OREANDA-NEWS. October 2, 2008. At a regular meeting of the Sovcomflot Board of Directors, on 30 September, the Board reviewed the Group’s financial highlights for the six months of 2008, and also certain organisational and procedural issues.

Commenting on Sovcomflot’s and its subsidiaries’ performance in the first half of 2008, the Board Chairman Sergey Naryshkin noted that the record-breaking results were achieved mainly due to a well-balanced chartering policy, allowing the Group to take advantage of the strong market conditions while maintaining the industrial nature of the Group’s operations."

At the moment, profit contracted for future periods exceeds USD 4 billion. “The Group achieved such good financial and operating results aided by the synergies gained from the consolidation of the State-owned assets of Russia’s largest shipping companies, i.e. Sovcomflot and Novoship. The work in this regard remains ongoing”, said Sergey Naryshkin.

Gross revenue (freight and hire receivable) in the first half increased by 27.7 per cent and amounted to USD 807.2 million. Net profit (as compared with the similar period in 2007) grew by 37.6 per cent and reached USD 330.1 million.

The Board set up the Committees of the Board of Directors, approved their structure and members in accordance with the recommendations of the State Property Agency, in line with the further improvement of corporate procedures and subject to the provisions of the Corporate Governance Code as approved by the Board. Following Board approval, the Independent Directors Mrs. Elena Titova, Mr. Charles Ryan and Mr. Andrey Kostin will head the Strategic Planning Committee, the Audit Committee and the HR and Motivation Committee respectively.

The Board of Directors took note of the information presented by Mr. Frank, Sovcomflot CEO, regarding the drafting of the Strategy for the Group’s development in the period ending 2015-2020, and the introduction of a new corporate identity for the Group.