OREANDA-NEWS. On July 12, 2007 the General Shareholders Meeting of OAO LSR Group has elected the following members to the Board of Directors, reported the press-centre of OAO LSR Group:

1. Igor Levit, Chief Executive Officer, OAO LSR Group

2. Mikhail Romanov, Managing Director, OAO LSR Group

3. Dmitry Goncharov, Managing Director, LSR Europe GmbH (LSR Group company)

4. Lauri Ratia, Independent Director; Senior Advisor, CRH plc (publicly traded company specializing in construction materials headquartered in Dublin, Ireland)

5. Sergey Skatershchikov, Independent Director; Board Member of OAO OMZ, OAO Kirovsky Zavod, Independence Group and a number of other companies.

The first meeting of the Board of Directors held on July 9, 2007 elected Dmitry Goncharov as Chairman of the Board and set up the Audit Committee as well as the Compensation and Remuneration Committee, both chaired by independent Board directors.

"The appointment of independent directors and the formation of Board committees is another step in the Company's efforts to introduce best practices of corporate governance and enhance transparency", said Igor Levit, CEO and Board Member of OAO LSR Group.

For reference:
OAO LSR Group is a vertically integrated diversified holding company, a leader of the Russian construction industry. Its core business areas are building materials manufacturing, construction and real estate development. The Group includes enterprises for aggregate extraction and processing, building materials manufacturing and transportation, and housing construction — from mass market large-panel housing to elite residential property built after designs made by leading domestic and foreign architects. LSR Group comprises a total of 21 business units consolidated into six business segments.

LSR Group has enterprises and offices in St. Petersburg, Moscow, a number of cities in Leningrad Oblast, in Lithuania, Latvia, Estonia and the Ukraine. The total number of its employees is approx. 14,000 people. According to the audited consolidated IFRS results of OAO LSR Group, its earnings in 2006 amounted to 21.1 billion rubles, a 61% increase over 2005, pre-tax income in 2006 reached 1,76 billion rubles, and net profit stood at 1.1 billion rubles.