OREANDA-NEWS. VolgaTelecom held a meeting of the Board of Directors and the agenda was devoted to issues related to the preparation and conduct of the annual general shareholders meeting. Earlier the BoD set June 2, 2007 as the date for the AGM in Nizhny Novgorod.

The board pre-approved the Company’s 2006 annual financial statement and recommended that the AGM approve the annual financial statement, annual accounting reports, including the P&L statement. Statements were approved by the Company’s Audit Committee based on the results of the 2006 annual accounting report.

The BoD adopted a resolution for the AGM to allocate the Company’s profit based on the results of the 2006 fiscal year, as follows:

1. To pay out dividends amounting to Rub 633,401,556.68, including:
- Rub 2,9928 on preferred shares;

- Rub 1,5776 on preferred shares; 

To pay dividends in cash on preferred shares from July 15, 2007 until November 1, 2007 and on common shares from July 15, 2007 until November 1, 2007.

2. To raise the Company’s shareholder capital to Rub 1,820,186,159.05 . 

In addition, the board approved the agenda of the AGM as follows:

1. Approval of the 2006 annual financial statement, annual accounting reports, including the P&L statement (profit and loss accounts) of the Company, as well as profit allocation (including dividend payouts) and the Company’s losses based on 2006 financial results;

2. Making amendments to the Company Charter.

3. Making amendments to the Company’s Statute on the Board of Directors.

4. Making amendments to the Company’s Statute on the Board of Directors.

5. Election of members of the Board of Directors of the Company;

6. Election of members of the Audit Committee of the Company;

7. Approval of the Company’s 2007 Auditor;

8. Determination of the annual remuneration of members of the Board of Directors of the Company.

The Board of Directors recommended Ernst & Young to the annual general shareholders meeting as the Company’s 2007 auditor.