EOS Russia – 29.9% share buyback and privatizations of distribution companies

The board of EOS Russia intends to request a mandate from the shareholders to
perform a synthetic buyback program of up to 29.9% of outstanding shares.

The first public announcements regarding the awaited privatizations of electric
distribution companies (MRSK’s) in Russia has been made and indicate that the
first assets can be sold during Q1, 2013.
The board of directors of EOS Russia intends to request a mandate from the
shareholders, at an upcoming shareholders meeting, to perform a synthetic
buyback program of up to 29.9% of outstanding shares. If such mandate is
granted, the synthetic buybacks are intended to commence on 22 October 2012.

EOS Russia’s financial advisor is SEB Enskilda.

EOS Russia will mainly sell non-core assets in its portfolio to finance the
synthetic buybacks. This will mean an even higher focus on the distribution
companies in EOS Russia’s portfolio. An extraordinary general meeting for the
purpose of passing a resolution on the mandate for synthetic buybacks is
intended to be held in August or September. A notice convening such meeting will
follow in due course.

The first public announcements regarding the awaited privatizations of electric
distribution companies (MRSK’s) in Russia has been made and indicate that the
first assets can be sold during Q1, 2013. EOS holds significant positions in
several distribution companies and sees this step, together with expected
finalizing of terms and levels of parameters of RAB (Regulated Asset Base) in
the autumn, as important factors for higher valuations in the sector.
For further information, please contact: ir@eos-russia.com
EOS Russia is an investment company headquartered in Stockholm. The overall
objective of the company is to offer attractive returns via investments in the
Russian electricity industry. EOS Russia's shares have been listed on First
North, a marketplace operated by the Stockholm Stock Exchange, since 25 June
2007.