Decisions Approved By Board Of Directors Of Aeroflot, JSC

05 May 2010

During the meeting on April, 27 the Board of Directors of Aeroflot, JSC decided to approve of the annual accounting report, including the 2005 profits and losses report of the company, and to recommend the Annual General Meeting to confirm the reports.

The profit from the main business of the air-carrier for 2005 was up 11.48% against 2004, and totaled RUR62.9 billion: passenger transportation grew by 9.14%, cargo carriage was up by 25.18%, and the company carried 4.4% more mail than in 2004.

Profit before taxation from all classes of business in 2005 totaled RUR8,365,934 thousands, an increase against 2004. Net profit for the reported period reached RUR6,032,405 thousands (on a par with 2004).

The Board of Directors decided to recommend the AGM to pay RUR910,893 from the net profit as dividends to shareholders, RUR0.82 for an ordinary share. The dividends will be paid from 19 June to 16 August, 2006. The remaining profit shall be invested into the company’s development.

In particular, the Board of Directors decided to allocate money to complete the construction of the “Water-Land”, a training complex designed to conduct training programmes necessary to develop adequate response to emergency situations. This is the only such facility in Russia and CIS. Seven years after this complex is launched the company will have the complete return of its investment, and the annual economic effect from its operation will exceed one million dollar equivalent and the personnel from Aeroflot and other air-carriers will receive qualified training.

The Board also examined the conclusion issued by the Revision Committee regarding the results of the Company’s 2005 economic and financial activity stating that the Committee had found no inconsistencies or omissions, or any unverified data in the balance sheet and the profits and losses report of Aeroflot as at 31 December, 2005.

Company’s auditor HLB Vneshaudit, CJSC also confirmed that the financial (accounting) report of Aeroflot, JSC is accurate and comprehensive with respect to the financial situation as of 31 December, 2005, and that the results of the economic and financial activity of the Company in 2005 comply with the requirements of the Russian law for financial (accounting) reporting.

The Board also made several organizational decisions necessary to ensure timely and effective ordinary AGM of Aeroflot shareholders.