Severstal identified corporate governance excellence as a crucial element in helping the company position itself as a new breed of Russian business that is able to engage with stakeholders globally. We demonstrate our commitment to the highest standards of corporate governance by implementing the world’s best practices of corporate relations in our dealings with shareholders and with respect to transparency and quality of disclosure and reporting.
Severstal’s corporate governance system underwent major changes in preparation for the company’s London listing at the end of 2006. Looking forward, Severstal is determined to continue to develop and evolve in its corporate governance practices, thus continuing the process it began in 2006.
We have continued to build on the corporate governance initiatives instigated in 2006 in Severstal’s everyday operations. Our corporate governance evolution is strengthened by the processes and controlled procedures that we have put in place:
These are as follows:
The following initiatives further complement the above processes:
Since the formation of its corporate governance standards, Severstal continues to follow the requirements of:
Severstal’s Corporate Governance Code has been prepared following the recommendations of the earlier Code of Best Practice set out in section 1 of the Financial Reporting Council’s Code on Corporate Governance, and is based on the following main principles:
Along with the Corporate Governance Code and Charter of the company, the activities of Severstal’s management and supervisory bodies, as well as insider activities, are also governed by a set of internal corporate documents, such as:
The full set of the company’s documents is available online at www.severstal.com. All the principles and rules presented in the company’s documents are largely compliant with the UK Combined Code of Corporate Governance, 2012. Severstal has a ‘standard listing’ for its depository receipts on the London Stock Exchange.
Moreover, Severstal complies with the Russian corporate governance law requirements and meets the corporate governance mandatory requirements of MICEX for Russian listed ‘B’ companies, such as: composition of the Board of Directors, formation of Board Committees, evaluation of the auditor’s opinion, set of internal documents etc.
Severstal is a member of the Russian Institute of Directors, the leading expert and resource centre for corporate governance, established by the largest Russian issuer companies to develop, incorporate and monitor standards of corporate governance in Russia.
1 Audit Committee members: Martin Angle (Chairman), Ronald Freeman, Peter Kraljic
2 Remuneration and Nomination Committe members: Rolf Stomberg (Chairman), Christopher Clark, Alexey Mordashov
Overall calendar of General Meetings of Shareholders, Board and its committees are shown below:
|Remuneration and Nomination|