The Management Board is the collegiate executive body of the Company, acting on the basis of the Charter and the Statement on the Management Board^* approved by decision of the annual general shareholders meeting of Kubanenergo. The competencies of this executive body include, in particular, the following questions:

• taking decisions on questions related to the competencies of higher management bodies of businesses of which 100% of the equity capital or all voting shares belong to the Company;
• preparing and presenting reports on the financial and operating activities of businesses of which 100% of the equity capital or all voting shares belong to the Company for consideration by the Board of Directors;
• developing and presenting long term plans for realising the main areas of activity of the Company for consideration by the Board of Directors;
• preparing the business plan and reports on the results of its execution, as well as approving and correcting cash flow;
• preparing reports on the financial and operating activities of the Company and the execution by the Management Board of decisions of the general shareholders meeting and the Board of Directors of the Company;
• setting the social benefits and guarantees for employees of the Company;
• taking decisions on completing transactions where the subject of the transaction is property, work or services whose cost totals from 1% to 25% of the balance sheet assets of the Company.

1. *

   The Statement on the Management Board at Kubanenergo can be found at www.kubanenergo.ru — in About the company/Constituent and in house documents