Expense structure

Expenses 2011 2010 2009
  RUR thous. % RUR thous. % RUR thous. %
Total expenses 50 063 731 100 44 842 725 100 36 623 611 100
Purchased energy for loss compensation 8 253 118 16,5 10 764 312 24,0 8 237 656 22,5
Payments to FSK UES 13 296 286 26,6 10 938 484 24,4 8 374 947 22,9
Payments to other distributive companies 14 192 640 28,3 10 512 174 23,4 9 204 054 25,1
Wages and other social benefits 6 245 414 12,5 5 221 321 11,6 4 144 530 11,3
Depreciation and amortization 2 640 348 5,3 2 341 957 5,2 2 070 197 5,7
Taxes and dues 115 433 0,2 112 375 0,3 124 026 0,3
Other expenses 5 320 492 10,6 4952 102 11,1 4 468 201 12,2
For information: Repair expenses 1 296 671 2,6 1 228 574 2,7 787 392 2,1

Expense on loss compensation totaled RUR 8 253.1 mln. (16.5% of overall expenses). In absolute terms the decrease amounted to RUR 2 511.2 mln. and was due to loss decrease as a result of energy efficiency program.

Payments to FSK UES totaled RUR 13 296.3 mln. (26.6% of overall expenses). In absolute terms the increase totaled RUR 2 357.8 mln. and was caused by the growth of FSK tariff.

Payments to other distributive companies amounted to RUR 14 192.6 mln. (28.3% of overall expenses). In comparison to 2010 the increase totaled RUR 3 680.5 mln. and was due to the appearance of new local grids as well as the growth of energy transmission tariffs.

Wages and other social benefits in 2011 totaled RUR 6 245.4 mln. (12.5% of overall expenses, +19.6% on 2010). The growth was due to various reasons, including staff increase (maintenance and repairs, operations dealing with connection) and filling technical vacancies.

Depreciation and amortization increased by RUR 298.2 mln. on 2010 due to the growth of fixed assets value as a result of our investment program.