NDC BoD Approves Tariffs for New Services and Sets General Meeting Date

The National Depository Center (NDC), Russia's only settlement depository servicing the full range of debt and equity securities of Russian issuers, announced that a meeting of its Board of Directors was held on Tuesday, April 7.

The Directors approved tariffs for NDC’s new foreign currency settlements service provided using DVP (Delivery Versus Payment) through NDC’s account at Euroclear Bank. The tariff will be RUR750 per operation.

NDC’s Board of Directors also approved the procedure for calculating NDC’s fee for services to issuers of bonds denominated in foreign currencies. The value of each bond issue will be recalculated in rubles in accordance with the Bank of Russia’s rate as of the date of receipt of the securities.

Nikolai Egorov, Director, NDC, said: “In 2008 the number of Eurobonds in NDC accounts opened at Euroclear Bank rose four fold, and the number of REPO deals with this instrument rose even more. Currently NDC, jointly with MICEX Settlement Chamber CJSC and Euroclear Bank, is implementing a sought-after program allowing NDC depositors to conduct DVP foreign currency settlements. NDC will be able to provide its customers the full range of settlement and depository services. This can be considered a MICEX Group service expansion into a new market segment – the foreign issuers’ market with foreign currency settlements.”

NDC’s Board of Directors approved the scheduling of general meetings of the Partnership members for 28 April, 2009, and approved the draft agenda.

The Directors also considered a number of issues related to the managing bodies and the Audit Commission of the “The National Depository Center” (Closed Joint Stock Company) which is to be NDC’s successor. The Board decided:

-          to present a list of nominees to the Board of Directors and Audit Commission of the National “The National Depository Center” (Closed Joint Stock Company) to the general meeting of NDC

-          to recommend Nikolai Egorov as a candidate for the post of General Director (a sole executive body) of the “The National Depository Center” (Closed Joint Stock Company) to the general meeting of NDC

The Board of Directors of NDC also:

·        recommended that NDC’s general meeting approve amendments to the Regulation on NDC’s Audit Commission and to extend the powers of members of NDC’s Audit Commission elected by AGM on 25 April, 2008, to the date of state registration of the National Depository Center CJSC

·        extended the term of powers of the members of NDC’s Budget Committee, Technical Committee, Committee for Depository Services and Risk Management Committee elected on 25 April, 2008, to the date of state registration of “The National Depository Center” (Closed Joint Stock Company)

NDC’s Board of Directors also considered NDC’s operating results for 2008 and:

• approved and recommended that the general meeting approve the Report on the Partnership’s Operations for 2008 by the Director of NDC, NDC’s Audit Commission’s report on the Partnership’s Operating Activities for 2008 and NDC’s financial statement for 2008
• took into consideration an audit report of NDC’s accounting statement by Deloitte & Touche CIS CJSC for 2008;
• took into consideration and recommended that the general meeting approve NDC’s profit and loss report and investment report for 2008.

The Board of Directors also considered other issues related to reorganization of the Partnership into “The National Depository Center” (Closed Joint Stock Company)

About NDC:

Not-for-Profit Partnership “The National Depository Center” is the largest settlement depository in Russia, servicing the full range of debt and equity securities of Russian issuers. NDC provides storage of global certificates and depository accounting for 99% of corporate bond issues, sub-federal and municipal bond issues. It services 100% of transactions conducted in the federal bond and the Bank of Russia bond markets, more than 99% of transactions conducted in the corporate and regional bond markets, and more than 99% of stock exchange transactions with equities and OTC trades. The international rating agency Thomas Murray has assigned NDC an АА- rating as a central depository. NDC is Russia's national numbering agency, and the substituting numbering agency for the CIS, authorized to assign the international ISIN and CFI codes.

Among NDC’s founders are MICEX and Bank of Russia (the founders’ shares in the property of NDC are 46.67% and 39.35% respectively, and in the votes 50.16% and 42.3% respectively). Members include GPB OJSC (Gazprombank), Evrofinans Mosnarbank, Rosbank, VTB Bank (Vneshtorgbank), Bank of Moscow, Rossiysky Credit Bank, Vnesheconombank, ING Bank Eurasia, JP Morgan Bank International LLC, UniCredit, Deutsche Bank, and Sberbank. The Partnership also has stakes in Depository Clearing Company CJSC (37.29%), in Settlement Depository Company CJSC (28.54%) and in Bank "National Clearing Centre" CJSC (0.27%).