21st Apr 2011 18:15
SISTEMA'S BOARD APPROVES NEW ORGANISATIONAL AND MANAGEMENT STRUCTURE
Moscow, Russia - April 21, 2011 - Sistema (the "Company") (LSE: SSA), the largest diversified public financial corporation in Russia and the CIS, today announced that during a meeting held on April 16, 2011, its Board of Directors (the "Board") approved a new organisational and management structure. The approved changes to Sistema's organisational and management structure are in line with the Company's new development strategy, which was approved by the Board in October 2010. The new strategy provides for the transition of the Group from an operational holding company to an investment company.
The new organisational structure reflects evolutionary changes to Sistema's strategic and operational priorities. The main objective of these changes is to further improve Sistema's ability to identify and evaluate new investment opportunities and complete any resulting transactions. Most companies within Sistema's portfolio are expected to assume more managerial independence over operational issues by the end of 2011, with Sistema focusing on investment management issues. The four current business units - Telecommunications, Technology & Industry, Consumer, and Oil & Energy - have been combined into two business units based on the level of maturity of the various assets under management: "Base Assets" and "Developing Assets". The "Base Assets" business unit comprises Sistema's telecommunications and oil & energy subsidiaries. The "Developing Assets" business unit is responsible for the management of Sistema's technology, industrial and consumer interests. During the course of this reorganisation, the Company's headcount has been reduced by more than half.
The changes to Sistema's organisational structure leave room for the further development and transformation of Sistema, so that it fully complies with and efficiently meets its objectives as an investment company.
The Board has also approved the following members of the Executive Board of Sistema:
Mikhail Shamolin, President and CEO; Anton Abugov, First Vice President, head of Strategy and Development Functional Division; Ruslan Almakaev, Vice President, head of Administrative Functional Division; Alexey Buyanov, Senior Vice President, head of Finance and Investment Functional Division; Anna Goldin, Vice President, head of Legal Functional Division; Sergei Drozdov, Senior Vice President, head of Corporate Management Functional Division; Felix Evtushenkov, First Vice President, head of "Base Assets" Business Unit.Appointment of additional members of the Executive Board may be announced in due course.
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For further information, please visit www.sistema.com or contact:
| Investor Relations | Public Relations | ||||
| Evgeniy Chuikov | Vsevolod Sementsov | ||||
| Tel.: +7 (495) 692 1100 | Tel: +7 (495) 730 1705 | ||||
Sistema is the largest diversified public financial corporation in Russia and the CIS, which invests in and is a major shareholder of companies serving over 100 million customers in the sectors of telecommunications, high technology, oil and energy, radars and aerospace, banking, retail, mass-media, tourism and healthcare services. Founded in 1993, the company reported revenues of US$ 7.3 billion for the third quarter of 2010, and total assets of US$ 42.0 billion as at September 30, 2010. Sistema's global depository receipts are listed under the symbol "SSA" on the London Stock Exchange. Sistema's ordinary shares are listed under the symbol "AFKS" on the RTS Stock Exchange, under the symbol "AFKC" on the MICEX Stock Exchange, and under the symbol "SIST" on the Moscow Stock Exchange (MSE).
Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Sistema. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might" the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. In addition, there is no assurance that the new contracts entered into by our subsidiaries referenced above will be completed on the terms contained therein or at all. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to Sistema and its operations.
This document does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any shares or other securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies, nor shall any part of it nor the fact of its distribution form part of or be relied on in connection with any contract or investment decision relating thereto, nor does it constitute a recommendation regarding the shares or securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies.
Copyright Business Wire 2011
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