/ THE 10th ANNIVERSARY ANNUAL REPORT / 2014 ANNIVERSARY th / THE 10 T T h h e e e e n n e e r r g g y y c c o o m m e e s s fro fro m m here! here! © 2015, JSC RusHydro, all rights reserved. ANNUAL REPORT / 2014 TABLE OF CONTENTS Table of Contents.....................................................................................................................................................................................................................1 Responsibility Statement........................................................................................................................................................................................................3 About RusHydro.......................................................................................................................................................................................................................4 Business.Model........................................................................................................................................................................................................................7 RusHydro’s.Achievements.......................................................................................................................................................................................................8 2014.Results.............................................................................................................................................................................................................................9 Group.Structure......................................................................................................................................................................................................................12 Geographic.Footprint.of.the.Company..................................................................................................................................................................................14 2012-2014.Key.Corporate.Financial.and.Operating.Indicators...........................................................................................................................................16 Strategy...................................................................................................................................................................................................................................18 The.Chairman’s.Statement....................................................................................................................................................................................................21 CEO’s.Statement.....................................................................................................................................................................................................................22 Strategic.Management.System.............................................................................................................................................................................................23 The.Company’s.Development.Strategy.............................................................................................................................................................................23 Mechanisms.and.Results.of.Strategy.Implementation...................................................................................................................................................24 The.RusHydro.Group’s.Long-term.Development.Program.............................................................................................................................................24 Investment...............................................................................................................................................................................................................................29 Investment.Policy.Principles..............................................................................................................................................................................................29 2014.Investment.Program..................................................................................................................................................................................................30 Key.Investment.Projects.....................................................................................................................................................................................................32 2015.Investment.Program..................................................................................................................................................................................................33 Innovative.Development.........................................................................................................................................................................................................34 Innovative.Development.Program.....................................................................................................................................................................................34 Interaction.with.Higher.Educational.Institutions.and.Scientific.Organizations.............................................................................................................35 2014.RusHydro.Innovative.Projects...................................................................................................................................................................................36 2015.Innovative.Plans.........................................................................................................................................................................................................37 Financial Performance..........................................................................................................................................................................................................38 Assets,.equity.and.liabilities..................................................................................................................................................................................................40 Liquidity.and.Debt.Indices......................................................................................................................................................................................................41 Revenue.and.expenses..........................................................................................................................................................................................................43 Profitability.indicators............................................................................................................................................................................................................45 Cash.flow.................................................................................................................................................................................................................................46 Distribution.of.the.Company’s.net.profit...........................................................................................................................................................................47 Credit.rating........................................................................................................................................................................................................................47 KPI.System..............................................................................................................................................................................................................................48 2014.KPIs.of.RusHydro.......................................................................................................................................................................................................48 Causes.of.Deviations.of.the.Achieved.KPIs.from.Planned.Indicators............................................................................................................................49 The.KPIs.of.the.RusHydro.Group’s.Long-term.Development.Program.........................................................................................................................49 2014.KPIs.of.JSC.RAO.Energy.Systems.of.the.East.........................................................................................................................................................50 RusHydro.KPIs.for.2015.....................................................................................................................................................................................................50 The.Company.on.the.Securities.Market...............................................................................................................................................................................51 Authorized.share.capital....................................................................................................................................................................................................51 Circulation.of.Securities.on.the.Russian.Market.............................................................................................................................................................52