AEROFLOT – RUSSIAN AIRLINES” 2010 (In Accordance with the Accounting Standards of Russia )

ANNUAL REPORT JSC “AEROFLOT – RUSSIAN AIRLINES” 2010 (in accordance with the accounting standards of Russia )

Moscow, 2011 Table of Contents

1. Company background

2. Key performance indicators

3. Address of the Chairman of the Board of Directors

4. Address of the General Director

5. Comprehensive development strategy

6. Auditor’s report on accounting (financial) statements

7. Aggregated balance sheet as of December 31, 2010

8. Aggregated profit and loss statement of JSC Aeroflot for 2010

9. Contact information

2 1. Company Background

Aeroflot is the leading airline in Russia and CIS, one of 25 world largest airlines (according to Air Transport World magazine). Following the performance results of 2010 the Company’s share of the Russian passenger air traffic market was 23.7%, and with affiliated airlines combined it was up to 26.7%. During the reporting year Aeroflot carried 11.3 mln passengers and 163 thousand tons of cargo and mail by over 97 thousand scheduled and charter flights.

In 2010 Aeroflot for the first time won the 1st place in passenger traffic on domestic air lines having carried 4.16 mln passengers that exceeds the corresponding indicator of any other operator of the Russian air transport market.

Air routes network of Aeroflot is the region largest and covers 110 destinations in 48 countries worldwide. The Airline’s fleet that is recognized as the youngest in Europe (as of the beginning of 2011) comprised 100 modern airliners.

Aeroflot is a member of the global airlines alliance SkyTeam. Joint routs network of the Alliance covers 898 destinations in 169 countries worldwide that provides to the passengers of Alliance member airlines actual- ly limitless opportunities of travel schedules choice.

The Company is based in Moscow, in the International Airport Sheremetyevo. In late 2009 a new terminal D was commissioned in the Airline’s base airport whereto the most flights of Aeroflot and its partners were transferred.

Aeroflot’s strategy is aimed at further shaping the Airline as a global network air carrier – one of the leaders of world air transport. In accordance with the Russian Federation Government resolution, a consolidation of aviation assets belonging to State Corporation “Rostechnologii” (GTK1 “Russia”, “Kavminvodyavia”, “Oren- burg Airlines”, “Vladivostok Avia”, “Saratov Avia” and “Sakhalin Air Lines”) is to be carried out on the Aero- flot’s base.

Under the Order of the President of the Russian Federation of August 4, 2004 № 1009, JSC “Aeroflot” has been included in the List of Strategic Enterprises and Strategic Companies.

1 Russian abbreviation for “State Transportation Company” 3 2. Key Performance Indicators

114.5 bn rubles Company’s gains in 2010 went up to 114.5 bn rubles, exceeding this indicator of 2009 by 30.6%. 12.1 bn rubles In the reporting year the Airline increased its net profit by 7.8 times as compared with the results of 2009. + 49% Aeroflot’s market capitalization grew during the last year by 49% and reached 87.9 bn rubles or $2.89 bn USD. 11.3 mln passengers The Company is far ahead of other air carriers of the region with regard to the number of passengers carried. In 2010 this number went up by 28.9%. 163.4 thousand tons of cargo and mail were carried by Aeroflot in 2010. 7 new aircraft were commissioned in 2010. +32.4% network connectivity factor of own Aeroflot’s flights increased by 32.4% and was 8.75 (in 2009 – 6.61).

+71.3% Transit passengers traffic within the Airline’s route network grew by 71.3% up to 4.3 mln passengers (33.8% of the total number of passengers carried)

Key Performance Indicators 2010 2009 Variance Passengers carried, thousand persons. 11 285.8 8 755.5 +28.9% Cargo and mail carried, thousand tons 163.4 86.8 +88.2% Passenger turnover achieved, mln PKM 34 777.1 25 986.2 +33.8% Tonne-kilometers achieved, mln TKM 4 082.1 2 738.6 +49.1% Passenger load factor, % 77.2 69.5 +7.7 pp Enplaned traffic, % 63.2 55.9 +7.3 pp Average count of staff, persons 13 157 14 290 –7.9% Financial Indicators Operating revenue, bn rubles 114.5 87.6 + 30.6% Revenue from passenger, cargo, mail traffic, bn rubles 98.0 71.8 + 36.5% Profit before taxation, bn rubles 15.0 4.5 + 230.6% Net profit, bn rubles 12.1 1.6 + 675.8% Net wealth at the year end, bn rubles 43.1 31.6 +36.2% Overall investments, bn rubles 0.9 1.5 -37.1% Company Worth Indicators Net profit per one share, rubles. 10.8 1.4 + 7.6 Market capitalization at the year end, bn USD 2.89 1.94 + 49% Financial Factors Profitability from Main Operations 10.7% 6.6% +4.1 pp Current Liquidity Ratio 2.89 1.89 +1 pp Loan / Equity Ratio 0.69 0.53 +0.16 pp

4 3. Address of the Chairman of the Board of Directors

Dear Colleagues!

Overcoming the recession and attaining the trajectory of stable growth became key tendency for air transportation industry last year. The tendency that was welcome, reassuring and opening new ho- rizons before us. Air transport has turned to the route for innovative development with the aim to realization of the groundwork done for qualitative breakthrough.

Passenger traffic growth in Russia achieved record numbers. In 2010 Russian airlines carried about 57 mln passengers – such high bar has been cleared for the first time in the modern history of Russia. This is 26% more than in 2009. The growth rates were three times higher in comparison with worldwide indicators.

JSC Aeroflot has been growing at even higher rate being a locomotion of an unprecedented industry-wide upsurge. The Group of companies headed by Aeroflot holds about a quarter of the volumes of air transportation carried out by all Russian operators. Following the completion of the consolidation of the State Cor- poration “Rostechnologii’s” aviation assets the Aeroflot Group’s share in the domestic market is going to increase up to about 40%.

Positive tendencies in the Russian economy, revival of the production, growth of real incomes of the population as well as committed government policies aimed at the support and development of the transportation industry contribute to the growth. Last year investments into the transportation complex of Russia total about 1 trillion rubles that is in comparable prices exceeds 2009 level by more than 8%. Great attention has been paid to introduction of innovative solutions that has been becoming an absolute priority for any business.

Favorable economic situation is just a precondition of success, just one of the factors that one Have to be able to take advantage of. The management team that has been leading the Airline for more than two years now has proved in full its competence to resolve such tasks. Financial experts indicate not only the grows of physical volumes of traffic, but the improvement of the national carrier profitability and efficient costs control. This promotes Aeroflot’s investments attractiveness and credit rating, contributes into dynamic growth of its market capitalization.

JSC Aeroflot strongly maintains its position as a leader in the domestic civil aviation, makes a most weighty contribution in its performance indicators and is a source of innovations that considerable bring up the efficiency of this industry a whole. The Company has been successfully working in the interests of its shareholders including the largest one – the State.

JSC Aeroflot is a backbone enterprise that not only determines the future of the air transport in Russia, but gives an impetus to the development of a number of economy sectors.

It would be impossible to fulfill one of the key objectives of the country modernization that is quality improvement of population mobility. It is no accident that the Airline has announced its strategic priority to win real championship in the traffic on domestic air lines while remaining within the cohort of heavyweight play- ers on international air lines through the use, among other means, the advantages of its membership in the global airlines alliance SkyTeam.

The actual status of the national carrier is not a mere honorary title, but also a serious commitment to the country and community. Aeroflot will have to achieve a lot more to include the task of consolidation of the domestic civil aviation, considerable improvement of its efficiency, prestige and competitiveness in the international market. 5

The leading Russian airline has everything necessary to achieve its strategic goals; the Europe youngest aircraft fleet, extended route network, wide customer base and high service standards, modern technologies and methods of business operation.

JSC Aerolfot may rely on the state authorities’ assistance in crucially important matters in future.

The Company’s main asset is a well-knit, highly qualified and motivated team that is infinitely devoted to its cause.

JSC Aeroflot possesses powerful means to achieve, during current year, new heights both inside the country and in key foreign markets. I am confident that the this potential is sure to be realized with active shareholders’ support.

Minister of Transport of the Russian Federation Igor Levitin

6 4. Address of the General Director

Dear Shareholders!

We have been forced to work hard to conquer the crisis in 2010. Now, JSC Aeroflot’s objective to use the fruits of those victory to the full extent, to turn the dynamic development into a stable trend, to make it really innovative.

We managed to achieve unprecedented performance indicators in operations, having demonstrated growth rates exceeding industry average. In 2010 Aeroflot carried 11.3 mln passengers – more than at any time in post soviet history. During three summer months and September, the Airline took aboard more than a mil- lion passengers that had not happened since 1994. Under the results of 2010 Aeroflot’s passenger turnover totaled 34.8 bn passenger-kilometers that is by 34% higher than the results of 2009. The percents of passenger seats occupancy rose up to 77.2% that is higher than the level of the preceding year by 7.7 percent points. Commercial load factor was 63.2% - an increase by 7.3 percent points.

Combined traffic of Aeroflot Group, during the year, exceeded 14 mln passengers – a quarter of passenger traffic carried out by the Russian air transport during the buoyant upturn stage.

The Company shows not only profitability, but its stable growth. In 2010 JSC Aeroflot’s net profit amounted to 12.1 bn rubles that exceeds the results of 2009 by 7.8. The revenues increased by 30.6% and came up to 114.5 bn rubles. Revenue growth rates left behind the operational costs growth rates that went up by 24.9% and amounted to 102.2 bn rubles.

The tradition that even the crisis was unable to shake had become the growth of market capitalization. As of the end of last year, this indicator rose by one third thus exceeding $2.89 bn USD. There are still other evidence of our Company investment attractiveness growth. According to MICEX, in 2010, Aeroflot’s shares were within the ten most profitable ones. At the same time we still have a good potential for growth. Under the assessments of investments experts, the potential of the Company’s shares value growth is about 30%.

All our achievements are the result not only of the general improvement of economic climate in our country and in the world. The decisive component of the success was Company management’s efforts to further develop and increase business efficiency, realization and concurrent modernization of our corporate strategy.

As a result Aeroflot further consolidated its positions of the national carrier and a major player in the global market. The most tangible progress in 2010 was achieved in the following areas: - Introduction of advanced technologies to all fields of JSC Aeroflot activities. The main direction of this work was the development of the corporate website and online sales. Public electronic tenders of blocks of seats have become a regular practice. An integrated company management system on the SAP solutions base is in the process of implementation. - Qualitative improvement of service, including means based on IT. In 2010 Aeroflot became the first Russian airline providing its passengers in-flight Internet access and mobile communications. It was also the first to assess its net promoter score index (NPS) and at a good level - 44%. 2011 in JSC Aeroflot was declared the Year of Passenger. - The development of Terminal D in Airport Sheremetyevo . The task of Aeroflot’s and a number of its partners’ flights transfer to the new Terminal has been successfully resolved. At the same time the issue of improved efficiency of the use of Terminal as a single complex is still to be resolved. - The industry consolidation. The Russian Federation government has charged Aeroflot to realize the project of integration of six regional air carriers – aviation assets of “Rostechnologii”. A certain work has 7 been done that will eventually bring about a tremendous synergetic effect the result of which will be the emergence of a powerful air line.

Aeroflot has prepared Main Directions of Aeroflot Group Development till 2025 that provides for the build-up of competitive advantages in all market segments. With all that we reaffirm our strategic priority – the leading positions in the domestic air transportation market.

Vitaly Saveliev

8 5. Comprehensive Development Strategy

Aeroflot’s strategic goal is to set up a global network air carrier having leading positions in the service level, use of innovations and consequent entry into the number of leaders of global air transportation market.

The basis of the innovative development will be information technologies – the means of efficiency improvement and costs reduction, qualitative service perfection. The production performance, flight safety will be improved through the use of advanced technologies and innovations..

Consolidation of six Russian air lines on the Aeroflot’s base, active development of cooperation within the SkyTeam framework and successful implementation of the fleet development program will allow Aeroflot to considerably improve its performance indicators and proceed to the next stage of realization of its ambitious plans for transformation into a global player in near future.

Formation of largest international hub in Sheremetyevo

Leader in the inter- Leader in the do- national and trans- mestic air transpor- fer markets of air tation market transporation

Strategic goal – transformation into a global network air carrier

Leader in the quali- Formation of an ex- ty of product of- tended route net- fered work for the long distance destinations

Results of realization of key objectives for 2010:

Strengthening positions in the domestic market by way of consolidation of airlines Pursuant to the Russian Federation government’s decision on the transfer of aviation assets now in pos- session of the State Corporation “Rotechnologii” to JSC Aeroflot, a Managing Committee for efficient integration of State Corporation “Rostechnologii” airlines into Aeroflot Group was set up: JSC “Vladivostok AVA”; JSC “Saratov Airlines”; JSC “Sakhalin Avaitrassy"; GUP2 “GTK “Russia”; GUP “Orenburg Airlines”; GUP “Kavminvodyavia”.

The Committee is comprised of Aeroflot’s managers and managers of the airlines to be transferred under Aearoflot’s control.

2 Russian abbreviation for “State Unitary Enterprise” 9

Expansion of service scope for business and economy class passengers, service personalization, Improvement of service quality: New in-flight catering From the time of summer schedule introduction passengers will be offered new catering; new food stuffs are used in hors d'oeuvres and main courses.

New in-flight information and entertaining magazines Passengers are offered a line of in-flight information and entertaining magazines: “Aeroflot”, “Aeroflot Premium” and “Aeroflot Style.

New fares of the Group The rules of fares application have been simplified, new tariffs plans of the Group have been developed. All published fares have been united into groups for two classes of service: business class – “status” and “comfort”, economy class – “status”, “comfort”, “budget” and “promo”.

Simplification of passport control procedure A new service have been implemented in Terminal D – operation of separate passport control booths for business class passengers on international flights.

Flight check-in service via mobile telephone and in-flight Internet access:

Mobile check-in Mobile check-in service have been introduced into operation in Terminal D of Moscow airport Shereme- tyevo, and in airports Pulkovo (Saint Petersburg), Hithrow (London). Aeroflot has become the first Rus- sian airline to launch mobile check-in service abroad.

Web check-in The list of cities where web check-in is available to Aeroflot’s passengers has been expanded; Vienna, Dusseldorf, Hamburg, Madrid, Hannover, Munich, Honk Kong have been added. Aeroflot’s passengers can now check-in from 48 cities – both Russian and foreign ones.

In-flight Internet access and mobile communications Base stations of mobile communication operator “MegaFon” has been installed on five Aeroflot’s airliners.

Rout network expansion

Flights to 7 international and 2 Russian destinations have been opened. The number of passengers on SkyTeam partners’ flights grew up against 2009 by 7.6% and totaled 170 thousand people.

Formation of an efficient fleet of modern aircraft

An agreement with Airbus corporation was made for delivery of 11 А330-300 aircraft in 2011 and 2012. With the aim of further development of services on long haul routes and an increase of capacities, an agreement with Boeing Corporation was made with relating to the order of eight Boeing 777 aircraft. They are to be delivered during the period of 2013 – 2016.

Improvement of efficiency of frequent flyer program

Harmonization of frequent flyer program “Aeroflot Bonus” terms with the relevant programs of Aeroflot’s SkyTeam partners have been carried out.

Promotion of direct sales 10

A new Aeroflot’s central own sales office was opened at the address: Arbat St., 10, Moscow. The through- put of the new office will go up by 60% against a regular sales office due to the use, among other things, electronic queue management system with output of maximum available options to enable high efficiency and quality of passenger service including the recognition of elite passengers status – members of “Aeroflot Bonus" program.

Electronic tenders for sales of blocks of seats

Open electronic tenders for sales of block of seats for the winter season of 2010–2011 for travel agencies have been carried out. The tender was held on the authorized by the Russian Federation government trad- ing platform “Sberbank-АСТ».

Formation and maintenance of feedback communication with passengers

Aeroflot’s representative offices were opened in social nets like “In Contact”, Facebook and in microblogs system Twitter. Besides, Aeroflot’s General Director Vitaly Saveliev’s personal blog has been launched on the platform LiveJournal; his microblog in Twitter has also become active.

Brand and sales promotion in international markets

Aeroflot has become the winner of the national premium in the business area “Companies of the Year – 2010” in the nomination “Transport”. Aeroflot’s website has been recognized the best corporate website of 2010 following the results of IV Saint Petersburg Competition of Annual Reports and Corporate Websites. Aeroflot has become the winner of the national prize "Wingas of Russia – 2010” in two nominations: “The Airline of the Year – Passenger Carrier on Domestic Air Lines in Group I” (among the airlines with largest volumes of traffic) and “The Airline of the Year – Passenger Carrier on International Scheduled Air Lines”.

ISO Certification

Aeroflot successfully passed the recertification audit of quality management system for the Airline compliance with the international standards ISO 9001:2008 requirements. The confirmation of standard ISO 9001 compliance certificate is the evidence that Aeroflot can maintain an invariably high level of services rendered by the Company.

Aeroflot Group’s strategic goals and objectives

Aeroflot Group’s strategic objective is the transformation into a global network air carrier. For that matter Aeroflot’s main priority is the strengthening of its positions in the domestic market of air transport of Russia and CIS countries.

Aeroflot’s strategic objectives are as follows:

- securing leading positions in international market of air transport in largest regional segments (from Russia and CIS to Europe and Asia) and in global transfer markets (Europe - Asia);

- formation of a largest international hub in Sheremetyevo, creation of conditions for the development of the hub airport infrastructure;

- retention and strengthening of the dominant positions in the domestic market of air transport; 11

- formation of an extended network on the long haul routes connecting major world air transportation markets;

- securing leading positions in the quality of product offering.

Group’s major goals:

Domestic market – retention and increasing of the domestic air transport market share.

International services sector – retention of leading positions in the key market of services to Europe and considerable strengthening of positions in the market of services to Asia.

Global transfer market - considerable strengthening of the presence in the key market of air services between Europe and Asia.

Unscheduled services segment – securing dominant positions in the market of tourist travel to Europe, Asia and Middle East.

The strategy of a global air carrier formation also implies a diversification in several segments of services – linehaul, charter and budget – with a corresponding diversification of product offering .

To create consistent competitive advantages the Company has been working over the formation of internal and external preconditions ensuring consistent competitive advantages: - advanced hub infrastructure; - dominant positions in the domestic market in the key segments – in Moscow aviation hub, in Saint Petersburg and in the Far East; - wide high frequency routes network; - efficient and coordinated commercial cooperation with SkyTeam members in the European and North American markets; - modern fuel – efficient fleet; - stable quality of service at the level of leading European airlines; - highly efficient passengers loyalty promotion programs and the customer relations management system; - strong, widely recognized brand; - qualified and motivated personnel; - stable financial position.

Key priorities for 2011

- focus on the core business, improvement of the efficiency of coordination of the Group’s structural subdivisions; - expansion of the presence in the market through, in the first place, the consolidation of aviation assets of the State Company “Rostechnologii” on the JSC Aeroflot’s base and the development of partnership relations within SkyTeam alliance framework; - offering of a wide product line in all segments of customer demand of Aeroflot’s Group;

12 - improvement of the quality of product offering and introduction of innovations, in the first place, in the area of mobile check-in, in-flight Internet access and mobile communications; - ensuring an efficient system of procurement of inventory; - expansion of aircraft fleet in the scope necessary to ensure stable, ahead of market growth of air traffic volumes in the middle and long term outlook; - introduction into service of homemade aircraft of SSJ class; - covering the requirements in qualified flight crew personnel using own resources (project “Aero- flot’s Aviation School”); - ensuring stable operation of the Group's companies under the crisis conditions.

13 6. Auditor’s report on accounting (financial) statements

INDEPENDENT AUDITOR’S REPORT

To Shareholders of JSC “Aeroflot – Russian Airlines” on the accounting statements of Joint Stock Company "Aeroflot – Russian Airlines” for the results of operations in 2010. The entity being audited: Joint Stock Company “Aeroflot – Russian Airlines”. Registered by the State Institution Moscow Registration Chamber. Certificate № 032.175 on the entry of record in the Uniform State Register of Legal Entities dated June 21, 1994 under the Main State Registration Number 102770009261. Domicile: Arbat, 10, 119002 Moscow, Russian Federation Auditor: Closed Joint Stock Company “BDO” registered by the Inspectorate of the Russian Federation Ministry for Taxation and Charges No 26 of the South Administrative District of Moscow. Certificate series 77 № 006870804 on the entry of record in the Uniform State Register of Legal Entities dated January 01, 2003 under the Main State Registration Number 1037739271701. Certificate series 77 № 013340465 on the entry of record in the Uniform State Register of Legal Entities dated January 20, 2010 under the Main State Registration Number 1037739271701. Domicile: Varshavskoye Shosse, 125, bldg. 1, section 11, 117587 Moscow, Russian Federation Telephone: (495) 7975665 Tel./fax: (495) 7975660 E-mail: [email protected] Web: www.bdo.ru General Director – Mr. Dubinsky Andrey Yurievitch JSC “BDO” is an independent auditors company incorporated in the international network BDO. JSC “BDO” is a member of the professional association Noncommercial Partnership “Auditing Chamber of Russia”, main registration number of the entry into State Register of Auditors and Auditors’ Organizations 10201018307. NP “ACR” is entered into the State Register of self- regulated auditor’s organizations No 1 in accordance with Order of the Ministry of Finance of Russia of October 01, 2009 No 455. The powers to sign this Report are delegated to Senior Partner Kharlamova Natalia Vasilievna under Power of Attorney dated January 01, 2011 No 1-01/2011-BDO. We have audited the accompanying financial statements of JSC “Aeroflot – Russian Airlines” comprised of the balance sheet as of December 31, 2010, the statement of profit and losses, changes in equity, comprehensive cash flow, the attachment to the balance sheet and the explanatory note for 2010. Financial statements for the period from the 1st of January till the 31st of December, 2009 were audited by the auditor JSC "Vneshaudit", and the auditor issued a modified opinion dated April 02, 2010 (the attention was drawn to the information provided in the section “Fixed Assets” of the explanatory note as regards the accounting, as of December 31, 2009, within the construction in p, of the value of property objects connected with office complex, that must be shown as inventory objects of fixed assets separate from buildings of the office complex; as of the time of preparation of accounting statements for 2009 the process of determining the composition and initial value of all office complex inventory objects had not been completed).

The auditee’s responsibility for financial statements Pursuant to the Russian Federation legislation as concerns financial statements as concerns the preparation and adequacy of the above said financial statements and for the internal controls system required to produce financial statements without any material misstatements due to unfair behavior and mistakes is the responsibility of the chief executive officer and chief accountant of the entity. Auditor’s responsibility Our responsibility is to express an opinion on these financial statements adequacy based on our audits. We conducted our audits in accordance with Federal auditing standards. Those standards require that we comply with applicable ethical standards, as well as plan and perform the audit to obtain reasonable assur- ance about whether the financial statements are free of material misstatements. The audit included auditing procedures to obtain auditing evidence supporting the amounts and disclosures in the financial statements. The choice of auditing procedures is the matter of our consideration that is based on assessing the risk of material misstatements made due to unfair behavior or mistakes. In the process of assessing the said risk we have examined the internal controls system ensuring preparation and adequacy of the financial statements with the goal to chose between relevant auditing procedures, rather than with the goal to express an opinion on the efficiency of the internal controls system. The audit also included assessing the accounting principles used and estimates made by the auditee’s management, as well as evaluating the overall financial statements presentation. We believe that evidence obtained in the process of our audits provides a reasonable basis to express our opinion on the adequacy of the financial statements. Opinion In our opinion, such consolidated financial statements present fairly, in all material respects, the financial position of JSC “Aeroflot – Russian Airlines” at December 31, 2010, and the results of its financial and business operations and its cash flows for 2010 in conformity with the requirements of the Russian Federa- tion legislation as concerns the preparation of accounting statements.

JSC “BDO”

Senior Partner (Official seal of JSC “BDO”) (signed) N.V.Kharlamova March 30, 2011

7. Consolidated Accounting Balance Sheet as at the 31st of December, 2010

(thousand rubles)

№ Indicator Description At Year Begin- At Year End ning Intangible assets 1 Fixed assets 88,247 92,749 2 Construction in process 5,096,989 7,710,614 3 Long-term financial investments 3,659,049 347,356 4 Inventory 4,955,148 7,618,985 5 Accounts receivable 3,096,386 2,687,443 6 Short-term financial investments 28,211,561 32,677,810 7 Cash assets 97,883 16,557,399 8 Other assets 2,791,635 3,753,334 9 Balance 386,888 1,302,627 Liabilities 48,383,786 72,748,317 Authorized capital , , 1 Additional paid-in capital 1,110,616 1,110,616 2 Reserve capital 1,483,337 1,008,215 3 Retained profit (uncovered loss) from previous years 277,654 277,654 4 Retained earnings (uncovered loss) for the reporting year 28,470,489 28,402,241 5 Borrowings 0 12,051,298 6 Accounts payable 2,460,981 12,000,000 7 Other liabilities 14,129,397 17,287,618 8 Balance 451,312 610,675 Intangible assets 48,383,786 72,748,317

16 8. Consolidated Profit and Loss Accounts of JSC Aeroflot for 2010 год

(thousand rubles) Indicators 2010 2009 Earnings Earnings from core activities 114,453,786 87,636,897 including: Sales of passenger services 89,589,302 69,558,937 Sales of cargo services 8,436,349 2,284,967 Other sales 16,428,135 15,792,993 Other earnings Interest receivable 1,109,217 38,855 Proceeds from participation in other companies 69,417 277,927 Other proceeds 21,805,749 18,634,731 Costs Cost value of works, services sold 91,869,961 73,456,586 Commercial costs 5,616,697 4,358,932 Administrative costs 4,676,248 3,989,861 Interests payable 1,025,027 191,421 Other expenses 19,241,972 20,051,533 Deferred tax assets / liabilities 203,617 75,087 Current profit tax and other tax payments 2,753,349 2,911,613 Net profit of the reporting year 12,051,298 1,553,377

17 9. Contact information

Full name: Joint Stock Company “Aeroflot – Russian Airlines” Abbreviated name: JSC Aeroflot Information on the entry in the Uniform State Register of Legal Entities: issued by the Administra- tion of the Ministry of Taxation and Charges of Russia for Moscow on August 22, 2003 №1027700092661. Taxpayer identification number: 7712040126 Domicile: Arbat St., 10, Moscow, Russian Federation Mailing address: Arbat St., 10, 119002, Moscow

For shareholders and investors: Tel./fax: +7 (495) 258-06-86, (499) 500-69-63/факс E-mail: [email protected]

Public relations: Tel.: +7 (499) 500-73-87 Tel./fax: +7 (495) 752-90-71 E-mail: [email protected]

“Aeroflot Bonus” Program»: Tel.: +7(495) 223-55-55, 0933- pay number 8-800-333-55-55 – for districts of Russia Fax: +7(495) 784-71-74 Business hours: from 9.00 till 21.00 7 days a week (Moscow time). www.aeroflotbonus.ru E-mail: [email protected]

Registrar: JSC “Computersher Registrar” address: Ivana Franko St., 8, Moscow (underground station “Kuntsevskaya”) tel. +7 (495) 926-81-60 or Registrar branch: Office 107, ground floor, bldg. 6 (Aviation Personnel Training Center), Sheremetyevo . tel.+7 (495)578-36-80

Statement of future development This Annual Report, along with actual information, contains opinions, assumptions and forecasts of the Airline’s management based on the currently available information. Due to the external factors effects, such as air services demand fluctuations, fairs changes, introduction of new technologies, changes of legal environment, currency exchange rates changes and so on, actual results of JSC Aeroflot operations may differ from the forecasts presented in this Report.