Message from the Management to the Shareholders
the Board of Directors
We have formulated and approved the Strategy for Development of the Company and its subsidiaries in Information Technology, Automation and Telecommunications until 2016.
The previous year became a period of structural transformations for MRSK Holding (at present, Russian Grids) in relation to joining electricity transmission and distribution grids and building a single center of responsibility to the shareholders.
Pursuant to the presidential Decree we continue systematical work on the creation of the world’s largest electric grid company in terms of the number of customers, the length of power lines, and the volume of electricity distribution. The Company is determined to keep informing its shareholders of its future steps in this direction.
One of the primary concerns of the Board of Directors is to ensure that the Company’s strategy meets the future needs of the energy sector. Our priority in this area is the modernization of assets with the aim of building a grid infrastructure, as efficient as possible and conforming to world standards, with electricity distribution tariffs that will make electricity expenses acceptable to the Russian economy and enable the Company to be attractive to investors.
The Board of Directors made significant decisions in 2012 to ensure the operation of the electric grid sector, including developing the Consolidated Investment Program for 2012–2017 and formulating and approving the Strategy for Development of the Company and its subsidiaries in Information Technology, Automation and Telecommunications until 2016. The measures carried out as part of the Strategy in 2012 improved the reliability of the electric grid sector, substantially reduced the time required to remedy emergency situations, and enhance procurement management efficiency.
The Company’s Board of Directors is currently well balanced, including in terms of the number of independent directors.
The Company did systematic work to achieve better financial and economic performance, become more attractive to investors, and raise the transparency of its activities. Considerable attention was given to innovative development, energy efficiency, and service reliability and quality. In addition, the Company was quite successful in increasing the affordability of using the electric grid infrastructure.
In its relationship with the shareholders, the Company continued to strive for adhering to the fundamental principles of corporate governance: accountability, transparency, and responsibility.
I would like to gratefully thank the shareholders, members of the Board of Directors, and management of the Company for their teamwork and cooperation evidenced by our notable achievements and operating efficiency and for their practical and systematic approach to the development of the electric grid infrastructure to the benefit of our customers.
I am confident that the Company in 2013 will ensure a continued increase in its shareholder value without impairing the growth rate of its operating performance and will make a remarkable contribution to the development of the Russian electric grid sector.
Chairman of the Board of Directors Georgy Boos