Sberbank Rossii PAO : and Russian Communal Systems enter into Strategic Cooperation Agreement

May 30 2016, Moscow - Sberbank and Russian Communal Systems (RCS) have entered into a Strategic Cooperation Agreement. The document was signed by Herman Gref, CEO and Chairman of the Executive Board of Sberbank and Pavel Kurzayev, CEO of Russian Communal Systems Group.

The agreement envisages a comprehensive expansion of cooperation between Sberbank and RCS, including the bank's participation in financing RCS public-private partnership (PPP) projects, and development of customised financial solutions, technology, and service conditions that take into account the specifics of RCS Group's activities and projects. In addition to this, the Agreement involves joint participation in work groups and other expert bodies that will develop laws and regulations governing the mechanisms of PPPs in the housing and utilities sector.

'The development of the Russian housing and utilities sector and the quality of services it provides is an important factor in Russia's socio-economic development. For Sberbank, which always pays particular attention to social projects, this agreement is a well-timed move in the current economic conditions, when it is essential to join forces to achieve the best possible result. We are certain that the agreement will facilitate the implementation of significant housing and utilities sector projects,' commented Herman Gref.

'The agreement takes cooperation between Sberbank and Russian Communal Systems to a new level. We hope that the relationship between our companies will continue to strengthen. The combination of our experience and resources will contribute to the growth of both parties' business, as well as to the development of the field of Russian water supply and removal in general. Today RCS is working in earnest on optimising its structure, increasing labour productivity and consumers satisfaction. Having a strategic partner such as Sberbank will of course help us make our work even more effective,' commented Pavel Kurzayev.

About RCS

Founded in 2003, Russian Communal Systems (RCS) is a major private operator of water supply and removal systems in Russia. The company services more than 4 million clients across seven of the county's regions - the Perm, Amur, Kirov, Samara, Tambov, Ulyanovsk Regions and the Republic of Karelia. The headquarters of the company are located in Moscow. RCS has invested RUB 16.5 bln in housing and utilities sector facilities. RCS employs around 12,500 people. The main shareholder is Renova Group.

www.roscomsys.ru

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Sberbank is Russia's largest bank and a leading global financial institution. Sberbank holds almost one third of aggregate Russian banking sector assets, it is the key lender to the national economy and the biggest deposit taker in Russia. The Central Bank of the Russian Federation is the founder and principal shareholder of Sberbank owning 50% of the Bank's authorized capital plus one voting share, with the remaining 50% held by domestic and international investors. Sberbank has more than 135 million individual customers and more than 1 million corporate clients in 22 countries. Sberbank has the largest distribution network in Russia with almost 17,000 branches, and its international operations include UK, US, CIS, Central and Eastern Europe, Turkey and other countries.

The Bank holds the general banking license No.1481 issued by the Bank of Russia. Official websites of the Bank: www.sberbank.com (Sberbank Group website), www.sberbank.ru.