FEES.L Regulatory News (FEES)

Federal Grid Company AGM Agenda and 1Q 2014 Dividends Recommendation

Moscow, 27 May 2014- Federal Grid Company of Unified Energy System ("Federal Grid Company" or "the Company") (Moscow Exchange, LSE: FEES), part of the Russian Grids Group of companies and operator of Russia's Unified National Energy Grid ("UNEG"), announces that its Board of Directors has recommended that shareholders at the Company's annual general meeting ("AGM") approve a 1Q 2014 dividend of RUB 436,803,164.51 (RUB 0.0003426806681 per ordinary share, RUB 0.17134034 per GDR). The ex-dividend date was set as 16 July 2014.

The Board of Directors approved the following agenda for the AGM:

1) Approval of the Company's annual report and regulatory accounts, as well as on distribution of profit (including on payment of dividends) and losses for the 2013 financial year;

2) Approval of remuneration for members of the Board of Directors;

3) Election of the Company's Board of Directors;

4) Election of the Company's Review Commission;

5) Approval of the Company's independent auditor;

6) Approval of a related party transaction for insurance covering the liability of members of the Board of Directors, members of the Management Board, the Chairman of the Management Board, the Deputy Chairmen of the Management Board and the Chief Accountant of Federal Grid Company;

7) On payment of dividends for the first quarter of 2014.

Shareholders may review materials for the AGM from 6 June 2014 until 26 June 2014 (except for weekends and public holidays) from 10:00 to 17:00 at the following addresses: 5A Ul. Academika Chelomeya; 9 Bolshoi Nikolovorobinskiy pereulok, office 206; or 32 Novorogozhskaya, bldg. 1. The materials will also be available at AGM and on the Federal Grid Company website: www.federal-grid.com.

The shareholder register cutoff date for the AGM was 23 May 2014.

Federal Grid Company's Board of Directors recommended not paying a dividend for 2013 and recommended approving liability insurance for members of the Board of Directors, Management Board and Chief Accountant for up to 3 billion roubles.

The Annual General Meeting (AGM) will take place at 11:00 on 27 June 2014 in Moscow at the Intercontinental Hotel, 22 Tverskaya ulitsa, 3rd floor. Registration for the AGM will begin at 09:00.

About Federal Grid Company

Federal Grid Company is part of OJSC Russian Grids is the operator and manager of Russia's unified electricity transmission grid system. The company operates over 135.1 thousand km of transmission lines and has over 334 MVA of installed transformer capacity. Based on the length of transmission lines and transformer capacity in place, Federal Grid is the largest publicly traded electricity transmission company in the world.

Federal Grid's business is to provide electricity transmission and technological connection services.It maintains and develops the grid system and supervises grid facilities and infrastructure in75 regions of Russia, covering a territory of 14.8 million square kilometres. Its customers are regional distribution companies, electricity suppliers and large industrial enterprises. The Company is a natural monopoly with 80.13% stake controlled by Russian Grids.

Federal Grid Company was incorporated in June 2002 as part of reorganisation of Russia's electrical power industry.

Federal Grid Company's common shares are included on Moscow Exchange under the ticker FEES and the Company's GDRs are listed on the London Stock Exchange and traded under the same FEES symbol.

In 2013 the Company's IFRS consolidated revenue was RUB 157,970 million, while adjusted EBITDA was RUB 92,551 million, and adjusted profit for the period was RUB 23,405 million.

Further information can be found at www.federal-grid.com 

Further information about Russian Grids can be found at www.rugrids.ru/eng