OREANDA-NEWS. On December 17, 2008 Responding to the latest controversial information in the Russian media about the situation concerning the Non-Governmental Pension Fund “Norilsk Nickel” (NPF or the Fund), OJSC "MMC "Norilsk Nickel" (MMC Norilsk Nickel or the Company) stated as follows, reported the press-centre of Norilsk Nickel.

More than 70 000 employees of the MMC "Norilsk Nickel" and its subsidiaries currently participate in various retirement programs of the Fund. Three hundred employees operate 32 offices of the Fund located all over Russia.

Until July 16, 2008 the membership in the Fund’s Council could be changed exclusively by the General Director of the MMC "Norilsk Nickel", as was provided for in the NPF Charter (clause 15). By that date the Council was comprised of three persons: Chairperson Ms.Olga Golodets, who was  at that time Deputy General Director of MMC Norilsk Nickel for Personnel and Social Policy (resigned on July 25, 2008), Mr. Sergey Gryaznykh and Mr. Dmitry Ivanov.

On July 16, 2008, at the session of the Fund Council where only one member, Ms. Golodets, was present, a decision was made to amend the Charter. According to the new version, membership in the Fund Council could be changed exclusively by the Chairman of the Council. The amended version of the Charter was registered by the Central Federal District Department of the Russian Ministry of Justice on August 25, 2008.

On December 1, 2008 the meeting of the Board of Directors of the MMC Norilsk Nickel took place, where the General Director was instructed to undertake all lawful measures for protecting the rights and interests of the Company in the NPF “Norilsk Nickel”. Pursuant to this decision, the Company filed requests with relevant legal and law-enforcement agencies.

After that, on December 4, 2008, the Fund Council, represented by Ms.Olga Golodets, Mr.Anatoly Kharlamov and Mr.Yury Gorlin, decided to reinstate the previous version of Clause 15 of the Charter. At present, these latest amendments are still not duly registered.

Taking into account high social importance of the Fund to the Company, and striving to protect lawful interests of the Fund participants, the Company established a Commission which will review the Fund’s current standing and its performance in the last five months. The Commission will be chaired by Mr. Kirill Parinov, Deputy General Director of MMC Norilsk Nickel for Corporate, Proprietary and Legal Issues.

Mr. Parinov has proposed to Chairperson of the Fund’s Council Ms. Golodets to arrange a meeting to discuss the situation and organize the transfer of business. In his letter to that effect Mr. Parinov emphasized in particular the importance “of avoiding a loss of control over the Fund as a result of any decision concerning either personnel or finances”.

Ms. Golodets refused to meet, and on December 16, 2008 she sent to the Company the copies of the documents confirming that the Fund management including the members of its Council, President and General Director unilaterally resigned from their offices and decided “to consider the transfer of the Fund business under management of MMC Norilsk Nickel completed on December 16, 2008 at 13.00”.

However, the Company is to note that no documents related to the transfer of the Fund business were signed by the parties.

To ensure compliance with the Russian legislation and to fulfill obligations to the Fund participants, the Company presently performs operating control over NPF “Norilsk Nickel”’s activities and analyses the current situation in the Fund and the results of the management actions over the last several months.