On March 1, 2010 a regular meeting of the management team was held by ALROSA President (CEO) Fyodor Andreev. The agenda included matters related to sales, ALROSA’s current financial status, implementation of the plan aimed at reducing procurement-related costs, operations of the Company’s subsidiaries.
Over the first two months of 2010 ALROSA has sold over USD 667 m worth of rough and polished diamonds. The Company has registered stable demand for rough allowing it to sell all of its mining production on the market.
ALROSA Vice-President Yuri Okoyomov briefed the management team on the results of his recent working trip to India at the head of the ALROSA delegation. In 2009 forty-seven Indian companies bought some USD 550 m worth of rough diamonds from ALROSA, which amounted to more than half of all export sales of the ALROSA Group. India’s Gem and Jewellery Export Promotion Council (GJEPC) had expressed its willingness to develop direct, stable and predictable relations between Indian diamond manufacturers and ALROSA. Recently already seven Indian companies have entered into long-term supply contracts with ALROSA.
ALROSA President Fyodor Andreev underlined that ALROSA’s intention was to develop long-term relationships with the largest of the market players on a win-win basis both at the times of market downturns and during market revivals.
Over the recent months the Company held discussions with its creditors in order to negotiate lower interest rates on its financial obligations. Consequently ALROSA has received savings of RUB 2 b from lower interest rates that have been granted to it.
On March 22, 2010 a general meeting of OJSC Severalmaz shareholders is scheduled to take place in Arkhangelsk. The agenda includes appointment of a new Severalmaz management team.