SINEK's portfolio companies

SINEK has a portfolio of 24 Republic of Tatarstan companies. A number of these companies are strategically significant to the economy of the Republic. The most significant are Tatneft, Nizhnekamskneftekhim, Kazanorgsintez, etc.

SINEK has equity holdings in a number of the Republic's strategically significant companies, the most significant being Tatneft (6th largest oil company in Russia), NKNK (one of the largest petrochemical companies in Eastern Europe), Tatenergo (100% of Republic's market of electricity and heat), Kazanorgsintez (largest producer of polyethylene in Russia) and Tattelecom (largest telecom company in the Republic, with approx. 5500 employees as of 31 March 2011). As of 31 December 2010 SINEK owns (including both direct and indirect ownership) 33.6 per cent., 25.2 per cent.,100 per cent., 26.6 per cent. and 87.2 per. cent. of their share capital, respectively.

The Republic maintains a degree of control over the portfolio companies through its golden share in relation to each such company which allows it to veto decisions of shareholders in respect of certain major corporate actions such as resolutions relating to the winding-up or reorganization of the company and changes to the Charter or in the company's authorized capital. Certain types of transactions can also be vetoed by the Republic.

The following table sets out certain information relating to SINEK's interests in the portfolio companies.