News

26.01.2007

On January an extraordinary meeting of Aviadvigatel’s shareholders was held

On January 22 - 23, 2007 an extraordinary meeting of Aviadvigatel's shareholders was held. The main issue of the meeting agenda was the transfer of the powers of the sole executive board of Aviadvigatel for one-year to Perm Motors Group Management Company.

The meeting was convened by the Board of Directors because the three-year validity period of the previous decision and Agreement for giving powers of the sole executive board to Perm Motors Group Management Company was expired.

Based on the Government Directive regarding the voting of a representative, who represents the interests of the State at Aviadvigatel's shareholders meeting, the meeting made a decision to transfer the powers of the sole executive board for one year to Perm Motors Group Management Company.

Considering the situation at the companies of Perm Motors Group as a whole, it is worth nothing the following: the previous decisions on the transfer of the powers of the sole executive board of Aviadvigatel and 16 more companies and enterprises of Perm Motors Group for three years to one Management Company were assumed as the background for establishing an integrated entity named as "Perm Center of Engine Building" Open Stock Company with the Russian Government participation. But the initial plans regarding the establishment of the integrated entity have been changed. At present, as mass media were informed, the development of two or three integral establishments in aviation engine building industry are being studied. For these establishments the territory principle is not critical and defining. Under such circumstances, the key shareholders of the companies of Perm Motors Group's companies, taking into account the positions regarding Aviadvigatel and approved by the State, considered as necessary to maintain the centralized management of the companies of Perm Motors Group and make a corporate decision on prolonging the transfer of the powers of the sole executive board of the companies to Perm Motors Group Management Company. This testifies that, in general, the management of Perm Motors Group Management Company is evaluated by the key shareholders and by the Russian Federation Government as positive.