RTS Board – the Doorway to Profitable Investments in Russia

May 2015

Moscow

Nonprofit Partnership for the Development of Financial Market RTS

WHY RTS BOARD SYSTEM?

RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

02

RTS Board contains more than 900 issuers that are not represented on the Russian organized market See slide 04

UNIQUE INVESTMENT DIRECTIONS

RTS Board securities cover all spectrum of Russian economy and regions of the country See slides 05-06

WIDE COVERAGE AND DIVERSITY OF INVESTMENTS

Average dividend yield of TOP-10 RTS Board securities achieved 25% per annum in 2014 See slides 07-08

HIGH YIELD INVESTMENTS

RTS Board is the leading information system for electronic quotation and signing of securities purchase agreements (SPA) on securities that are not admitted to trading on the Russian organized market

See slide 03

LEADING OTC SYSTEM

RTS Board issuers have great financial ratios

GREAT FINANCIAL PERFORMANCE OF RTS BOARD ISSUERS

See slides 09-11

LEADING OTC SYSTEM

RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

03

The operator of RTS Board is NP RTS group, which comprises a number of companies such as: • Saint Petersburg Exchange (operating first Russian Global Equities Market and trading platform with one of the broadest scope

of commodities traded in Russia) • RTS Tender (operating 2nd largest state procurement electronic trading platform in Russia) • Clearing Centre MFB, Best Efforts Bank and other businesses

RTS Board was created in 2001 - over 14 years on Russian Market

More than 100 000 SPAs were concluded through RTS Board system that made it possible to invest directly into the business development of Russian issuers

After being quoted in RTS Board system more than 150 issuers of securities were listed on Russian stock exchanges

RTS Board was the basis of RTS exchange market that later became an integral part of joint stock market organized by the Moscow Exchange

UNIQUE INVESTMENT DIRECTIONS

04 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

The number of stocks*

RTS Board quoted stocks

Russian exchange traded stocks

The number of issuers*

Russian exchange traded stocks

The total number of shares / issuers as of 10/04/2015 Total number

The number of active stocks/issuers

The number of active shares / issuers as of 10/04/2015 (according to the criterion of active bid/ask orders for more than 4 trade days per week)

280 322

581

1186

932

441

264 227

The best place to look for investment decisions regarding Russian small and mid cap companies

The widest range of ideas for direct and venture investments into Russia

The platform for investments in non-primary / non-resource Russia

RTS Board quoted stocks

Success stories**

Source of information: Bloomberg

** Large companies which were listed on Russian organized market after

being quoted on RTS Board

*

WIDE COVERAGE AND DIVERSITY OF INVESTMENTS

RTS Board represents companies all over Russia, from the Baltic Sea to the Far East

RTS Board covers a broad range of issuers from any Russian economy’s industry sector, including sectors that are poorly represented in the organized market but highly promising, e.g. Engineering & Construction, Shipbuilding, Aerospace/Defense

05 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

0 50 100 150 200 250 300 350

Industrial

Consumer, Non-cyclical

Financial

Energy

Basic Materials

Utilities

Consumer, Cyclical

Communications

IT

Russian exchange traded stocks RTS Board quoted stocks

Source of information: Bloomberg Source of information: Bloomberg

0 50 100 150 200 250 300 350

Moscow, Central Federal District

Volga Federal District

Ural Federal District

Siberian Federal District

Northwestern (St. Petersburg) Federal District

Southern (Black sea) Federal District

Far Eastern Federal District

North Caucasian Federal District

Russian exchange traded stocks RTS Board quoted stocks

WIDE COVERAGE AND DIVERSITY OF INVESTMENTS

06 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

114 stocks

Classification according to Industry Classification Benchmark - http://www.icbenchmark.com/

Industrial Engineering

105 stocks

Industrial Metals & Mining

104 stocks

Construction & Materials Financial Services

78 stocks

Food Producers

54 stocks

Aerospace & Defense Banks Industrial Transportation Oil & Gas Producers Gas, Water & Multi-utilities

40 stocks

49 stocks 46 stocks 46 stocks 46 stocks

HIGH YIELD INVESTMENTS

07

0,00% 5,00% 10,00% 15,00% 20,00% 25,00% 30,00%

Russian OTC Market

US OTC Market

UK OTC Market

German OTC Market

Taiwan OTC Market

Japan OTC MarketAVG = 15,90%

RTS Board issuers demonstrate sustainable dividend payments over the past 3 years which are twice higher than on Russian organized market

RTS Board issuers dividend yield averaged at about 18% for the last 3 years (provided 3 years of sustainable payments)

Twice as more RTS Board issuers than on Russian organized market, paid dividends in 2014

Global OTC Market TOP-10 average dividends paid in 2014

Mihailovsky GOK – 40,11% SPETSGAZREMSTROY – 41,08%

2012

2013

2014

Dalkhimpharm – 42,55% JSC "MSCP" – 94,5%

SHATURA Furniture Co – 51,92% SMPP J.S.C. – 134,78%

6 RTS Board issuers demonstrated over 40% dividend yield per year in the last 3 years :

RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

Source of information: Bloomberg, SKRIN, web-sites of Russian issuers Source of information: Bloomberg as of 10/04/2015 according to announced dividends

HIGH YIELD INVESTMENTS

08

TOP-10 RTS Board quoted stocks’ dividends paid in 2014

TOP-10 Russian exchange traded stocks’ dividends paid in 2014

RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

Source of information: Bloomberg, SKRIN, web-sites of Russian issuers Source of information: Bloomberg, SKRIN, web-sites of Russian issuers

AVG = 25,05% AVG = 11,52%

0% 10% 20% 30% 40% 50%

SPETSGAZREMSTROY GAZPROM

Mihailovsky GOK

TVZ

Kalinin machinery plant, Yekaterinburg

ABS Automation

Mostostroy-11

Komigaz

VOLGA SHIPPING

Saratovneftegas

Uralavtopritsep

0% 5% 10% 15% 20% 25%

M Video

E.ON Russia

Severstal

MMC Norilsk Nickel

Bashneft ps Q42013

Acron

Bashneft cs Q42013

Mobile TeleSystems

Surgutneftegas

Sollers

RTS BOARD SMALL CAP MODEL COMPANIES

09 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

Financial statement and Multiples as of

31/12/2014*

Brief description

Assets = 2 576 748 kRUB Revenue = 3 494 872 kRUB Operating profit = 212 099 kRUB Net profit = 163 158 kRUB ROA = 0,0857 ROE = 0,0961 P/E = 8,4659 BVPS = 6,9890

Yenisei River Shipping Company

Orelstroy Vanino Commercial Sea Port

Ticker: erpa

Yenisei River Shipping Company provides cargo and passenger transportation services.

Ticker: orls Orelstroy OAO is a construction company. The Company provides civil construction services of residential and commercial buildings.

Ticker: mtpv

Vanino Commercial Sea Port offers shipping port services. The Company loads, unloads and stores shipping containers, loads and unloads general cargo and provides other related services.

Source of information: Bloomberg, RTS Board issuer name is given in accordance with the one used in Bloomberg system

Assets = 18 009 727 kRUB Revenue = 2 674 690 kRUB Operating profit = 4 085 642 kRUB Net profit = 1 630 316 kRUB ROA = 0,2411 ROE = 1,7078 P/E = 12,4383 BVPS = 29,8699

Assets = 3 915 398 kRUB Revenue = 1 975 301 kRUB Operating profit = 926 912 kRUB Net profit = 715 879 kRUB ROA = 0,2420 ROE = 0,5093 P/E = 3,5154 BVPS = 8,3053

*1USD = 49,98 RUB as for 07/05/2015, source of information: Bank of Russia

RTS BOARD MID CAP MODEL COMPANIES

10 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

Financial statement and Multiples as of

31/12/2014*

Brief description

Assets = 10 062 447 kRUB Revenue = 16 719 039 kRUB Operating profit = 1 511 241 kRUB Net profit = 1 047 524 kRUB ROA = 0,1595 ROE = 0,3531 P/E = 3,7675 BVPS = 0,7875

Kolomensky zavod Vostochny Port Metafrax

Ticker: klmz

Kolomensky Zavod OAO produces main-line passenger diesel locomotives. The Company also develops and produces passenger electric locomotives and freight diesel locomotives.

Ticker: vopt Vostochny Port is located in the Russian Far East and provides mainly coal handling with usage of conveyer equipment. The Company also transports metals, timber, ore, chemical cargoes, cement, and other commodities.

Ticker: mefr OAO Metafrax manufactures products derived from methanol. The Company produces formalin technical, pentaerythritol technical, urotropine, urea formaldehyde resins, urea formaldehyde concentrate and technical pentaerythritol filtrate.

Assets = 24 585 675 kRUB Revenue = 13 439 071 kRUB Operating profit = 5 866 817 kRUB Net profit = 4 712 202 kRUB ROA = 0,267 ROE = 0,3504 P/E = 4,5819 BVPS = 0,0541

Assets = 12 297 987 kRUB Revenue = 5 998 258 kRUB Operating profit = 3 186 345 kRUB Net profit = 2 432 608 kRUB ROA = 0,3317 ROE = 0,5573 P/E = 2,0166 BVPS = 3,2121

Source of information: Bloomberg, RTS Board issuer name is given in accordance with the one used in Bloomberg system

*1USD = 49,98 RUB as for 07/05/2015, source of information: Bank of Russia

RTS BOARD ABOVE MID CAP MODEL COMPANIES

11 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

Financial statement and Multiples as of

31/12/2014*

Brief description

Assets = 53 183 767 kRUB Revenue = 113 042 979 kRUB Operating profit = 26 078 059 kRUB Net profit = 20 498 320 kRUB ROA = 0,5266 ROE = 1,0849 P/E = 8,9549 BVPS = 6,9476

Udmyrtneft Kalinin machinery plant Rostvertol

Ticker: udmn

Udmurtneft is active in the extraction and refining of raw oil and natural gas, prospecting and mine-workings of oil and gas fields and the production of various industrial, consumer and agricultural products.

Ticker: mzik Kalinin Machinery Plant Yekaterinburg OAO develops and manufactures medium and heavy duty trucks. The Company's products include electric forklift trucks, diesel forklift trucks, electric trolleys, cleaning machines and military equipment.

Ticker: rtvl JSC Rostvertol, or Rostov Helicopter Production Complex, produces the helicopters MI-24, Mi-26T, Mi-28N and Mi-34, and their modifications. The Company operates in southern Russia.

Assets = 107 416 767 kRUB Revenue = 36 938 285 kRUB Operating profit = 8 579 859 kRUB Net profit = 3 044 057 kRUB ROA = 0,0914 ROE = 0,6518 P/E = 3,5794 BVPS = 0,0062

Assets = 55 225 774 kRUB Revenue = 27 823 222 kRUB Operating profit = 6 204 766 kRUB Net profit = 4 819 894 kRUB ROA = 0,1434 ROE = 2,9187 P/E = 1,0767 BVPS = 3,3979

Source of information: Bloomberg, RTS Board issuer name is given in accordance with the one used in Bloomberg system

*1USD = 49,98 RUB as for 07/05/2015, source of information: Bank of Russia

WHY WILL RTS BOARD AWAKE YOUR INTEREST WHEN INVESTING IN RUSSIA TODAY?

12 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

In December 2014 RTS Board moved to an entirely new IT platform for OTC market, that provides straight-through processing for indicative quotation of financial instruments, electronic confirmation (including electronic signing of SPAs) and OTC transactions reporting to trade repositories and stock exchanges

More than 110 participants have access to RTS Board and are ready to on-board today (for more information about participants please see our website rtsboard.com)

Currently RTS Board team is working on cooperation with the biggest international market data vendors. Join hundreds of clients who already do receive RTS Board market data

Further development of RTS Board includes implementation of financial instruments such as local bonds, Eurobonds of Russian companies, loans and derivatives on different underlying assets classes

Code: 0#BRD.RTS Price: $50/month

Historical market data is available today , online stream will appear in 2nd half of 2015

Market data viewing terminal Price: ~50$/month*

* 2’400 RUB/month

WHY ARE INVESTMENTS INTO RUSSIA ATTRACTIVE RIGHT NOW?

13 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

Import substitution strategy in all major areas of Russian economy (industry, agriculture, IT, pharmaceuticals, etc.)

The largest since the beginning of 1990s program of state defense orders financing (RTS Board is the only market that includes securities of defense sector issuers)

Underestimated market value of Russian companies due to general decrease of Russian stock market

Upcoming listing of securities of Russian companies which are not traded publicly as result of NP RTS team active work with issuers and cooperation with industry associations

APPENDIX

PAID RTS BOARD DIVIDENDS

15 RTS Board – the Doorway to Profitable Investments in Russia

May 2015, Moscow

Issuer (Bloomberg name) Code 2012 2013 2014 AVG

Active Marine Fishery Base nbam 28,19% 15,39% 11,70% 18,43%

OAO "SPETSGAZREMSTROY" OAO "GAZPROM" sgrsp 5,52% 7,88% 41,08% 18,16%

VOLGA SHIPPING vfltp 12,42% 16,59% 18,58% 15,86%

Metafrax mefr 17,70% 13,84% 14,41% 15,32%

Saratovneftegas snfgp 11,55% 14,66% 16,69% 14,30%

ROSTVERTOL PLC rtvl 8,30% 15,76% 14,80% 12,95%

PJSC "Volzhsky Abrasive Works" vazzp 17,21% 6,14% 13,75% 12,37%

OJSC "Mostostroy-11" msts 6,29% 10,07% 20,36% 12,24%

Udmyrtneft udmn 14,81% 9,08% 12,66% 12,18%

OJSC "APZ" apsz 14,36% 10,75% 7,27% 10,80%

Gornozavodskcement gzce 6,30% 6,87% 12,00% 8,39%

Komigaz kgaz 3,24% 3,25% 13,26% 6,58%

Yenisei River Shipping Company erpap 8,89% 0,18% 9,77% 6,28%

Chelindbank chlb 3,18% 5,32% 7,51% 5,34%

Lengazspecstroy legs 7,09% 7,33% 0,81% 5,08%

PJSC "Vanino Commercial Sea Port" mtpvp 2,79% 5,55% 6,88% 5,07%

Metrostroy metp 0,50% 0,52% 5,99% 2,34%

OJSC Gazprom gazoraspredelenie Voronezh vogz 2,47% 1,37% 2,67% 2,17%

Irkutsk Electronetwork Company iesk 0,62% 2,30% 2,42% 1,78%

Gazenergoservice gzes 1,60% 1,26% 1,42% 1,43%

TOP-20 dividends paid regularly

THANK YOU FOR YOUR ATTENTION!

Contacts: Address: Moscow, Dolgorukovskaya, 38 bld.1 Tel: +7 (495) 705-90-31 E-mail: otcmarket@rts.ru www.nprts.ru www.rtsboard.com