Revolt forces UES to suspend asset sales
|Illarionov: UES's share price collapse
is a national disgrace that has lost
the state $3 billion
Anatoly Chubais, the CEO of Russian utilities monopoly United Energy Systems (UES), bowed to pressure from an odd alliance of minority shareholders and the Kremlin by calling a moratorium on UES asset sales at the end of last month.
Chubais has had to face down a rising tide of criticism as UES share prices took a beating over the past six months. While the leading RTS Russian stock market index has risen by more than 80% since the start of the year, UES has fallen by 60%, wiping some $6 billion off its market capitalization.
Presidential economics adviser Andrei Illarionov lambasted Chubais on the Monday of the last week in September, which kicked off a three-day investment conference in Moscow. "In any other country this result would lead immediately to the resignation of the management," he said.