On July 1, 2011, the Executive Committee of the Company met in Mirny, Republic of Sakha (Yakutia) chaired by ALROSA’s President Fyodor Andreev.
The members of the Executive Committee considered adjustment of the OJSC ALROSA consolidated budget for 2011. Based on the results of 2011, the ALROSA Group is planning to sell polished and rough diamonds for USD 4 billion 700 million. The total amount of investments will be increased by more than RUB 6 billion, and will exceed RUB 20 billion 450 million. The expenditures on prospecting will be increased by more than RUB 500 million and will exceed RUB 3 billion 580 million. The amount of investments in construction of underground mines will be increased by more than RUB 425 million and will amount to about RUB 7 billion.
The consolidated debt of the Group will be reduced to USD 2 billion 730 million. In 2010 the consolidated debt of the ALROSA Group was USD 3 billion 130 million.
The members of the Executive Committee considered the current status of the iron-ore project in South Yakutia and the prospects of its implementation in 2011–2012.
The results of purchases of goods, materials and technical resources for the 1Q 2011 being considered, the members of the Executive Committee instructed related services to develop and implement a package of measures aimed at substantial increase of the proportion of public tenders — with publication of notices on the Company’s website, in mass media, and electronic trading platforms.
The members of the Executive Committee considered the issue of optimization of the project management organizational structure in Africa. It is deemed expedient to preserve the ALROSA branch in the Republic of Angola as a structural unit and to create the Department of African Projects Support in the Department for coordination of activities of ALROSA affiliates and subsidiaries.
The members of the Executive Committee approved several normative documents — the Regulations «On Protection of Employees’ Personal Data» and «On Organization of Employees’ Incentives», and made changes to the Regulations «On Remuneration and Rewarding of Participants of Discovery of Deposits and Diamonds Occurrences».