Six Months Report 2011 (VNV Global)

Summary

• Net asset value was USD 659.93 mln on June 30, 2011, corresponding to USD 6.53 per share.p.3
• Net asset value per share in USD increased by 5.52% over the period, while the RTS index increased by 7.71%.p.5
• In the second quarter, net asset value per share decreased by 4.84% (RTS index: –6.73%).p.5
• The three biggest investments are TNK-BP Holding (20.3%), Black Earth Farming (18.5%) and RusForest (7.9%).p.5
• Two new companies, Acron and Inter RAO, were added to the portfolio during the first six months.p.12

Key insights

1. TNK-BP EBITDA for 1H11 amounted to USD 7.4 bn, 59% higher than in 1H10.p.7
2. TNK-BP oil and gas production reached 1,765 mboe/d, up 1.2% on 1H10.p.7
3. Black Earth Farming's seeding campaign covers approximately 235,000 hectares, a 30% increase compared to the 2010 harvest area.p.8
4. RusForest currently controls approximately 2.6 million hectares of forest land.p.9
5. Kuzbassrazrezugol extracts coal from 12 open pit mines, with reserves estimated at 2.3 billion tons.p.10
6. Kuzbassrazrezugol's 2010 revenue was RUB 50.7 bn and EBITDA RUB 16.1 bn, implying a 32% margin.p.10
7. Gross investments in financial assets in the second quarter were USD 35.64 mln.p.12