checked (orders, personal records etc.)  HR policy and procedures (implementation of Internal Behavioral Rules of the Company, working conditions, remuneration and bonus system etc.)

. Participated in the Career Fair organized by the State Employment Agency of the RA and USAID where HR Department:

 Represented AWSC  Get introduced to HR Staff of other Companies of Armenia  Get introduced and interviewed the people attended the Career Fair and received their CVs  Enlarged HR reserve database aimed at gradually involving young professional staff in the Company

. To pass to electronic HR system different HR software were observe by the Department.

QUARTERLY REPORT April-June 2011

MAIN HR INDICATORS

Number of employees Diagram 18

1800

1746 1750

1700 1 681 1 679 1 676 1677 1674 1664

1650 Number Number of employees

1600 2010 2011 2011 2011 2011 2011 2011 average January February March April May June P e r i o d

Labor turnover Diagram 19

0,3% 1,8% 3,2%

2,3%

North West Center West South Head Office

QUARTERLY REPORT April-June 2011

Simultaneously the following activities performed have ongoing character:

. Formulation and maintenance of HR documentation . Supervision over implementation of human resources policy of the regional branches of the Company in the following aspects:

 Employment contracts/agreements with employees  Provision of annual vacation to the employees  Checking salary applications  Collection, summary and analysis of data on gender, age, work experience in AWSC and education level of the Company's staff

 Analyze staff turnover

. With the Trade Union:  The list of the Company's employees and their family members are regularly updated (according to the age and gender) and all required information is provided to the Trade Union

 The protocols and acts are created concerning implemented works

. The Ministry of Social Security of RA:

 Submission of relevant reports  Corrective activities aimed at amendments of personal statements submitted to the Ministry since 2004

. Banks:

 Each month the payment cards are checked and the list is prepared to re-issue the cards  Applications for new employees are submitted  Notification and presentation to the employees of any changes in the terms and conditions of provision of overdrafts

QUARTERLY REPORT April-June 2011

5.3 TRAINING & DEVELOPMENT

QUARTERLY REPORT April-June 2011 . Training and Development Department

During the second quarter the department has done following:

. Implemented training sessions designed by annual training plan as well as additional trainings by necessity.

. In particular, in April, in cooperation with technical department training center completed sessions on AWSC capital construction documentation, normative requirements.

. Sectors’ commercial head get acquainted with billing program capabilities to prepare weekly and monthly analyses, reports. Commercial director Vahagn Manandyan conducted trainings.

. Jointly with IT department, training sessions on new possibilities of communication programs (Comagent, MS outlook) were conducted for head office personnel and sectors’ computer operators.

Training on construction works documentation Training on usage of communication software

. Towards the trainings and attestation of laboratories staff, training department and water quality division head organized discussion meeting with laboratory heads to elaborate and improve reporting procedures and forms.

. In a framework of cooperation with State Agrarian University hydro-melioration department’s third year students visited training center in may-June period. They get acquainted with center’s activities, water and mechanical laboratories works and heard lecture on AWSC structure, mission and activities.

. The quarter completed with lecture presentation on quality management system prepared by quality division head David Adamyan for head office staff.

QUARTERLY REPORT April-June 2011 .

Discussion on updated forms and procedures of Agrarian University students in training center reporting for water laboratories

List of trainings during second quarter 2011 Table-20

Number of Number N Program name Training subject participants of days

Training for sector heads, heads of exploitation divisions, heads of AWSC capital construction 1 works & exploitation services in documentation: rules and 54 2 “North- West” and “South” regulations. regional branches

Training for sector commercial Analyses with the help of billing 2 37 3 heads software program

Training for head office personnel 3 Usage of communication software 83 4 and sectors’ operators

Updated forms and procedures for 4 Laboratories personnel training 4 1 reporting

Training for staff holding the right Training for extension of driving 5 to drive vehicles with 89 continues certificate compressed natural gas

Cooperation with State agrarian Introduction of the company and 6 25 2 university its training center to the students

Presentation on quality 7 Training for head of personnel 33 1 management system

QUARTERLY REPORT April-June 2011 .

5.4 LEGAL & INSURANCE

QUARTERLY REPORT April-June 2011 .

Results of Legal and Insurance Activity of „Armenian Water and Sewerage“ CJSC

II Quarter of 2011

 1 167 cases with total amount of AMD 104 417 800 were submitted to the court.

 991 cases with total amount of AMD 72 049 000 were satisfied by the court.

 28 198 900 was repaid as a result of different actions of legal charachter, including previous pending cases.

During the reporting period AMD 4 217 302 was confiscated due the legal actions initiated by the Department which was included in the collected amount constituting AMD 28 198 900.

The main directions of the Department activities were protection of Company’s legitimate interests in different court instances, coordination of the works of regional branch lawyers, organization of Company’s property insurance activities, as well as provision of legal consultancy to the management.

QUARTERLY REPORT April-June 2011 .

6. PROJECTS

QUARTERLY REPORT April-June 2011 .

6. 1 W B

QUARTERLY REPORT April-June 2011 .

Realization of SCHEDULED PROJECTS under MWWP Fund

ARMENIAN WATER & SEWERAGE CJSC INVESTMENT PROGRAMS COORDINATION DEPARTMENT MUNICIPAL WATER SUPPLY AND WASTE WATER PROJECT II FUNDED BY THE WORLD BANK

CONSTRUCTION ACTIVITIES

During the reporting period the works in the frame of all signed agreements were proceeding in parallel in all construction sites. Brief description of each project is provided below:

HRAZDAN - pipe laying

I. Improvement of Water Supply and Wastewater Removal Systems of Hrazdan town MWWP II C2.20/3-04

Improvement of the Water Supply and Wastewater Removal Systems “North” area of Hrazdan town:

The contract foresees the implementation of the following works inter alia: a) Supply and installation 61.5 km of water distribution mains in sizes DN20-300 made of PE (61.0 km) and steel (0.5 km ) including fittings, valves and chambers; b) Supply and installation of 1.2 km of water pumping main of steel pipes in size 300mm; c) Installation of 1190 chambers for customer water meters; d) Supply and installation of 2 pumps each with capacity of 200m3/hour at a head of 64m; e) Supply and installation of 260 m of sewer pipes in size 200mm made of PVC.

QUARTERLY REPORT April-June 2011 . Physical Implementation of Works Table-21

Cumulative, including No. Diameter /mm According to the design /m the reporting period /m 1 2 3 4 1 De 20 12943 1918 2 De 25 195 0 3 De32 5563 1655.6 4 De50 3349 2451 5 De63 6664 3927 6 De75 9618 5065.5 7 De90 1940 444 8 De110 5040 4048 9 De160 4225 2470.5 10 De200 1017 817.5 11 De300 9752 5632 12 D 108x4 45 0 13 D 159x4 55 0 14 D 219x5 110 0 15 D 325x5 1447 0 16 D 426x5 470 0 TOTAL 62 433 28 429

The Contractor also installed 432 water meter chambers out of the 1220 which are foreseen for implementation.

Improvement of the Water Supply and Wastewater Removal Systems “South” area of Hrazdan town:

The contract foresees the implementation of the following works inter alia:

a) Supply and installation of 63 km of water distribution main in sizes DN 20-300 made of PE including fittings, valves and valve chambers; b) Supply and installation of 1.7 km of water pumping main of steel pipes in size 300mm; c) Installation of 1744 chambers for customer water meters; d) Rehabilitation of 400m3 balancing storage tank; e) Construction of 57 meter long suspension passage over Hrazdan river.

QUARTERLY REPORT April-June 2011 .

Physical Implementation of Works Table-22

Cumulative, including the No. Diameter /mm According to the design /m reporting period /m 1 2 3 4 1 De 20 18 370 4 752 2 De32 3 140 2 213 3 De50 5 468 2 760 4 De63 9 469 7 379 5 De75 7 812 4 644 6 De90 5 496 6 147 7 De110 8 655 2 644 8 De160 3 961 2 840 9 De200 2 358 1 758 10 De300 3 218 3 062 11 D 325x5 1 749 150 TOTAL 62 433 69 696

The Company also installed 712 water meter chambers out of the 1169 which are foreseen for implementation.

HRAZDAN - pipeline laying

QUARTERLY REPORT April-June 2011 .

II. Contract MWWP IIC2.11/1-01 Construction of administrative buildings Gavar sector and Jermuk, Spitak, Vedi sub-sectors of AWSC regional branches. The works in the frame of the Contract were still proceeding in the reporting period

III. Contract MWWP IIC2.11/1-01/2 - Construction of administrative buildings of Hrazdan, Charentsavan, Sisian sectors and Agarak sub-sector of AWSC regional branches: The works were finalized on 30.06.2011

IV. Contract MWWP II-C2.18/1-04 Rehabilitation of sanitary zones of water supply facilities with total length of 4613 meters. The works in the frame of the Contract were still proceeding in the reporting period.

ASHTARAK N 4 DRR F E N C I N G JERMUK- Reinforcement of Cover

T E N D E R I N G & C O N T R A C T S I G N I N G

List of contracts were signed during the II quarter 2011 Table-23

No Date of signing Contract name 1 2 3 1 17-05-11 Procurement of pumps , MWWP II-C2.7/2-07

2 03-06-11 Coagulation equipment, MWWP II-C2.1/2-19

3 23-06-11 Procurement of water meters, MWWP II-C2.17/2-10

See also attached

WB Proqurement TABLE-24

QUARTERLY REPORT April-June 2011 . Environmental and Social Safeguards

During the reporting period there were conducted the field visits to Hrazdan town to supervise the construction works.

In the period of 18-25 May 2011 the Mission of World Bank on Environmental issues was in Armenia, which also visited the construction sites in Hrazdan town. The meeting held in the premises of AWSC summarized the environmental requirements of WB and the strict follow- up of the subjected requirements in the frame of all future projects. It was specially pointed out that all the environmental requirements were to be clearly identified between the Consultant, Project Entity and Supervision company.

HRAZDAN - Road safety belts and road signs

N O R T H A R E A S O U T H A R E A

The site is cleaned up from the excessive soil and waste after the backfilling of trench and is brought to its previous shape. Preparation and inder way to restore the plant cover.

HRAZDAN - South area

100

QUARTERLY REPORT April-June 2011 .

6.2 A D B

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QUARTERLY REPORT April-June 2011

“Water Supply and Sanitation Sector Project“ funded by the Asian Development Bank

Component A: Municipal Infrastructure Rehabilitation and Improvement

FEASIBILITY STUDIES AND DEVELOPMENT OF PRELIMINARY AND WORKING DESIGNS

During the reporting period the physical implementation of works were proceeding in all the construction sites in the frame of all signed contracts.

I J E V A N - Excavation of Trench S T E P A N A V A N Excavation of Trench

I J E V A N - Working Process S T E P A N A V A N Working Process

The results of the implementation are shown in the table below.

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Physical Implementation of Works Table-25

P I P E L I N E S C H A M B E R S D E S C R I P T I O N Fabricated and For private Total / m monolith r/c /pcs houses / pcs 1 2 3 4 Package I. Artashat/ put into commissioning 23096/7016 3 1424 Package I.1 Artashat 2/ Put into commissioning 31062/11887 1 1575 Package I.2 Town Artashat/ put into commissioning 20338/5926 36 673 Package II.1. Vedi town/ put into commissioning 8230/2354 8 539 Package II.2. Vedi villages/ Put into commissioning 10837/3033 0 931 Package III.1 Masis/ put into commissioning 19735/7508 1 1001 Package III.2 Masis/ put into commissioning 13010/6705 2 839 Package III.3. Masis/ Put into commissioning 17533/4490 1 833 Package III.4. Masis/ Put into commissioning 12837/3357 2 725 Package III.5. Masis/ put into commissioning 3653/59 2 0 Package III.6. Masis/ put into commissioning 4169 6 0 Package IV.1. Sevan/ put into commissioning 23475/14734 13 564 Package IV.2. Sevan/ put into commissioning 22361/11540 4 437 Package 5.1 Etchmiadzin town/ put into commissioning 15108/6315 4 1024 Package V.1 Etchmiadzin/put into commissioning 8712/3500 16 487 Package V.2/ Put into commissioning 7448/2742 4 420 Package VI Abovyan town 42455/13555 10 1237 Package VII Aparan 25521/4379 13 243 Package VIII Berd town/ put into commissioning 6336/490 30 55 Package IX. Noyemberyan 28121/5323 15 538 Package X. Charentsavan 15315/1948 17 307 Package XI.1. Etchmiadzin 2 25432/4896 6 705 Package XII. Armavir 10339/1121 3 179 Package XIII. Meghri 1474/666 7 96 Package XIV. Goris 2/ put into commissioning 10352/9006 12 739 Package XV. Sisian 24159/8654 1 1088 Package XVI. Artik town 23285/3358 18 826 Package XVII. Ashotsk/ put into commissioning 14843/1273 4 0 Package XVIII.Yeghegnadzor 51862/15685 28 1833 Package XIV.1. Goris town/Put into commissioning 10716/7262 6 619 Package XVI.1. Artik town/ Put into commissioning 4583 16 0 Package 11.1 Talin/ put into commissioning 4438/2171 4 207 Package 2.1. Surenavan, Armash, Yeraskh/ put into com-ing 27317/150 9 0 Package XIX. Kapan 17923/7156 14 728 Package XX. Ijevan 16246/3570 16 513 Package XXI. Tashir 10363/2960 15 450 Package XXII. Stepanavan 5990/2730 9 400 Package XXIV. Sevan (Dzknaget) 9088/- - - Package XXV. Artashat villages 24273/3165 8 450 GRAND TOTAL 338182/79656 210 9648 103

QUARTERLY REPORT April-June 2011

T E N D E R S: During the reporting period there were signed the contracts which are presented in Table 20. In parallel, deadlines of many construction contracts were extended and some construction contracts were finalized, as summarized in the Tables 21 and 22.

List of signed contracts Table 26

Contract number Contract name Date of signing 1 2 3 Improvement of Stepanavan town Water Supply L2363-NCB-1-29 08.04.2011 and Wastewater Systems

Improvement of Kapan town Water Supply and L2363-NCB-1-26 26.05.2011 Wastewater Systems

L2363-NCB-1-28 Improvement of Tashir town Water Supply and 30.05.2011 Wastewater Systems

List of extended contracts Table 27

Contract Works Contract Contract Number Description signing Extension 1 2 3 4 Charentsavan Town, Solak and Argel Villages Water and Wastewater Systems L2363-ICB-1-15 02.04.2010 31.10.2011 Improvement, Makravan II Pumping Station Reconstruction Improvement of Water Supply and Wastewater Systems of Yeghegnadzor town, L2363-ICB-1-23 02.02.2010 31.07.2011 Getap, Gomk, Malishka, Nor Aznaberd and Shatin Villages Improvement of Water Supply and Wastewater Systems of Airum, L2363-ICB-1-14 01.03.2010 01.08.2011 Noyemberyan Towns and Deghdzavan, Haghtanak Villages Improvement of Water Supply and L2363-ICB-1-11 Sanitation Systems of Town Abovyan and 11.09.2009 31.07.2011 Villages Qarashamb and Qaghsi

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List of Finalized Contracts - Table 28

Contract No. Description of works Date of completion

1 2 3 L2363-NCB-1-01 Improvement of Goris Town WS System 26.12.2009 L2363-ICB-1-02 Improvement of Artik Town WS System 01.09.2010 L2363-ICB-1-03 Improvement of Echmiatsin Town WS System 06.02.2010 L2363-NCB-1-04 Improvement of Talin Town WS System 15.11.2009

L2363-ICB-1-05 Improvement of Surenavan, Armash, Yeraskh villages WSS 02.02.2010

L2363-ICB-1-06 Improvement of Artashat Region Villages Water Supply Systems 27.12.2010 L2363-NCB-1-07/1 Improvement of Vedi-Ararat Region settlements WSS 24.12.2009 L2363-NCB-1-07/2 Improvement of Vedi-Ararat Region settlements WSS 10.12.2009 L2363-NCB-1-08/1 Improvement of Masis Region settlements WSS 16.02.2010 L2363-NCB-1-08/2 Improvement of Masis Region settlements WSS 15.01.2010 L2363-NCB-1-08/3 Improvement of Masis Region settlements WSS 24.02.2010 L2363-NCB-1-08/4 Improvement of Masis Region settlements WSS 14.05.2010 Norabats DRRs, Pump Station and I Segment of Norabats- L2363-ICB-1-08/5 08.12.2010 Ghukasavan Water Mains L2363-NCB-1-08/6 Construction of Masis Region Ghukasavan-Geghanist water main 24.12.2010 Improvement of Sevan Town and Region’s Tsovazard and L2363-NCB-1-09/1 22.11.2010 Lchashen Villages’ Water Supply and Sanitation Systems Improvement of Sevan Region Hairavanq, Berdkunq and Lchap L2363-NCB-1-09/2 30.12.2010 Villages’ Water Supply and Sanitation Systems L2363-NCB-1-10/1 Improvement of Echmiatsin-1 RS WSS 22.02.2010 L2363-NCB-1-10/2 Improvement of Echmiatsin-1 RS WSS 31.08.2010 Improvement of Water Supply Systems of Ujan, Aragatsotn, Nor L2363-NCB-1-16 26.05.2011 Yedesia, Kosh, Dprevanq, Shamiram and Nor Amanos Villages L2363-NCB-1-19 Improvement of Goris Reg. Setl. WS Systems 27.12.2010 L2363-NCB-1-13 Improvement of Berd Town Water Supply and Sanitation Systems 27.04.2011 L2363-NCB-1-20 Improvement of Sisian Town WS System 30.05.2011

Improvement of Water Supply Systems of Salut, Torosgyugh, L2363-NCB-1-22 Vardablur, Musayelyan, Hartashen, Zuygaghbyur, Karmravan, 20.12.2010 Ashotsk, Bavra villages of Ashotsk Area

L2363-NCB-1-24 Improvement of Artashat Reg. Setl. WS Systems 03.03.2010

L2363-NCB-1-25 Improvement of Artashat Town WS Systems 24.12.2010

Note * The data are cumulative, from the beginning of the Project till the end of the reporting period

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Environmental and Social Safeguards

During the reporting period a number of visits were implemented to the construction sites.

On 30 May 2011 the ADB headquarter organized the round table aimed at Information Policy on Safeguard Mechanisms with participation of state governing bodies, environmental, social impact and safety specialists of all the projects financed by the ADB. Environmental Specialist of ADB, Mr. Mark Kunzer suggested to the state governing bodies responsible for the water sector in Armenia to use the technical assistance fund aimed at Strengthening and Use of Country Safeguards System to improve water legislation, particularly to review water supply and wastewater rules. Currently, AWSC IPCD environmental and social impact specialist started the collection of the necessary information in order to receive the technical assistance fund s amounts.

M A L I S H K A Contact reservoir Pumping Station, Chlorination Station and Catchment

On 30 June 2011 there was organized a meeting-discussion with Mr. Frederick Jovanetti, ADB Expert on Resettlement, Environment and Socal Impact. The objective of the meeting was to coordinate the resettlement issue and compensation procedures arised from the ressetlement in the frame of all projects financed by the ADB in Armenia. In order to coordinate this RA Government set up a commission with participation of all the interested ministries and authorities. A special working group will be working with the coopertauon of the mentioned commission, where a representative from AWSC is to be included as AWSC is dealing with land aquisition and change of plot categories in the project settlements.

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Restoration works in KAPAN region GETAP DRR

ADB Procurement TABLE-29

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QUARTERLY REPORT April-June 2011

6.3 E B R D

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QUARTERLY REPORT April-June 2011

“LAKE SEVAN ENVIRONMENTAL PROJECT” FUNDED BY EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT”

Lot 1 “Rehabilitation of Gavar, Martouni, Vardenis, Sevan and Jermuk towns sewer networks”.

During the reporting period the taking over of sewer networks with the totl length of 26 km rehabilitated in the project towns with participation of Consultant, Contractor and representatives of sectors of AWSC was finalized.

The main works implemented by the Contractor comprise the rehabilitation of sewer pipes in the five towns with following lengths and sizes as well as construction of three sewage pumping stations (PS):

SEVAN - Line N2 Taking Over

Sevan DN 200-DN400: L=6,092m; PS3 and PS5: Q=165m3/h, head=38m

Gavar DN 600: L=3,998m; DN200-DN400: L=3,762m

Martuni DN 200-400: L=3,972m

Vardenis DN 200-400: L=3,212m

Jarmuk DN 200-DN400: L=2,803m; PS: Q=100m3/h, head=37m

Lot 2 “Construction of waste water treatment plants for Gavar, Martouni and Vardenis towns”:

During the reporting period Ludwig Pfeiffer Hoch-und Tiefbau GmbH & Co. KG submitted the final design to the Technical Expertise to obtain the Conclusion. He received it in the same period and started the physical implementation of works.

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QUARTERLY REPORT April-June 2011

MARTUNI WWTP Site- Dewatering of Pit

A d d i t i o n a l W o r k s: LSEP-WORKS-2011 “Rehabilitation of Gavar, Martouni, Vardenis, Sevan towns sewer networks”:

After the award of two above mentioned tenders in the frame of the Project, there were still remaining funds which were decided to use for the rehabilitation of the sewer networks previously not covered by the Lot 1.

After EBRD granted its approval for the tender documents prepared by AWSC, the announcement on procurement of “Rehabilitation of sewer networks in Gavar, Martouni, Vardenis and Sevan towns” NCB No. LSEP-WORKS-2011 (3 lots) was publish in the local Hayastani Hanrapetutyun daily and on the official web site of EBRD on 16 June 2011. The submission of the tender proposals will be on 27 July 2011.

Environmental and Social Safeguards

During the reporting period the Environmental Impact Assessment packages have been developed for the working designs of Gavar, Martuni and Vardenis WWTPs, which have been submitted to AWSC CJSC together with the designs.

The above packages were submitted to the RA Ministry of Nature Protection in accordance with the procedure defined by RA legislation in order to get the environmental expertise conclusion. In frames of this process public hearings were organized in Gavar on May 13 and in Vardenis and Martuni on May 17. The p

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QUARTERLY REPORT April-June 2011

. Environmental and Social Impacts specialist of AWSC CJSC Investment Programs Coordination Department, . Engineer of “FICHTNER” consulting company, . Representatives of “Ludwig Pfeiffer” company, . Representatives of Gavar sector of AWSC CJSC, . Expert of the Environmental expertise SNCO, of RA Ministry of Nature Protection, . Inhabitants of Gavar town and NGO representatives, . Representatives of the environmental information center of Gavar, . Journalists from local TV of Gavar town.

JERMUK PS- Incoming Line VARDENIS - Location of WWTP

The main goals of the hearings were to discuss the expert conclusion and opinions from society, local governing and corresponding bodies regarding the working design in frames of “Construction of wastewater treatment plant in Gavar” component.

At the round tables the participants got complete information about the implementation goals, process and other details of the foreseen project. The positive conclusion from RA Ministry of Nature Protection was received on June 20 of the current year, after which it was possible to start the construction works.

An informational-explanatory meeting regarding the measures included in the EIA for all the parties involved in the construction process, including the technical supervisors, is foreseen by the Environmental and Social Impacts specialist of AWSC CJSC.

In parallel AWSC CJSC shall initiate the passportization process for the waste generated in the process of WWTP exploitation.

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QUARTERLY REPORT April-June 2011

7. PUBLIC RELATIONS

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QUARTERLY REPORT April-June 2011

Quarterly Activities April - June, 2011

STRUCTURAL CHANGES

On May 31st Armenian Water and Sewerage Company officially opened the Customer Service Center which is attached to the Public Relations Department. The opening ceremony took place at the AWSC head office. The management of State Water Committee, Public Services Regulatory Committee, company partners, representatives of international organizations, NGOs, media and other colleagues were invited to the ceremony. The international director of SAUR, Mr. Michel Fourre was also present at the event. After General Director’s speech, the red ribbon was cut and the center was officially open!

The management of State Water Committee and Customer Service Center Staff Public Services Regulatory Committee are cutting the red ribbon

The idea of having a call center has long been active in the company and several months the staff has been working on establishing the appropriate setting, training the center operators and finalizing the special software. The aim of the customer service center is to continue increasing the quality of service and improve relations with customers. A special three digit number 1-71 has been created to make it easier for customers to contact AWSC from all regions of Armenia. The center will be working 12 hours per day (8:30 a.m. to 8:30 p.m.) with possible increasing of working time in the future. The operators have gone through an extensive training to be able to reply to customer questions as well as provide up to date and reliable information. During the following months the Public Relations department will provide statistics on the overall calls.

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MANAGEMENT MEETINGS

On May 21st, 2011 representatives of World Bank, Mr. Vahel Zakoot and Mr. Ahmed Eiweda along with the World Bank Armenia staff visited AWSC. The PMU was also present at the meeting. They visited Alapars pumping station and later to Hrazdan town, where currently one of the main investment projects is being implemented. The participants of the meeting were introduced to the process of the implementation project, challenges and expected results.

Visit to ALAPARS pumping station Visiting the construction site in HRAZDAN

On June 15th, 2011 AWSC General Director took part in a press conference where all the media representatives were present. Mr. Lorin talked about current activities by identifying investment projects in different regions and the expected results. The General Director also mentioned the difficulties that come along the way. The opening of the customer service center was also announced during the meeting. Mr. Lorin answered to the questions that were raised by media representatives.

PRESS CONFERENCE WITH MEDIA REPRESENTATIVES

These kinds of meetings promote relations with media and once again confirm the transparent culture of the company!

During this quarter Mr. Lorin took part in celebration of 24 hour water supply in the cities of Yeghegnadzor and Goris. Several years ago when SAUR took the management of AWSC these two cities had very limited water supply and due to continuous efforts and implemented investments projects it was possible to reach to 24 hour water supply in these cities. City-wide celebrations were organized on the level of governors of Vayots-Dzor and Syuniq regions. The meetings were broadcasted on local and national TV channels.

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Meeting at the governor’s office General Director speech at of VAYOTS DZOR GORIS celebration

EXTERNAL AND INTERNAL RELATIONS

On June 1st, 2011 AWSC organized a nice event dedicated to the International day of Protection of Children’s rights. The event was jointly organized by Nunyos NGO and Orange Armenia. The aim of the event was to organize an expo of paintings done by orphanage children and the benefit of selling the paintings was dedicated to the medical surgery of one of the orphans. There were 100 children present at the event that enjoyed performance of Armenian singers and later draw new pictures expressing nature and water especially.

AWSC and Orange Armenia General Directors Children drawing at the exposition welcoming the children

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PR CAMPAIGN

On June 11th 2011 AWSC PR department organized the ninth drawing of lots for the regularly paying customers. AWSC General Director and head of major customers department of VTB Bank, as well as PR managers of both companies took part in the withdraw, which was live broadcasted on the Armenian Second TV Chanel. With the help of a special computer program, on coincidental basis, the winners of the ninth withdraw were chosen.

This time AWSC refreshed the approach and granted 10 winners, one from each region of Armenia. As in the past withdraws, the four prizes (each 300 000 AMD) were provided by VTB-Armenia bank, general partner of AWSC, and the management contractor of AWSC SAUR added two more prizes and the rest of the prizes were provided by the constructor partners of AWSC to encourage more customers to make regularly make payments. The awards giving ceremony took place on June 29th, 2011 at the headquarters of VTB Armenia

Bank.

Awards giving ceremony at VTB-Armenia Bank

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8. INDICATORS

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As requested by the contract, the Contract Manager shall monitor 25 indicators (3 aren’t used) on individual branch and Company level.

These indicators will give a possibility to check on the improvement of the AWSC.

INDICATORS RECAPITULATION – TABLE 30 (INDICATORS 1-25)

BASE Average Average Average Average Average Average II quarter № INDICATORS UNIT YEARS 2005 2006 2007 2008 2009 2010 2011

1 2 3 4 5 6 7 8 9 10

hours/ 1 Weighted average number of daily hours of drinking 6,04 7,39 9,62 10,98 12,10 13,0 14,0 14,36 water service day

2 % of individual subscribers billed on the basis of % 40,2 53,6 57,3 62,5 64,6 73,9 77,2 77,9 metered consumption

3 Weighted average water bacteriological safety % 93,8 93,8 93,9 96,2 96,6 98,6 98,2 98,2 compliance

4 Company working ratio % 194,9 176,4 138,8 133,8 133,7 106,6 102,4 101,9

5 % of cities with minimal daily hours of services % 68,1 74,1 80,1 83,9 85,6 80,7 90,1 93,7

6 % of block apartment buildings with individual or % 38,6 56,3 61,6 67,5 70,6 76,8 79,9 80,8 common block meter

% of block apartment buildings under contractual 7 % agreement with the company

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QUARTERLY REPORT April-June 2011

BASE Average Average Average Average Average Average II quarter № INDICATORS UNIT YEARS 2005 2006 2007 2008 2009 2010 2011

1 2 3 4 5 6 7 8 9 10 Revenue collected on domestic subscribers per Drams/ 8 166 181 242 250 286 396 446 482 registered inhabitant month 9 Collection ratio (excluding budget organizations) % 47,9 36,2 62,6 72,3 75,9 83,5 89,7 95,0

10 % of subscriber with more than 4 months debt % 79,5 75,1 76,7 77,8 79,5 78,1 48,9 31,4

Liters/ 11 Average domestic metered consumption per metered 81 71 75 78 87 87 91 98 registered inhabitant cap/day

Drams/ 12 Average price of m3 metered and billed to domestic 100,41 126,80 140,00 140,00 140,00 159,50 179,98 0,00 subscribers m3 Growth of the total collected revenue (excluding 13 % 114 568 16,2 46,9 54,8 72,6 119,5 146,2 155,0 budget organization) from base year

14 Ratio of water volume billed on the basis of metering % 25,0 26,0 47,3 56,2 59,1 64,5 77,8 86,1 to the total metered and normative billed volume Average daily production per equivalent registered Liters/ 15 668 759 754 790 827 792 742 683 inhabitant at water catchments levels cap/day

Liters/ 16 Average daily supply to distribution reservoir per equivalent registered inhabitant cap/day Ratio of metered final consumption (m3) to water 17 % 6,8 6,4 7,8 8,1 8,5 9,4 11,6 14,2 production at water catchments levels

18 Working ratio for branches with gravity systems % 89,7 121,0 97,5 94,5 85,2 65,9 58,0 53,8

Working ratio for branches with pumping stations or 19 % 223,3 196,8 155,2 148,9 147,2 115,5 105,0 103,7 treatment plants Electricity cost as % of revenue collected in systems 20 % 72,6 63,1 42,6 39,7 39,2 30,8 25,7 21,8 with pumping or treatment plants

119

QUARTERLY REPORT April-June 2011

BASE Average Average Average Average Average Average II quarter № INDICATORS UNIT YEARS 2005 2006 2007 2008 2009 2010 2011

1 2 3 4 5 6 7 8 9 10 Amount of chlorine effectively used per equivalent g/cap/ 21 inhabitant per year year

22 Total staff per 1000 individual subscribers u 9,45 8,34 7,15 6,87 6,85 6,9 6,3 6,3

23 Staff and assignment contractors total costs as % of % 70,2 68,9 61,9 61,4 62,2 51,1 49,4 49,5 collected revenue

24 Electricity consumption kwh/m3 0,43 0,38 0,31 0,30 0,29 0,25 0,23 0,23

25 % of water disinfected % 60,9 67,8 80,0 90,3 91,2 82,6 78,8 91,9

Remark* All information concerning performance indicators is presented by attached CD.

120

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 1

WEIGHTED AVERAGE NUMBER OF DAILY HOURS OF DRINKING WATER SERVICE æñ³Ù³ï³Ï³ñ³ñÙ³Ý ÙÇçÇÝ ïևáÕáõÃÛáõÝÁ ûñí³ ÁÝÃ³óùáõÙ

24,00

AWSC/ ÐæÎÀ

20,00 áÕáõÃÛáõÝÁ ¨ 16,00 North-West Region/ 14,03 14,13 14,36 ÐÛáõëÇë-²ñ¨Ùáõïù 13,01 î³ñ³Í³ßñç³Ý 12,10 12,00

10,98 Center-West Region/ 9,62 Î»ÝïñáÝ-²ñ¨Ùáõïù Number of hours of water supplies water of hours of Number 8,00 î³ñ³Í³ßñç³Ý

æñ³Ù³ï³Ï³ñ³ñÙ³Ý Å³Ù»ñÇ ï Å³Ù»ñÇ æñ³Ù³ï³Ï³ñ³ñÙ³Ý 7,39 6,04 4,00 South Region/ Ð³ñ³í î³ñ³Í³ßñç³Ý

0,00 Average 2004 Average 2005 Average 2006 Average 2007 Average 2008 Average 2009 Average 2010 March 11 June 11 Ø³ñï 11 ÐáõÝÇë 11 Months ³ÙÇëÝ»ñ

INDICATOR 2

% OF INDIVIDUAL SUBSCRIBERS BILLED ON THE BASIS OF METRED CONSUMPTION æñ³ã³÷»ñ áõÝ»óáÕ µ³Å³Ýáñ¹Ý»ñÇ %-Á

90,0%

77,9% AWSC/ ÐæÎ 77,2% 77,6% 80,0% 73,9%

70,0% 64,6% 62,5% North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 57,3% ï³ñ³Í³ßñç³Ý 60,0%

53,6% %

50,0% Center West Region Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 40,0% 39,9% South Region 30,0% Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

20,0% Base year / December 05 December 06 December 07 December 08 December 09 December 10 March 11 June 11 ÐÇÙÝ³Ï³Ý ¸»Ïï»Ùµ»ñ 05 ¸»Ïï»Ùµ»ñ 06 ¸»Ïï»Ùµ»ñ 07 ¸»Ïï»Ùµ»ñ 08 ¸»Ïï»Ùµ»ñ 09 ¸»Ïï»Ùµ»ñ 10 Ø³ñï 11 ÐáõÝÇë 11 ï³ñÇÝ Months ²ÙÇëÝ»ñ

121

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 3

% of implemented analyses in compliance with bacteriological safety æñÇ áñ³ÏÇ Ñ³Ù³å³ï³ëË³ÝáõÃÛáõÝÁ ÑÇ·Ç»ÝÇÏ ëï³Ý¹³ñïÝ»ñÇÝ

100,00% 98,85% 98,58% 98,21% 98,23% 99,00% AWSC/ÐæÎ

98,00% 96,56% 97,00% 96,24% 96,00% North West Region/ 95,00% ÐÛáõëÇë ³ñ¨ÙïÛ³Ý Ù³ëÝ³×ÛáõÕ 94,00% 93,81% 93,84% 93,86% 93,00%

% Center West Region/ 92,00% Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý Ù³ëÝ³×ÛáõÕ 91,00%

90,00%

89,00% South Region/ Ð³ñ³í³ÛÇÝ 88,00% Ù³ëÝ³×ÛáõÕ

87,00% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã. I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï Months

INDICATOR 4

COMPANY WORKING RATIO ÀÝÏ»ñáõÃÛ³Ý ³ßË³ï³ÝùÇ ³ñ¹ÛáõÝ³í»ïáõÃÛáõÝÁ

240,0%

AWSC/ ÐæÎ 220,0%

194,9% 200,0% 176,4% 180,0% North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 160,0% ï³ñ³Í³ßñç³Ý 138,8% 133,8% 133,7% 140,0%

% 114,4% Center West Region 120,0% 106,6% Î»ÝïñáÝ 102,4% 101,9% ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 100,0%

80,0% South Region Ð³ñ³í³ÛÇÝ 60,0% ï³ñ³Í³ßñç³Ý

40,0% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11 I 11Ã.II ï³ñÇÝ Months »é³ÙëÛ³Ï »é³ÙëÛ³Ï ²ÙÇëÝ»ñ

122

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 5

% OF CITIES WITH MINIMAL DAILY HOURS OF SERVICE FROM THE BEGINNING OF 2011 Üí³½³·áõÛÝ çñ³Ù³ï³Ï³ñ³ñÙ³Ý Å³Ù»ñáí ëå³ë³ñÏíáÕ µÝ³Ï³í³Ûñ»ñÇ % 2011 Ã-Ç ³ÙÇëÝ»ñÇÝ

105% AWSC/ ÐæÎ 100%

95%

93,71% South Region 90% Ð³ñ³í³ÛÇÝ 90,07% 90,07% ï³ñ³Í³ßñç³Ý

85% 85,55% 83,93% 80% North West 80,10% 80,65% Region ÐÛáõëÇë 75% ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 74,07% 70% Center East Region 65% Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 60% Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 March 11 June 11 ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 Ø³ñï 11 ÐáõÝÇë 11

Months ²ÙÇëÝ»ñ

INDICATOR 6

% OF BLOCK APARTMENT BUILDINGS WITH INDIVIDUAL OR COMMON BLOC METERS ²ÝÑ³ï³Ï³Ý Ï³Ù ÁÝ¹Ñ³Ýáõñ çñ³ã³փ áõÝ»óáÕ µ³½Ù³µÝ³Ï³ñ³Ý ß»Ýù»ñÇ µ³Å³Ýáñ¹Ý»ñÇ ïáÏáëÁ

95%

AWSC/ ÐæÎ 85%

79,9% 80,4% 80,8% 75% 76,8% 70,6% North West Region 65% ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 67,5% ï³ñ³Í³ßñç³Ý % 61,6% 55% 56,3% Center West Region 45% Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý

35% 37,6%

South Region 25% Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

15% Base year / December 05 December 06 December 07 December 08 December 09 December 10 March 11 June 11 ÐÇÙÝ³Ï³Ý ¸»Ïï»Ùµ»ñ ¸»Ïï»Ùµ»ñ ¸»Ïï»Ùµ»ñ ¸»Ïï»Ùµ»ñ ¸»Ïï»Ùµ»ñ ¸»Ïï»Ùµ»ñ Ø³ñï 11 ÐáõÝÇë 11 ï³ñÇÝ 05 06 07 08 09 10 Months

123

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 8

REVENUE COLLECTED ON DOMESTIC SUBSCRIBERS PER REGISTERED INHABITANT ´Ý³ÏÇã µ³Å³Ýáñ¹Ý»ñÇó ³Ùë³Ï³Ý Ñ³í³ù³·ñáõÙÁ Áëï ·ñ³Ýóí³Í µÝ³ÏãÇ

600

550 AWSC/ ÐæÎ 482 500 428 450 446 North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 400 ï³ñ³Í³ßñç³Ý 396 350

300 Center West Region ¸ñ³Ù/³ÝÓ/³ÙÇë Drams/cap/month Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý 286 ï³ñ³Í³ßñç³Ý 250 242 250 200 South Region 166 181 Ð³ñ³í³ÛÇÝ 150 ï³ñ³Í³ßñç³Ý

100 Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï Months ²ÙÇëÝ»ñ

INDICATOR 9

COLLECTION RATIO (EXCLUDING BUDGET ORGANISATIONS) Ð³í³ù³·ñÙ³Ý ³ñ¹ÛáõÝ³í»ïáõÃÛ³Ý ïáÏáëÁ (µ³ó³éáõÃÛ³Ùµ µÛáõç»ï³ÛÇÝ Ï³½Ù³Ï»ñåáõÃÛáõÝÝ»ñÇ)

110%

95% AWSC/ ÐæÎ 100% 93% 90% 90% 83%

80% North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 70% 76% 72%

60% 63% Center West Region Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý 50%

·³ÝÓí³Í »Ï³ÙïÇ % »Ï³ÙïÇ ·³ÝÓí³Í ï³ñ³Í³ßñç³Ý

% OF COLLECTION REVENU COLLECTIONOF % 47,9% 40% 36,2% South Region 30% Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

20% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

Months ²ÙÇëÝ»ñ

124

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 10

% OF SUBSCRIBERS WITH 4 MONTHS DEBT OR MORE THAN 4 MONTHS ²í»ÉÇ ù³Ý 4 ³Ùëí³ å³ñïù áõÝ»óáÕ µ³Å³Ýáñ¹Ý»ñÇ ïáÏáëÁ 100%

AWSC/ ÐæÎ 90%

80% 79,5% 77,8% 79,5% 78,1% 75,1% 76,7% 70% North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý

60% % 48,9% 50% Center West Region Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý 40% ï³ñ³Í³ßñç³Ý 32,5% 31,4% 30%

South Region 20% Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

10% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï Month ²ÙÇëÝ»ñ

INDICATOR 11

AVERAGE DOMESTIC METERED CONSUMPTION PER METERED REGISTRED INHABITANT ØÇçÇÝ ëå³éáõÙÁ ßÝãÇ Ñ³ßíáí` çñ³ã³փ áõÝ»óáÕ µÝ³ÏÇã-µ³Å³Ýáñ¹Ý»ñÇ Ñ³Ù³ñ 125

AWSC/ ÐæÎ

115

105 North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 98 ï³ñ³Í³ßñç³Ý

95 88

91 Center West Region ÈÇïñ/³ÝÓ/ûñ Liters/cap/day Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý 85 ï³ñ³Í³ßñç³Ý 81 87 87

78 75 71 South Region 75 Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

65 Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï Months ²ÙÇëÝ»ñ

125

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 12

PRICE OF M3 METERED AND BILLED TO DOMESTIC SUBSCRIBERS ê³Ï³·ÇÝÁ çñ³ã³փ áõÝ»óáÕ µÝ³ÏÇã-µ³Å³Ýáñ¹Ý»ñÇ Ñ³Ù³ñ

200 179,78 180

160 154,47 140,00 140 115,65 120 3 100,41

100 90,36 Drams/m ¸ñ³Ù/Ëáñ.Ù. 80

40 24,35 25,31 20 10,05

0 Period Water/æáõñ Sewerage/ Total/ ÀÝ¹³Ù»ÝÁ Ժամանակահատված ÎáÛáõÕÇ

INDICATOR 13

GROWTH OF TOTAL COLLECTED REVENUE FROM BASE YEAR (EXCLUDING BUDGET ORGANISATIONS) ÀÝ¹Ñ³Ýáõñ Ñ³í³ù³·ñÙ³Ý ³×Á (µ³ó³éáõÃÛ³Ùµ µÛáõç»ï³ÛÇÝ Ï³½Ù-ñÇ) µ³½³ÛÇÝ ï³ñí³ Ñ³Ù»Ù³ï

180% AWSC/ ÐæÎ 160%

140% 146,2% 155,0% 120% North West Region 119,5% 132,1% 100% ÐÛáõëÇë ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 80%

Center West Region %O FCOLLECTION REVENU 60% 46,9% 72,6% Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý

Ð ³í³ù³·ñáõÙóëï³óí³Í »Ï³ÙïÇ % 40% 54,8% ï³ñ³Í³ßñç³Ý 20% 0% 16,2% South Region Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

AWSC/ ÐæÎ

ØÇçÇÝÁ 05 ØÇçÇÝÁ

Average 05 Average

ØÇçÇÝÁ 06 ØÇçÇÝÁ

Average Average 06

ØÇçÇÝÁ 07 ØÇçÇÝÁ

Average Average 07

Base year year Base

ØÇçÇÝÁ 08 ØÇçÇÝÁ

Average Average 08

ØÇçÇÝÁ 09 ØÇçÇÝÁ

Average Average 09

ØÇçÇÝÁ 10 ØÇçÇÝÁ

Average Average 10

ÐÇÙÝ³Ï³Ý ï³ñÇÝ

I Quarter Quarter 11 I

II Quarter IIQuarter 11

11Ã.I 11Ã.I »é³ÙëÛ³Ï 11Ã.II »é³ÙëÛ³Ï

126

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 14

Ratio of water volume billed on the basis of metering to the total metered and normative billed volume æñ³ã³փ áõÝ»óáÕ µ³Å³Ýáñ¹Ý»ñÇÝ ïñíáÕ çñ³ù³Ý³ÏÇ ïáÏáëÁ µ³Å³Ýáñ¹Ý»ñÇÝ ïñí³Í ÁÝ¹Ñ³Ýáõñ çñ³ù³Ý³ÏÇ ÝÏ³ïÙ³Ùµ 100%

AWSC/ ÐæÎ 90%

86% 80% 83% 78% North West Region 70% ÐÛáõëÇë ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý

% 65% 60% 59% 56% Center West Region 50% Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 47% 40%

South Region 30% Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý 25% 26% 20% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

INDICATOR 15

AVERAGE DAILY PRODUCTION PER EQUIVALENT REGISTRED INHABITANT úñ³Ï³Ý ³ñï³¹ñí³Í ÙÇçÇÝ çñ³ù³Ý³ÏÁ Ù»Ï ßÝãÇ Ñ³ßíáí 1 200

1 100 AWSC/ ÐæÎ

1 000

900 827 North West Region 790 792 ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 800 742 ï³ñ³Í³ßñç³Ý 754 670 683 700 759 668

ÉÇïñ/³ÝÓ/ûñ Center West Region liters/cap/day 600 Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 500

400 South Region Ð³ñ³í³ÛÇÝ 300 ï³ñ³Í³ßñç³Ý

200 Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï Months ²ÙÇë

127

ԵՌԱՄՍՅԱԿԱՅԻՆ ՀԱՇՎԵՏՎՈՒԹՅՈՒՆ ²åñÇÉ-ÐáõÝÇë 2011թ.

INDICATOR 17

RATIO OF METERED FINAL CONSUMPTION M3 TO WATER PRODUCED æñ³ã³÷ áõÝ»óáÕ µ³Å³Ýáñ¹Ý»ñÇ ÏáÕÙÇó ëå³éí³Í çñÇ Í³í³ÉÇ ïáÏáëÁ ` ³ñï³¹ñí³Í çñÇ ÁÝ¹Ñ³Ýáõñ Í³í³ÉÇ Ñ³Ù»Ù³ï 18%

AWSC/ÐæÎ 16%

14,2% 14% North West Region/ ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 13,0% 12% Ù³ëÝ³×ÛáõÕ

11,6% %

10% Center West Region/ Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý 9,4% Ù³ëÝ³×ÛáõÕ 8% 6,8% 8,5% 7,8% 8,1% South Region/ 6% Ð³ñ³í³ÛÇÝ 6,4% Ù³ëÝ³×ÛáõÕ

4% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

INDICATOR 18

WORKING RATIO FOR THE BRANCHES WITH GRAVITY SYSTEMS ÆÝùÝ³Ñáë Ñ³Ù³Ï³ñ· áõÝ»óáÕ Ù³ëÝ³×ÛáõÕ»ñÇ ³ßË³ï³ÝùÇ ³ñ¹ÛáõÝ³í»ïáõÃÛ³Ý ïáÏáëÁ

160,0%

AWSC/ ÐæÎ 140,0%

121,0% 120,0% North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 100,0% ï³ñ³Í³ßñç³Ý 97,5% 94,5% 89,7% 85,2%

% 80,0% Center West Region 65,9% Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý 58,0% ï³ñ³Í³ßñç³Ý 60,0% 64,9% 53,8% South Region 40,0% Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

20,0% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

Months ²ÙÇëÝ»ñ

128

QUARTERLY REPORT April-June 2011

INDICATOR 19

COMPANY WORKING RATIO FOR BRANCHES WITH PUMPING STATIONS OR WATER TREATMENT PLANTS äáÙå³Ï³Û³ÝÝ»ñáí Ï³Ù Ù³ùñÙ³Ý Ï³Û³ÝÝ»ñáí ³ßË³ïáÕ Ù³ëÝ³×ÛáõÕ»ñÇ ³ßË³ï³ÝùÇ ³ñ¹ÛáõÝ³í»ïáõÃÛ³Ý ïáÏáëÁ 250,0%

230,0% AWSC/ ÐæÎ 223,3% 210,0% 196,8% 190,0% North West Region ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 170,0% ï³ñ³Í³ßñç³Ý

% 155,2% 148,9% 147,2% 150,0%

130,0% Center West Region 114,9% Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý 115,5% 105,0% ï³ñ³Í³ßñç³Ý 110,0% 103,7% 90,0% South Region Ð³ñ³í³ÛÇÝ 70,0% ï³ñ³Í³ßñç³Ý

50,0% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

INDICATOR 20

ELECTRICITY COST AS % OF REVENUE COLLECTED IN SYSTEMS WITH PUMPING OR TREATMENT PLANTS äáÙå³Ï³Û³ÝÝ»ñÇ ¨ Ù³ùñÙ³Ý Ï³Û³ÝÝ»ñÇ Í³Ëë³Í ¿É»Ïïñ³¿Ý»ñ·Ç³ÛÇ ³ñÅ»ùÇ ïáÏáëÁ ÀÝÏ»ñáõÃÛ³Ý ÁÝ¹Ñ³Ýáõñ Ñ³í³ù³·ñÙ³Ý ÝÏ³ïÙ³Ùµ

120%

AWSC/ÐæÎ ³ñÙ³Ý Ñ³Ù³ñ³ñÙ³Ý

× 100%

80% North West 72,6% Region/ÐÛáõëÇë ³ñ¨ÙïÛ³Ý Ù³ëÝ³×ÛáõÕ 63,1% 60%

Center West Region/Î»ÝïñáÝ 42,6% 39,7% 39,2% 40% ³ñ¨Ùáõïù 30,8% Ù³ëÝ³×ÛáõÕ 25,7% 27,8% 21,8% 20% South Region/Ð³ñ³í³ÛÇÝ

% OF COLLECTION USED FOR ELECTRICITY EXPENSIES ELECTRICITY FOR USED COLLECTIONOF % Ù³ëÝ³×ÛáõÕ

0% Base year / Average 05 Average 07 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II Ð³í³ù³·ñÙ³Ý % û·ï³·áñÍí³Í¿É»Ïïñ³¿Ý»ñ·Ç³ÛÇÐ³í³ù³·ñÙ³Ý%Í³Ëë»ñÇ í ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï Month ²ÙÇë

129

QUARTERLY REPORT April-June 2011

INDICATOR 22

TOTAL STAFF FOR 1000 INDIVIDUAL SUBSCRIBERS 1 000 µ³Å³Ýáñ¹ÇÝ µ³ÅÇÝ ÁÝÏÝáÕ ³ßË³ïáÕÝ»ñÇ թիվÁ

12,00

AWSC/ÐæÎ 11,00

10,00 9,45 North West 9,00 Region/ÐÛáõëÇë ³ñ¨ÙïÛ³Ý Ù³ëÝ³×ÛáõÕ 8,34 8,00

7,15 Center West 7,00 Region/Î»ÝïñáÝ 6,36 ³ñ¨Ùáõïù Ù³ëÝ³×ÛáõÕ 6,87 6,85 6,87 6,30 6,34

6,00 Staff per 1000 Staff 1000 per Individual Subscribers South 5,00 Region/Ð³ñ³í³ÛÇÝ

Ù³ëÝ³×ÛáõÕ ²ßË³ï³Ï³½Ù ³Ù»Ý 1000 ³ÝÑ³ï µ³Å³Ýáñ¹Ç Ñ³Ù³ñ

4,00 Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11 ï³ñÇÝ »é³ÙëÛ³Ï 11Ã.II »é³ÙëÛ³Ï

INDICATOR 23

STAFF AND ASSIGNMENT CONTRACTOR TOTAL COST AS % OF COLLECTED REVENUE ²ÝÓÝ³Ï³½ÙÇ å³Ñå³ÝÙ³Ý ÁÝ¹Ñ³Ýáõñ Í³ËëÇ ïáÏáëÁ Ñ³í³ù³·ñÙ³Ý ÝÏ³ïÙ³Ùµ

75,0%

70,2% 68,9% AWSC/ÐæÎ 70,0%

65,0% 61,9% 61,4% 62,2%

60,0% North West 57,8% Region/ÐÛáõëÇë ³ñ¨ÙïÛ³Ý 55,0% Ù³ëÝ³×ÛáõÕ

51,1% 49,5% 50,0% Center West % of collection of revenue% 49,4% Region/Î»ÝïñáÝ Ð³í³ù³·ñí³Í»Ï³ÙïÇ% ³ñ¨ÙïÛ³Ý 45,0% Ù³ëÝ³×ÛáõÕ

40,0% South Region/Ð³ñ³í Ù³ëÝ³×ÛáõÕ 35,0%

30,0% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

130

QUARTERLY REPORT April-June 2011

INDICATOR 24

ELECTRICITY CONSUMPTION IN Kwh/m3 ¾É»Ïïñ³¿Ý»ñ·Ç³ÛÇ ï»ë³Ï³ñ³ñ ëå³éáõÙÁ ÏíïÅ/Ù3

0,70

AWSC/ÐæÎ 0,60

0,50

0,43 North West Region/ ÐÛáõëÇë ³ñ¨ÙïÛ³Ý Ù³ëÝ³×ÛáõÕ

0,40 /ÏíïÅ/Ë.Ù3 0,38 0,30 0,29 0,30 KWH/m3 KWH/m3 Center West Region/ 0,31 0,25 0,25 0,23 0,23 Î»ÝïñáÝ ³ñ¨ÙïÛ³Ý Ù³ëÝ³×ÛáõÕ 0,20

0,10 South Region/ Ð³ñ³í³ÛÇÝ Ù³ëÝ³×ÛáõÕ

0,00 Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

INDICATOR 25

PERCENTAGE OF WATER DISINFECTED ²Ëï³Ñ³ÝíáÕ çñÇ % 100,0% AWSC/ ÐæÎ 91,21% 91,90% 90,30% 90,0%

82,61% North West 80,0% 78,80% Region 80,02% ÐÛáõëÇë ³ñ¨ÙïÛ³Ý ï³ñ³Í³ßñç³Ý 70,0%

% 69,73% Center West 67,83% Region Î»ÝïñáÝ 60,0% ³ñ¨ÙïÛ³Ý 60,87% ï³ñ³Í³ßñç³Ý

South Region 50,0% Ð³ñ³í³ÛÇÝ ï³ñ³Í³ßñç³Ý

40,0% Base year / Average 05 Average 06 Average 07 Average 08 Average 09 Average 10 I Quarter 11 II Quarter 11 ÐÇÙÝ³Ï³Ý ØÇçÇÝÁ 05 ØÇçÇÝÁ 06 ØÇçÇÝÁ 07 ØÇçÇÝÁ 08 ØÇçÇÝÁ 09 ØÇçÇÝÁ 10 11Ã.I 11Ã.II ï³ñÇÝ »é³ÙëÛ³Ï »é³ÙëÛ³Ï

131