Minutes of 02.10.2006 №24

MINUTES No. 24

OF THE BOARD OF DIRECTORS MEETING



Date and time of vote counting:                                                 October 2, 2006, 6.00 p.m.

                                                                                             (Moscow time)

Form of vote:                                                                           by questioning

Site of vote counting:                                                               Moscow, Vernadskogo prospect, 8a 

Number of elected members of the Board of Directors:                  11

Members of the Board of Directors, participants of the meeting:      V. B. Khristenko

                                                                                              B. I. Ayuev

                                                                                              V. A. Zubakin

                                                                                              D. V. Ponomarev

                                                                                              A. N. Rappoport

                                                                                              V. Yu. Sinyugin

                                                                                              Ya. M. Urinson

                                                                                              R. Z. Khamitov

                                                                                              David Khern

                                                                                              A. B. Chubais

                                                                                              Per-Christian Endsjo


In compliance with Federal Law on Joint-Stock Companies and the company's Articles of Association the quorum for conducting the Board of Directors' meeting is present.

 

AGENDA OF THE BOARD OF DIRECTORS MEETING:

 

1. A report on the results of activities for the first half of 2006 delivered by the chairman of the company's Management Board.


2. Approval of the report on implementation of the company's business plan for the first half of 2006.


3. Updating the company's Investment Programme for 2006.


4. On composition of the Investment Committee attached to the company's Board of Directors.


5. Electing secretary of the company's Board of Directors.


6. Amendments to the Provision on material incentives for top managers of the company and to the list of job positions which are to be included in the category of top-managers of the company.


7. Nomination of candidates by the company for their election to the management and control bodies of those entities in which the company participates.


8. On determination of the company's (company's representatives) opinion regarding the issues in agendas of the Board of Directors' meetings and General Meetings of subsidiaries' and affiliates' shareholders.

 

RESULTS OF VOTING ON AGENDA:

 

Matter 1: A report on the results of activities for the first half of 2006 delivered by the chairman of the company's Management Board.

Decision:

Take into consideration the report on the results of activities for the first half of 2006 delivered by the Chairman of the company's Management Board (Appendix 1).


Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 


Matter 2: Approval of the report on implementation of the company's business plan for the first half of 2006.

 

Decision:

Approve the report on implementation of the company's business plan for the first half of 2006 (Appendix 2).

 

Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 

 

Matter 3: Updating the company's Investment Programme for 2006.


Decision:

Approve the updated Investment Programme of JSC HydroOGK and its subsidiaries and affiliates (SA) for 2006 (Appendix 3);

 

Voting results:

"For" - 10 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 1 (D. Khern)

Decision made.

 

 

Matter 4: On composition of the Investment Committee attached to the company's Board of Directors.

 

Decision:

Elect Dmitry Valeryevich Ponomarev, Chairman of the Management Board of Non-profit Partnership Trading System Administrator, Member of the Board of Directors of JSC HydroOGK as member of the Strategy Committee attached to the Board of Directors of the company.

 

Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 

 

Matter 5: Electing secretary of the company's Board of Directors.

 

Decision:

Elect Mikhail Mikhailovich Davidov, Head of the Corporate Events Administration attached to the Corporate Management Department of JSC HydroOGK as secretary of the Board of Directors of the company.


Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 

 


Matter 6: Amendments to the Provision on material incentives for top managers of the company and to the list of job positions which are to be included in the category of top-managers of the company.


Decision:

1. Amend the Provision on material incentives for top managers of JSC HydroOGK approved by a decision of the Board of Directors of JSC HydroOGK (minutes No. 10 dated 10.10.2005) (hereinafter referred to as the Provision) as follows:

1.1. In clause 7.2 of the Provision the words "not later than 45 days" shall be supplemented with the words (105 days to pay remuneration for the fourth quarter).

1.2. Supplement Section 7 with clause 7.7 with the following content: "Regional premium rate and mark-up percentage to wages and compensation for work in the Far North regions and similar territories (including a salary attached to the position, lump sump, quarterly and annual bonuses) provided for by the Federal law of the Russian Federation "On state guarantees and compensation for persons working and living in the Far North regions and similar territories" are paid only in case a Top manager works and lives in the mentioned regions and territories".

2. To supplement the List of job positions included in the category of JSC HydroOGK top-managers which has been approved by decision of JSC HydroOGK's Board of Directors (minutes No. 10 dated10.10.2005) as follows:

Category 1:

- Deputy Chairman of the Management Board, JSC HydroOGK.

- Chief Accountant, JSC HydroOGK.

 

Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 

 

Matter 7: Nomination of candidates by the company for their election to the management and control bodies of those entities in which the company participates.


Decision:

1. Nominate the following candidates of the company's representatives for election to the Board of Directors of JSC Boguchanskaya HPP:


Full name of candidate

Job position

Valery Ivanovich Korobov

Head of the Capital Construction Directorate of JSC RAO UES of Russia

Aleksandr Grigoryevich Matveev

Deputy Head of the Legal Department of JSC MC HydroOGK

Oleg Vasilyevich Melnikov

Head of the Department of co-operation with strategic partners

JSC MC HydroOGK

Stanislav Sergeevich Monchinsky

General Director, CJSC Boguchanskaya HPP

Denis Anatolyevich Motlitch

Deputy Head of the Department of co-operation with strategic partners

JSC MC HydroOGK

Yuliya Vsevolodovna Smirnova

Head of the Corporate Management Department of JSC HydroOGK

Evgeny Vladimirovich Tsyba

Head of the Investment Planning Department of JSC MC HydroOGK


2. Nominate the following candidates of the company's representatives for election to the Board of Directors of JSC KabbalkHPP:


Full name of candidate

Job position

Aleksandr Ivanovich Vislovich

Head of the Directorate for protection of corporate and property interests and distressed assets of JSC MC HydroOGK



Tatyana Aleksandrovna Gromova

Head of the JSC-HPP Restructuring Project Implementation Centre attached to the Reform Management Centre of JSC RAO UES of Russia

Valery Ivanovich Kulya

Adviser, Fund Institute of Professional Directors

Dmitry Anatolyevich Tuzov

Adviser, Fund Institute of Professional Directors

Khvicha Pataevich Kharchilava

Adviser, Fund Institute of Professional Directors


Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 

 

Matter 8: On determination of the company's (company's representatives) opinion regarding the issues in agendas of the Board of Directors' meetings and General Meetings of subsidiaries' and affiliates' shareholders.


Decision:

8.1. Instruct the company's representatives in the Board of Directors JSC Saratovskaya HPP to vote FOR the following decision:

Approve participation of JSC Saratovskaya HPP in Open Joint-Stock Company South Yakutia Hydro Generating Complex (hereinafter referred to as the company) under the following essential terms:

8.1.1. Company's authorised capital is 10,000,000 (ten million) rubles;

8.1.2. Share of JSC Saratovskaya HPP in the authorised capital of the company is 100 per cent;

8.1.3. Category, type of company's shares placed at establishment is ordinary registered shares:

- Nominal value of 1 share - 1 (one) ruble;

- Number of the shares being offered - 10,000,000 (ten million) items.

8.1.4. The method of payment of the authorised capital - monetary assets.

8.1.5. The order of payment of the authorised capital - shares are paid within a year from the moment of state registration of the company. At least 50 per cent of the company's shares shall be paid within three months from the moment of state registration of the company.


Voting results:

"For" - 10 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 1 (David Khern)

"Abstained" - 0

Decision made.


8.2. Instruct the company's representatives in the Board of Directors of JSC Boguchanskaya HPP to vote FOR inclusion of the following matter into the agenda of the annual General Shareholders' Meeting of JSC Boguchanskaya HPP:

- On early termination of powers and election of members of the company's Board of Directors.

 

Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 

8.3. Instruct the company's representatives in the Board of Directors of JSC KabbalkHPP to vote FOR inclusion of the following matter into the agenda of the General Shareholders' Meeting of JSC KabbalkHPP:

- On early termination of powers and election of members of the company's Board of Directors.

 

Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)


"Against" - 0

"Abstained" - 0

Decision made.

 

8.4. Instruct the company's representatives in the Board of Directors of JSC Sulakenergo concerning the agenda matter On approval of agenda of the company's Extraordinary General Shareholders' Meeting to vote FOR the following agenda:

Approval of an interested party transaction connected with conclusion of a loan agreement between JSC HydroOGK and JSC Sulakenergo.


Voting results:

"For" - 10 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 1 (David Khern)

Decision made.


8.5.1. Instruct the company's representatives in the Board of Directors of JSC Saratovskaya HPP (acting as the general shareholders' meeting of JSC Malaya Mezenskaya TPP) to vote FOR the following amendments and supplements to the resolution of the general shareholders' meeting of JSC Malaya Mezenskaya TPP on issue of securities:

- Increase the authorised capital of JSC Malaya Mezenskaya TPP by way of offering additional ordinary registered shares to the amount of 843,710,000 (eight hundred and forty-three million, seven hundred and ten thousand) shares with a nominal value of one ruble per each share for the total amount of 843,710,000 (eight hundred and forty three million seven hundred and ten thousand) rubles;

- Method of placement - private subscription, a group of individuals among which additional shares are assumed to be placed - JSC RAO UES of Russia, JSC HydroOGK.

8.5.2. Instruct the company's representatives in the Board of Directors of JSC Saratovskaya HPP to vote FOR a decision to reduce a participation share of JSC Saratovskaya HPP in the authorised capital of JSC Malaya Mezenskaya TPP connected with acquisition by JSC HydroOGK of additional shares owned by JSC Malaya Mezenskaya TPP.


Voting results:

"For" - 10 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 1 (David Khern)

Decision made.


8.6. Take into consideration the report on implementation of the key performance indicators (KPI) in JSC HydroOGC Holding (and in all subsidiaries and affiliates of JSC HydroOGC) for the first quarter of 2006 pursuant to Appendix 4 to the present decision.

8.6.1. To authorise representatives of the company in the Board of Directors of JSC Volzhskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Volzhskaya HPP for the first quarter 2006 pursuant to Appendix 5 to the present decision.

8.6.2. To authorise representatives of the company in the Board of Directors of JSC Zhigulevskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Zhigulevskaya HPP for the first quarter 2006 pursuant to Appendix 6 to the present decision.

8.6.3. To authorise representatives of the company in the Board of Directors of JSC Votkinskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Votkinskaya HPP for the first quarter 2006 pursuant to Appendix 7 to the present decision.

8.6.4. To authorise representatives of the company in the Board of Directors of JSC Cascade of Verkhnevolzhskiye HPPs, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Cascade of Verkhnevolzhskiye HPPs for the first quarter 2006 pursuant to Appendix 8 to the present decision.

8.6.5. To authorise representatives of the company in the Board of Directors of JSC Kamskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Kamskaya HPP for the first quarter 2006 pursuant to Appendix 9 to the present decision.

8.6.6. To authorise representatives of the company in the Board of Directors of JSC Saratovskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Saratovskaya HPP for the first quarter 2006 pursuant to Appendix 10 to the present decision.

8.6.7. To authorise representatives of the company in the Board of Directors of JSC Nizhegorodskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Nizhegorodskaya HPP for the first quarter 2006 pursuant to Appendix 11 to the present decision.

8.6.8. To authorise representatives of the company in the Board of Directors of JSC Sulakenergo to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Sulakenergo for the first quarter 2006 pursuant to Appendix 12 to the present decision.

8.6.9. To authorise representatives of the company in the Board of Directors of JSC Boguchanskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Boguchanskaya HPP for the first quarter 2006 pursuant to Appendix 13 to the present decision.

8.6.10. To authorise representatives of the company in the Board of Directors of JSC Zelenchukskiye HPPs, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Zelenchukskiye HPPs for the first quarter 2006 pursuant to Appendix 14 to the present decision.

8.6.11. To authorise representatives of the company in the Board of Directors of JSC Zaramagskiye HPPs, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Zaramagskiye HPPs for the first quarter 2006 pursuant to Appendix 15 to the present decision.

8.6.12. To authorise representatives of the company in the Board of Directors of JSC Zeyskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Zeyskaya HPP for the first quarter 2006 pursuant to Appendix 16 to the present decision.

8.6.13. To authorise representatives of the company in the Board of Directors of JSC Neporozhniy SShHPP to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Neporozhniy SShHPP for the first quarter 2006 pursuant to Appendix 17 to the present decision.

8.6.14. To authorise representatives of the company in the Board of Directors of JSC Bureyskaya HPP, to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC Bureyskaya HPP for the first quarter 2006 pursuant to Appendix 18 to the present decision.

8.6.15. To authorise representatives of the company in the Board of Directors of JSC KabbalkHPP to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC KabbalkHPP for the first quarter 2006 pursuant to Appendix 19 to the present decision.

8.6.16. To authorise representatives of the company in the Board of Directors of JSC MC HydroOGK to vote FOR the following decision:

- to approve the report on accomplishment of the key performance indicators (KPI) in JSC HydroOGK for the first quarter 2006 pursuant to Appendix 20 to the present decision.

 

Voting results:

"For" - 11 (B. I. Ayuev, V. A. Zubakin, D. V. Ponomarev, A. N. Rappoport, V. Yu. Sinyugin, Ya. M. Urinson, R. Z. Khamitov, D. Khern, V. B. Khristenko, A. B. Chubais, P. Endsjo)

"Against" - 0

"Abstained" - 0

Decision made.

 

 

Questionnaires of the members of the Board of Directors are attached.




Chairman of the Board of Directors                                                               V. B. Khristenko


Secretary of the Board of Directors                                                               V. S. Pushkarev

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