More than 30 ships and auxiliary vessels, fighter, assault and anti-submarine planes took part in the active phase of the tactical exercises of the Baltic and Northern Fleets.
Mr Putin and Mr Kwasniewski watched the closing stages of the naval battle in which all types of fire were used.
The Russian and Polish Presidents thanked the crew of the cruiser for their efficient actions during the exercises.
The President thanked the Baltic Fleet veterans who were on board the Marshal Ustinov for their long and impeccable service.
The exercises were watched by military observers from Britain, Germany, Lithuania, the Netherlands, Poland, the United States and Sweden, as well as members of the foreign diplomatic corps accredited in Kaliningrad.