4 October 2002 – Key assets in Russia’s national power company RAO UES will not be sold off as part of some wholesale liquidation, CEO Anatoly Chubais reassured Investors in New York Thursday.

Speaking via satellite from Moscow, Chubais said that the company was most likely to hold onto a high proportion of its core assets. “My personal understanding is that we will never sell 90 or even 95 percent of the core assets of the company,” said Chubais.

Concern had grown among investors that the sell off of periphery parts of the vast RAO UES empire could extend to the valuable power generation assets but Chubais agreed to establish a list of untouchable holdings. “I would support the idea of trying to make the list of these assets or at least a list of the types of assets which could not be sold, ever,” he said.

The company, which is the world’s largest electric utility, put a moratorium on asset sales late last month until shareholders and management could agree on how to value the company’s core assets. The moratorium has no set time limit.

Chubais said he would bring the question up for discussion at an Oct. 4 meeting between a newly formed company commission that consists of himself and an independent director/member of the UES board.

“Regardless of the final answer to that question we have no plans for immediate asset sales even in the case if we will achieve any kind of support from our minority shareholders for evaluating of assets and profits distribution,” he said.