Nizhnekamskneftekhim OJSC Held Annual General Meeting of Shareholders

On April 14, 2014 the Annual General Meeting of Nizhnekamskneftekhim OJSC shareholders summed up the company’s performance for 2013. The President of the Republic of Tatarstan Rustam Minnikhanov attended the meeting.

Oleg Nesterov, the General Director of Nizhnekamskneftekhim OJSC, reported on financial and economic performance of the company. On the back of unstable market environment, in order to achieve its objectives, the company was forced to compensate for the overall decline in prices by increasing the production volumes and sales of rubber and plastics, which has resulted in sales revenue of RUB 119.8 bln. Total output compared to 2012 reached 103.9 percent in comparable prices. The company produced extra 60 thousand tons of products. The last year showed maximum results in terms of production volumes for such products as ethylene, propylene, polystyrene, butyl rubbers, and SKD-N rubber.

Environmental protection remained among the priority areas of Nizhnekamskneftekhim OJSC in the past year. 88 actions were accomplished in the framework of a long-term environmental program in 2013. The company carried out all its obligations in the framework of resettlement of the residents of Alan and Martysh villages.

The company continuously works on reduction of energy consumption at particular production facilities and the industrial complex in whole. It has developed Energy Performance Certificate of Industrial Fuel and Energy Consumer, which is valid through 2016, and took steps to enter the wholesale market of electric energy and power. Since 2012, the company has been using an automated information system for electric energy fiscal measurement.

Sustainable performance of the company allowed for efficient social policy. Average salary made up RUB 34.5 thousand. All the activities set forth by the Collective Employment Agreement were fully financed and all social payments were carried out.

RUB 7.4 bln. of taxes and charges were allocated to the consolidated budget of the Republic of Tatartstan in 2013, including RUB 786 mln. to the budget of Nizhnekamsk.

Today the company is proceeding to the next stage of the development plan, which is based on the implementation of the strategic program till 2020. The core of the program is realization of a large-scale project on the construction of an olefin complex with a 1 MMTA capacity for ethylene and polyolefins.

Annual Report, and Annual Financial Statements for 2013 including Income Statement were approved at the meeting.

Based on the financial and economic activity of the company for 2013, RUB 1.83 bln. will be allocated for dividends or 1 ruble per ordinary and preference share.

Nizhnekamskneftekhim OJSC’ Board of Directors is formed at the Annual General Meeting of Shareholders as follows:
Sergey V. Alexeev – First Deputy General Director of Svyazinvestneftekhim OJSC;
Vladimir M. Busygin – Deputy General Director TAIF PSC for management and strategic development of Nizhnekamskneftekhim OJSC;
Radik R. Gayzatullin – Minister of Finance of the Republic of Tatarstan;
Ravil Kh. Zaripov – Deputy Prime Minister of the Republic of Tatarstan – Minister of Industry and Trade of the Republic of Tatarstan;
Nail U. Maganov – General Director of Tatneft JSC named after V.D. Shashin;
Zelko Milic – Executive Director of IPCO - TRADING S.A.;
Oleg N. Nesterov – General Director of Nizhnekamskneftekhim OJSC;
Vladimir V. Presnyakov – Deputy General Director for petrochemicals and oil refinery of TAIF PSC;
Alexander L. Rappoport – Managing Partner of Rappoport and Partners lawyer’s office;
Rinat K. Sabirov – Aide to the President of the Republic of Tatarstan (state representative);
Guzeliya M. Safina – Deputy General Director for economics and finance TAIF PSC.

Audit Commission is formed as follows:
Rustam M. Akhmetov – Deputy General Director for economics Nizhnekamskneftekhim OJSC;
Fanis G. Gabdulkhakov – Head of Economic Analysis Department of the Ministry of Finance of the Republic of Tatarstan (state representative);
Dmitriy A. Yevdokimov – Head of TAIF PSC’ Department for management and strategic development of Nizhnekamskneftekhim Group;
Olga V. Ignatovskaya – Chief Accountant TAIF PSC;
Liliya F. Sulteeva – Economist I category of TAIF PSC Financial and Economic Department.

PricewaterhouseCoopers Audit ZAO is authorized by the shareholders as the auditor of the company for 2013.

The shareholders adopted modifications and amendments to the Charter of Nizhnekamskneftekhim OJSC, and Rules and Regulations for the General Shareholders' Meeting of Nizhnekamskneftekhim OJSC in accordance with the changes in the federal legislation and approved a new version of the aforementioned.

Traditionally, the first meeting of a newly formed Board of Directors was held after the completion of Nizhnekamskneftekhim OJSC’ Annual General Meeting of Shareholders. Having supported the proposal of the President of the Republic of Tatarstan R. Minnikhanov, the Board Members re-elected the Chairman of the Board of Directors Vladimir Busygin and confirmed the powers of Oleg Nesterov as the General Director of Nizhnekamskneftekhim OJSC.

Nizhnekamskneftekhim OJSC is a large petrochemical company, a leader in synthetic rubber and plastics production in the Russian Federation. It is a TAIF Group enterprise. The company was established in 1967, its major production facilities are located in Nizhnekamsk, the Republic of Tatarstan.
The product slate includes over 120 types. The company’s products are exported to 50 countries in Europe, America and South-East Asia. The share of export in the overall production output volume is about 50%.

Press Service of Nizhnekamskneftekhim OJSC
Nizhnekamskneftekhim OJSC,
423574, Nizhnekamsk, the Republic of Tatarstan.
Tel.: +7 (8555) 37-78-64
Tel/Fax: +7 (8555) 37-74-92



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