London, 22 September 2014 -- Moody's Investors Service ("Moody's") has today downgraded Coal Company KuzbassRazrezUgol, OJSC's (KRU) corporate family rating (CFR) to B3 from B2, reflecting Moody's expectation of deterioration in Moody's-adjusted leverage metrics in particular owing to prolonged softness in steam coal prices in the export market and falling demand in the more profitable domestic market. The Probability of Default Rating (PDR) is affirmed at B3-PD. The outlook has been changed to negative from stable.

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