European Bank For Reconstruction And Development Extends 100 Million-euro Credit To Russia's Ues Co.

The company RAO Russia's Unified Energy Systems and the European Bank for Reconstruction and Development on Thursday in London concluded a 100 million-euro credit agreement for restructuring the energy holding. The credit will be given to the UES for 3.5 years. It is not reported at what interest. The agreement was signed by UES first deputy board chairman Leonid Melamed, now in London, and EBRD first vice-president Noreen Doyle. During the signing ceremony also a memorandum on UES-EBRD interaction was signed. This credit agreement is the first syndicated credit of a major Russian company since the 1998 crisis. Forty of the 100 million euros will go to update channels of electricity transfer. The bulk of this credit will be what is called the "working capital" and will be used for settling company's liabilities.