Management Committee approves draft program for improvement of Gazprom’s officials’ representatives in Gazprom-equity companies
Message to the Media
Gazprom’s Management Committee largely approved today a Draft program for the improvement of Gazprom’s officials’ representations in managing bodies of Gazprom-equity companies.
This issue will be submitted for the Gazprom’s Board of Directors’ reviewal.
The Program covers the following:
- identifying criteria and procedures for the evaluation of Gazprom’s representatives’ activities in managing bodies of the companies with Gazprom’s assets;
- finalizing a string of measures aimed at improving legal environment of Gazprom’s officials’ representations;
- making Gazprom’s representatives more informed of corporate governance issues.
The Program fixes deadlines for the finalization of said measures.
The Program pursues the objective of enhancing the quality of Gazprom’s representatives’ activities in leaderships of Gazprom-equity businesses. The Management Committee members underscored that achieving said target is a prerequisite for creating an effective corporate governance system.
Background
127 companies with Gazprom’s interest (out of a total of 189 businesses) are currently being operated by managing bodies (boards of directors or supervisory boards). Gazprom’s officials were elected to administartive boards of all the companies where Gazprom owns substantial shareholdings: 161 Gazprom’s representatives are holding 326 positions in managing bodies of 88 businesses.
In 2004, a wider scope of Gazprom’s officials were promoted to leaderships of Gazprom-equity companies. The work done in this direction was aimed to bring into line corporate shares in charter capitals of the businesses with Gazprom’s interest and the quantity of the Company’s representatives’ positions in managing bodies of said businesses.
Over 2003–2004, Gazprom’s officials submitted 522 issues (or 29.2% of their overall amount) for the consideration of executive boards of Gazprom-equity companies. In 2004, Gazprom’s representatives took part in 90 general annual shareholders’ meetings. Most companies with Gazprom’s interest adopted intra-corporate documents and developed provisions regulating interaction between parent companies and subsidiaries.
Information Directorate, OAO Gazprom