Volga--Dnepr Airlines Us$ 150,000,000 Medium Term Syndicated Structured Finance Facility

London, 29 August, 2008 - VTB Bank Europe plc, part of the Investment Business of VTB Group, is pleased to confirm the recent signing of a US$ 150,000,000 Medium Term Syndicated Structured Finance Facility for LLC Volga-Dnepr Airlines. Bank WestLB Vostok (ZAO) and VTB Bank (Deutschland) AG joined the facility as Mandated Lead Arrangers.

The margin of the facility is 3.50% p.a. and the maturity of the facility is 4 years with an average life of 2.5 years. The facility proceeds are to be used for the refinancing of existing financial indebtedness of Volga- Dnepr Group and general corporate purposes. The facility is secured.

The following banks participated in the transaction:
VTB Bank Europe plc: Initial Mandated Lead Arranger and Bookrunner
Bank WestLB Vostok (ZAO): Mandated Lead Arranger
VTB Bank (Deutschland) AG: Mandated Lead Arranger
Banque Société Générale Vostok: Lead Arranger
Anglo-Romanian Bank Limited: Arranger
HSBC Bank plc: Arranger
ZAO UniCredit Bank: Arranger

Volga-Dnepr Group (the “Group”), established in 1990, is the largest Russian cargo airline. It operates chartered air transportation using AN-124-100 “Ruslan” and IL-76 aircraft all over the world and scheduled air cargo transportation between Europe and Asia via Russia using Boeing-747 F aircraft. Volga-Dnepr Group is the world’s largest transporter of oversize and heavyweight air cargo. The company operates 10 An-124-100 Ruslan, 2 modernized IL76TD-90VD and 11 IL76-TD aircraft. Group sales were US$1.002 bln in 2007 which was 50% than in the previous year.