OREANDA-NEWS. September 01, 2008. “ Nizhnekamskneftekhim” INC Board of Directors held its regular session presided by A. Shigabutdinov-General Director of PSC "TAIF", Chairman of Board of Directors of "Nizhnekamskneftekhim" INC, reported the press-centre of Nizhnekamskneftekhim.

Prior to the session, the Board members visited the third PS Production Facility and a PE Facility construction site.

A. Shigabutdinov made a remark that the results, he had witnessed, had surpassed all expectations and would make one confident in the Company's successful future. The right route had been selected and another serious step had been made in the Company's advancement.

The Board reviewed the results of financial and economic activities in first half 2008. Over the reporting period, the Company produced commodities amounting to RUR 36.8bn, which exceeds the level of the last year corresponding period by 33% (RUR 9.2bn growth). Butyl rubber, ethylene, ethylene oxide, isoprene rubber and NdBR, neonol, PP, PS and polyether production units achieved the best results.

The reporting period net profit reached RUR 3.66bn, that exceeds the last year level by more than 50%. In the current half year, "Nizhnekamskneftekhim" INC transferred about RUR 3bn of taxes and dues, of which RUR 1.6bn to the Republican Consolidated Budget, including RUR 203m to the budget of Nizhnekamsk. Over 6 months 2008, the Company twice scaled up the wages to its employees. It averaging RUR 18.8 K in June 2007, constitutes RUR 24.1 K this June (27.8% rise).

V. Busygin-general director of "Nizhnekamskneftekhim" INC, commenting on the first half year results, underlined that the joint travail with PSC "TAIF" had yielded positive outcome, the major commodities production plan had been amply surpassed. The third PS Unit put into operation would make it possible to expand that plastic capacity to 200 Kta.

The Board acknowledged the impressive activity results and took into consideration the information on the financial and economic activity results of "Nizhnekamskneftekhim" INC in first half 2008, including implementation of the Company investments utilization and financing plan.

The Board members approved the 2008-2009 activity plans for the Audit Committee and Personnel & Remuneration Committee, as well as amendments and riders to the Regulations for the Committees of "Nizhnekamskneftekhim" INC Board of Directors.

The Board took into consideration the information on the major indices of the 2007 consolidated financial statements of "Nizhnekamskneftekhim" Group as per IAS, prepared by the international auditor " PricewaterhouseCoopers".