01-09-2008

Uralkali approved the interim financial statements for the first half of 2008

The Board of Directors of JSC Uralkali approved the condensed consolidated interim financial statements for the six months ended 30 June 2008, prepared under IAS 34 "Interim Financial Reporting".

Key highlights:

-Revenues were 28.56 billion rubles

-Net Sales(1) were 23.96 billion rubles

-EBITDA (2) was 18.01 billion rubles

-EBITDA margin (3) was 75%

-Net profit was 13.8 billion rubles

-Potash sales volume was 2.64 million tones


The dynamics of the international potash market have continued to benefit Uralkali and allowed the company to increase production volumes amid growing global demand. During the first half of 2008 potash prices increased significantly, reaching a record price of $1000 per ton of potash (on a CFR basis) in some markets. Uralkali believes that the current industry dynamics set the scene well for potential growth for the company.


Notes:
1. Net Sales represent adjusted sales (sales net of freight, railway tariff and transhipment costs)
2. EBITDA is calculated as profit before income tax plus finance expense, minus finance income and plus depreciation and amortization
3. EBITDA margin is calculated as EBITDA divided by Net Sales


Condensed Consolidated Interim Financial Statements for the six months ended June 30, 2008 are now available on Uralkali website (www.uralkali.com). These financial statements have been reviewed by ZAO
PricewaterhouseCoopers Audit.

- ENDS -


Further enquiries

Uralkali
Anna Batarina +7 (495) 730 23 71
Vladimir Ravinsky +7 (495) 730 23 73

Finsbury
Brian Cattell
Peter Russell +44 (0) 207 251 3801
Sophia Matveeva

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