3. PERFORMANCE HIGHLIGHTS

The figures appearing in the 2006 Annual Report of TGC-1 were consolidated for the Company’s three Branches, excluding JSC “Murmansk CHPP”. The figures for the Apatity CHPP, which joined TGC-1 on November 1, 2006, are for the period from that date until December 31, 2006.

TGC-1 went into operation on October 1, 2005, so, in effect, the Company’s 2005 reporting only covered 4th Quarter 2005, and it would not be appropriate to compare its 2006 and 2005 output figures and financials.