DIRECTORS' REPORT ON PGNiG SA'S OPERATIONS ... - Notowania

Directors’ Report on PGNiG S.A.’s Operations in 2008
Investments Outside PGNiG S.A.’s Related Companies
On June 18th 2008, the Management Board of Zakłady Azotowe w Tarnowie-Mościcach S.A. allotted
to PGNiG S.A. 4,000,001 Series B shares with a par value of PLN 5.00 and the issue price of
PLN 19.50 per share, representing 10.23% of the share capital of Zakłady Azotowe w Tarnowie-
Mościcach S.A. The increase in the share capital of Zakłady Azotowe w Tarnowie-Mościcach S.A.
was registered with the National Court Register on July 22nd 2008. The total value of the investment
was PLN 78m.
As at December 31st 2008, the total nominal value of PGNiG S.A.’s capital exposure outside PGNiG
S.A.’s related companies was PLN 43.8m.
6. Employment
The table below presents the employment as at December 31st 2008, by segments. PGNiG S.A.’s
Head Office provides services to all segments. Accordingly, it is disclosed separately.
Employment by segments (no. of staff)
2008 2007
Head Office 837 604
Exploration and Production 4,223 4,087
Trade and Storage 3,702 3,705
Other activities 37 36
Total 8,799 8,432
From January 1st 2000 to December 31st 2008, PGNiG S.A. carried out the “Programme of
employment restructuring and employee protection measures for PGNiG S.A. branches and
subsidiaries”. Over that period, as a result of various organisational and structural as well as
employment restructuring efforts, the headcount at PGNiG S.A. decreased by 24,356. This figure
concerns the persons employed under contracts for unspecified period and includes the effect of spinoffs
of the Gas Companies and the transfer of 2,181 employees as part of the spin-off of OGP Gaz-
System Sp. z o.o.
On December 11th 2008, the Extraordinary General Shareholders Meeting of PGNiG S.A. adopted the
Programme for Streamlining of Employment and Redundancy Payments to the Employees of the
PGNiG Group for 2009–2011 (phase III). The programme came into force in January 2009. Contrary
to the previous employment restructuring programmes, it is based on a “stand-by” formula. It may be
implemented in extreme circumstances and requires that individual Group members apply procedures
which are uniform across the whole PGNiG Group. The programme may only be implemented when it
is justified by the scale of the planned restructuring measures related to trimming of workforce and/or
closing down of posts.
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