SECURITIES PROSPECTUS

The issuer owns controlling stakes in IDGCs (subsidiaries and dependent companies ofthe issuer) and is therefore in charge of corporate management of IDGCs. The issuer’s principalsource of income is dividend on the shares in IDGCs.The issuer’s primary objective is to define and implement development strategy fordistribution grid facilities in the Russian Federation for the purpose of attracting large-scaleinvestments.Consequently, the issuer’s plans for future activities include:1. introduction of reliability and customer service quality standards;2. reduction of network wear to the level of developed countries (50%);3. bringing the operational performance indicators of IDGCs to the level of gridcompanies of developed countries;4. ensuring that IDGCs have stable return as the companies of the RussianFederation with comparable market risks;5. ensuring that IDGCs occupy 80% of the electric grid service market in theirservice areas;6. increasing the capitalization of IDGCs to the level of peer grid entities ofdeveloped economies.In the event of switch to a new tariff regulation model (RAB), by 2011 it is planned tocommission under the investment programs of the issuer and its SDCs 19,615 MVA of capacityand 21,364 km of lines, which is 8,462 MVA and 6,705 km higher than specified in theinvestment program of RAO UES of Russia.The issuer does not have any plans for the launch of new production, expansion orcutback in production, development of new product types, upgrading and rehabilitation of fixedassets.The issuer does not plan to change its core business.4.4. Participation of the Issuer in Industrial, Banking and Financial Groups, HoldingCompanies, Concerns and AssociationsThe issuer does not participate in any industrial, banking or financial groups, holdingcompanies, concerns or associations.4.5. Subsidiaries and Dependent Business Entities of the Issuer.1.Full corporate nameTyumenenergo Open Joint-Stock Company forEnergy and ElectrificationShort corporate nameLocationGrounds for recognizing the company assubsidiary or dependent company of theIssuerOAO Tyumenenergo628412, Surgut, Tyumen Region, Khanty-Mansijsk Autonomous District -Yugra, ul.Universitetskaya, d. 4.The company is recognized as subsidiary sincethe Issuer is in a position to define thedecisions adopted by such company due to apredominant stake in its authorized capital.Stake held by the Issuer in the authorizedcapital of the subsidiary and/or dependentcompany.Percentage of ordinary shares in thesubsidiary and/or dependent company ownedby the Issuer.100 %100 %30