1. June 2, 2004 MMC Norilsk Nickel Group Audited Consolidated Annual Financial Statements 31 December 2003

2. 2 2003 IFRS Financial Results Basis of presentation The consolidated annual financial statements have been prepared in compliance with with International Financial Reporting Standards (IFRS) and audited by Deloitte & Touche in accordance with ISA The presentation currency - the United States of America Dollar

3. 3 2003 IFRS Financial Results Consolidated income statement

4. 4 2003 IFRS Financial Results Consolidated balance sheet

5. 5 2003 IFRS Financial Results Cash at the beginning of the year Cash flow from operating activity Cash flow from investing activity Cash flow from financing activity Effects of inflation Net cash at the end of the year* Consolidated cash flow statement (In millions of US dollars) * - Cash is shown net of bank overdraft 205 1 653 (616) (486) 25 781 0 500 1 000 1 500 2 000 788 603 (464) (625) (97) 205 - 2002 data

6. 6 2003 IFRS Financial Results Ni Cu Pd Pt Au Metal prices for joint products US dollars per tonne (Ni) US dollars per ton (Cu); US dollars per ounce (Pt, Pd, Au) 1 January 2001 1 July 2001 1 January 2002 1 July 2002 1 January 2003 1 July 2003 1 January 2004 Source: Bloomberg; LME; LPPM Platinum (Pt)Palladium (Pd)Gold (Au)Copper (Cu)Nickel (Ni)

7. 7 2003 IFRS Financial Results Revenues Sales volume (In millions of US dollars) 13% 4% 23% 54% 6% Platinum 12% Gold1% Copper 19% Nickel 38% Palladium 30% -29% 2001 2002 16% 10% 7% 55% 12% 2003 5 196 3 094 4 382 +68%

8. 8 2003 IFRS Financial Results Sales volumes (In millions of US dollars) Including domestic sales 68131--1136047127- TO BE UPDATED 13317113356 PlatinumGoldCopperNickelPalladium

9. 9 2003 IFRS Financial Results Europe 62% Asia 12% North America 13% Others 0% Russia 13% Europe 72% Asia 8% Russia 10% Others 1% North America 9% Sales by region 2002 2003 Sales volume (In millions of US dollars) 100% = 5 196 100% = 3 094

10. 10 2003 IFRS Financial Results Physical volumes sales Nickel sales (Tons in thousand) Copper sales (Tons in thousand) Norimet & export sales Domestic sales Gold sales (In ths ounces) Norimet & export sales Domestic sales 70 from inventories 966 301 0 300 600 900 1200 1500 20022003

11. 11 2003 IFRS Financial Results Cash operating cost

12. 12 2003 IFRS Financial Results Cash cost per unit Production cost of Nickel (In US dollars per ton) Polar Division Kola Division Production cost of Copper (In US dollars per ton) Polar Division Kola Division Production cost of gold (In US dollars per ounce) Polar Division Kola Division Polar Division ZAO Polyus

13. 13 2003 IFRS Financial Results 252 146 131 0 100 200 300 200120022003 Social Costs Social costs* (In millions of US dollars) Note: (*) Social costs include expenses on maintenance of social sphere facilities and donations -42% -11%

14. 14 2003 IFRS Financial Results Change in working capital (In millions of US dollars) -13% -39%-50% -19% +23% +14% NOTE: 2002 data includes consolidation of last two months results of ZAO Polyus 2003 data includes consolidation of last two quarters results of Stillwater Mining Company and full year results of ZAO Polyus

15. 15 2003 IFRS Financial Results Long-term borrowings Current portion of long-term borrowings Short-term borrowings Debt structure (In millions of US dollars) NOTE: 2002 data includes consolidation of last two months results of ZAO Polyus 2003 data includes consolidation of last two quarters results of Stillwater Mining Company and full year results of ZAO Polyus

16. 16 2003 IFRS Financial Results Capital expenditure in 2003 2002 2003 (In millions of US dollars) NOTE: 2002 data includes consolidation of last two months results of ZAO Polyus 2003 data includes consolidation of last two quarters results of Stillwater Mining Company and full year results of ZAO Polyus