RAO “UES OF RUSSIA” ANNUAL REPORT 2006

2 0 0 6 ANNUAL REPORT OF RAO “UES OF RUSSIA”
Corporate
Governance
System
The framework for the governance system of
OAO RAO “UES of Russia” and the Holding
Company entities comprised of Russian laws,
the Company’s Charter and Corporate Governance
Code.
The supreme management body of
RAO “UES of Russia” is the General Shareholders
Meeting. Shareholders delegate the
powers to manage the Company between
shareholder meetings to the Board of Directors.
The Company is operated by the Management
Board, the collective executive body of the
Company appointed by the Board of Directors.
Relationships within the Company are
based on hierarchical subordination; the
activities of the Company officers and divisions
are regulated in detail by its internal Standards
and Regulations approved by the Management
Board of OAO RAO “UES of Russia”
and its Chairman. Standards have been developed
to regulate the key managerial functions,
including property management,
corporate governance at the subsidiaries and
dependent companies, budgeting and business
planning, investment activities, determination
of the key performance indicators,
HR management, and internal audit.
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