Aeroflot’s Fiscal performance in the 9 months of 2010 (according to Russian Accounting Standards)

Profit and loss statement

In the 9 months of 2010 the JSC Aeroflot Russian Airlines proceeds reached 82.7 billion rubles, which is 15.8 billion rubles (23.6%) more than in the respective period of 2009.

The increase in the proceeds has been triggered by the recapturing of demand that led to the increase in sales.

In the 9 months of 2010 the proceeds growth rate (+23.6%) has been lower than the passenger turnover growth rate (+31.3%) that is accounted for by the slower growth in the tariffs.

The production costs of goods, products, work and services in the 9 months of 2010 were 65.66 billion rubles, the increase being 12.17 billion rubles (+22.8%). The growth rate is smaller than the proceeds growth rate. The rise in production costs has been caused by the increase in the scope of work and the cost of jet kerosene (17.9% in ruble equivalent) compared to the respective period of 2009.

The growth margin has reached 17.1 billion rubles, with the pretax profit of 14.8 billion rubles (+39.8%), the net profit of 11.8 billion rubles, which is 4.2 billion rubles more (+55.3%) than in the respective period of 2009. The main causes of the increase were a rise in the scope of work as well as 54.3 million Swiss franks received in the third quarter of 2010 on the basis of the ruling of the Federal Judge of Switzerland as of 07.07.2010 within the framework of the criminal case of misappropriation of JSC Aeroflot Russian Airlines money resources.

Balance sheet

In the 9 months of 2010 the total assets of JSC Aeroflot Russian Airlines increased and reached 77.51 billion rubles, which is 29.13 billion rubles (+60.2%) more than at the beginning of 2010.

The increment in assets was made possible due to the increase in short-term financial investments connected to granting short-term loans as well as to allocation of financial resources in demand deposit accounts.

The company's debt load reached 12.33 billion rubles compared to the early 2010 which was caused by issuing two bonded loans totaling 12 billion rubles for a period of 3 years.