OREANDA-NEWS. September 23, 2008. OAO Raspadskaya (RTS and MICEX: RASP), one of Russia’s leading coking coal producers, has announced today its financial results for 1h2008.

The Unaudited Interim Condensed Consolidated Financial Statements and Management’s Discussion and Analysis of OAO Raspadskaya for the six months ended 30 June 2008 are released today.
The Company’s highlights for 1h2008 are as follows:

• The Company is one of the Russian leaders in coking coal production having produced 5.1 million tonnes of raw coal and 4.0 million tonnes of coal concentrate in 1h2008;

• The Company has strengthened its market positions through deliveries in the frames of long-term contracts and through the increase its client base in Russia and Ukraine;

• The Company demonstrates a high level of financial indicators: EBITDA of USD 434m in 1h2008 and the corresponding EBITDA margin of 72% - one of the best in global coal and mining industries;

• The Company continues to realize its investment program and development of high-efficiency production of high-quality and high-margin products with USD 151m of capital expenditure in 1h2008;

 Reliance on internal sources of finance - net cash flow from operating activities 199% higher in 1h2008 (USD 351m) than in 1h2007 (USD 117m) and net debt down from USD 265m at 30 June 2007 to USD 171m at 30 June 2008.

On 18th September 2008, the Company’s Board of Directors decided to recommend to the Company’s shareholders to approve distribution of interim dividends in the amount of RUB4,684,798,854 (USD 184m at the exchange rate at 18 September 2008), which represents RUB6.00 (USD 0.24 at the exchange rate at 18 September 2008) of dividends per share.

Chairman of the Company’s Board of Directors, Alexander Vagin, commented:
"The high level of the recommended dividend payment is based upon the consideration of our shareholders’ interests at the present situation in financial markets having in mind financial sustaining the Company’s investment program".