OJSC Oil Company Rosneft Consolidated Financial Statements

OJSC Oil Company Rosneft
Notes to Consolidated Financial Statements (continued)
26. Fair Value of Financial Instruments and Risk Management (continued)
In December 2008, the Company entered into a 5-year interest rate swap contract with a notional
amount of US$ 500 million. Under the terms of the contract, a floating LIBOR rate may be converted
into a certain fixed rate. The other party will have a call option to terminate the deal commencing in
two years after the contract date. The fair value of the interest swap contract was recorded in the
consolidated balance sheet as of December 31, 2008 as other non-current liabilities in the amount of
US$ 0.8 million. The change in fair value was recorded in the consolidated statement of income and
comprehensive income for 2008 as a component of interest expense in the amount of US$ 0.8 million.
The fair value of the interest rate swap contracts are based on estimated amounts that the Company
would pay or receive upon termination of the contract as of December 31, 2008.
27. Subsequent Events
In January 2009, Rosneft raised a syndicated floating rate loan in the amount of US$ 1.35 billion
which is repayable within 15 months and secured by oil export contracts.
In February 2009, Rosneft secured and agreed principle terms of a long-term floating rate loan from a
foreign bank in the amount of up to US$ 15 billion. The loan is repayable within 20 years and secured
by oil export contracts.
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