30/12/2011 06:05:52

ACRON : Sberbank of Russia and Acron Group Sing a Master Agreement on Opening a USD 100 Million Limit

December 29, 2011

Sberbank of Russia and Acron Group Sing a Master Agreement on Opening a USD 100 Million Limit

Sberbank of Russia and Acron Group represented by Acron and NWPC have executed a Master Agreement setting a total limit of USD 100 million for trade financing operations which will cover loan agreements, non-revolving credit facility agreements and uncovered letters of credit with a term of up to 96 months (8 years).    

The loan funds will be spent to finance purchase of imported equipment, including from a Russian supplier (a subsidiary or distributor of a foreign producer).  

Andrey Ivanov, Head of Trade Financing and Financial Institutions at Sberbank:

"This transaction is a telling example of the changes being underway in Sberbank. For the first time ever, the bank has provided a complex highly structured product, which includes nearly all available trade and export financing instruments. We are glad that Acron Group, Sberbank's long-standing partner, is our partner in this transaction. We are convinced that the transaction will help further promote cooperation between Sberbank and Acron Group."

Oscar Valters, Acron Senior Vice President:

"Acron Group has been a regular customer of Sberbank for over a decade. We highly value our business relations with the bank and would like thank its employees for high professionalism. We also appreciate Sberbank's participation in challenging investment projects. The financial support provided to Acron Group will help its further growth and technological equipment upgrade as part of a large-scale investment programme envisaging the construction of new facilities."

For Further Information:

Acron

Ms. Elena Kochubey -                                                    Tel:   +7 (495) 777 08 65

Head of Public Relations

Mr. Ilya Popov -                                                              Tel:  + 7 (495) 411 55 94 (ext. 5252)

Head of Investor Relations

Notes to editors

Acron is a leading Russian and global mineral fertiliser producer with

a diversified product portfolio consisting of multi-nutrient fertilisers such as NPK and bulk blends, and straight nitrogen-based products such as urea, ammonium nitrate and UAN.

In 2010, the Group's output (exclusive of own use) totaled 5.8 million tonnes. The Group's key markets are Russia, China and other Asian countries, Europe, Latin America, and FSU countries.

Acron

employs over 13,000 people In 2010 the Group's consolidated revenues under IFRS were RUB

46,738

million (US$

1,538

million), and net income was RUB

6,279

million (US$

207

million). Acron's ordinary shares are listed and traded on the MICEX, RTS and LSE stock exchanges under the symbol "AKRN".

A

cron has three production facilities - Acron (Veliky Novgorod, Russia), Dorogobuzh (Smolensk Region, Russia) and Hongri Acron (Shandong Province, China). Acron's logistics and transportation capabilities include its own fleet of railway cars and three sea port trans-shipment facilities on the Baltic Sea - at the Kaliningrad port of Russia, at the Estonian Sillamäe port and at the Estonian Muuga port. The Group operates distribution networks in Russia and China.

Acron plans to enhance its vertical integration and secure supplies of phosphate and potash inputs through the development of its own mineral resource base. The

Group

owns licences to develop two apatite-nepheline ore deposits in the Murmansk region and a potassium-magnesium salts deposit in the Perm region (both located in Russia).


This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients.

The owner of this announcement warrants that:

(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the

information contained therein.

Source: ACRON via Thomson Reuters ONE

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