RusHydro will start placement of shares

December 13th, 2012

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTOAUSTRALIA, CANADA OR JAPAN

RusHydro will start placement of shares of additional issue on December 19, 2012

December 13, 2012. Moscow, Russia. JSC RusHydro (ticker symbols: RTS, MICEX, LSE: HYDR; OTCQX: RSHYY) announces the date of the start of placement of registered ordinary uncertified shares of additional issue (state registration number 1-01-55038-Е-041D of December 3, 2012).

The placement of additional shares is to start December 19, 2012. The completion date for securities placement is the 30th day from the completion date of offers collection period (such period is determined in accordance with article 8.3 of the Resolution on the additional share issue), but not later than 365 days from the date of the state registration of the additional share issue.

The commencement date may be altered provided that the information about it is published in the news line and on the Issuer's Internet pages not later than 1 (one) day prior to the commencement date of securities offering indicated in this announcement.

The number of shares of additional issue is 110 bn with par value of RUR 1 per share. The shares will be placed through an open subscription.

The offering price of additional ordinary registered shares of the Company (including that for the persons on the list of persons having the pre-emptive right to purchase additional shares) is 1 (one) per 1 (one) additional ordinary registered share. Offering price for additional securities was determined by the Board of Directors of the Company in compliance with Articles 36, 77 of the Federal Law On Joint-Stock Companies (minutes dated December 10, 2012, No. 169).

Pursuant to Articles 40, 41 of the Federal Law on Joint-Stock Companies, the holders of ordinary shares of the Company entitled to attend the extraordinary General shareholders' meeting of the Company held on November 16, 2012 that passed the Resolution on increasing the share capital of the Company, have the pre-emptive right to purchase additional shares of the issuer pro rata the amount of ordinary shares of the issuer held by them.

The list of persons having the pre-emptive right to acquire shares was prepared on October 11, 2012.

The offering of the shares to the persons having the preemptive right to acquire securities will be conducted pursuant to the procedure provided for in Clause 8.5. of the Resolution on the Additional Issue of Securities.

For more information:

JSC RusHydro, Investor Relations Department

Tel. +7 (495) 225-3232 ext. 1319, 1394, 1607

[email protected]

DISCLAIMER

This announcement does not contain or constitute an offer of, or the solicitation of an offer to buy or subscribe for, securities to any person in the United States, Australia, Canada or Japan or in any jurisdiction to whom or in which such offer or solicitation is unlawful. The securities referred to herein may not be offered or sold in the United States absent registration under the US Securities Act of 1933, as amended (the "Securities Act") or another exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. Subject to certain exceptions, the securities referred to herein may not be offered or sold in Australia, Canada or Japan or to, or for the account or benefit of, any national, resident or citizen of Australia, Canada or Japan. The offer and sale of the securities referred to herein has not been and will not be registered under the Securities Act or under the applicable securities laws of Australia, Canada or Japan. There will be no public offer of the securities in the United States.

This announcement does not contain or constitute an invitation, inducement or solicitation to invest. This announcement is directed only at and is for distribution only to persons who (i) are outside the United Kingdom, (ii) are "investment professionals" falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) (the "Order"), (iii) are persons falling within Article 49(2)(a) to (d) ("high net worth companies, unincorporated associations etc.") of the Order or (iv) are other persons to whom an invitation or inducement to engage in investment activity (within the meaning of the Financial Services and Markets Act 2000) in connection with the issue or sale of any shares may otherwise lawfully be communicated or caused to be communicated (all such persons in (i), (ii), (iii) and (iv) together being referred to as "Relevant Persons"). This announcement is directed only at Relevant Persons and must not be acted on or relied on by persons who are not Relevant Persons. Any investment or investment activity to which this announcement relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.

In the European Economic Area ("EEA"), This announcement is only directed at persons who are "qualified investors" within the meaning of Article 2(1)(e) of the Prospectus Directive (Directive 2003/71/EC) ("Qualified Investors"). This announcement must not be acted upon in any member state of the EEA by persons who are not Qualified Investors.

The information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of RusHydro. One can identify forward-looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might," the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially from these statements.

We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia and rapid technological and market changes in our industries, as well as many other risks specifically related to RusHydro and its operations.