26 October 2011 // Press Center PJSC "AZOVSTAL IRON & STEEL WORKS"
Metinvest, vertically integrated mining and metallurgical group of companies, summarized consolidated efforts of the enterprises related to the social investments. Investments in the implementation of social, sponsored, charity and corporate programs in the presence regions in the first half of 2011 were almost 400 million UAH. In particular, investments of "AZOVSTAL IRON & STEEL WORKS", part of Metinvest Group, under agreement on social and economic cooperation between enterprise and Mariupol city council in the first half of 2011 were more than 5.3 million UAH.
In the first half of 2011, Ukrainian enterprises of Metinvest also paid 5.3 billion UAH in taxes and fees including single social contribution – 919.7 million UAH. All payments have been effected duly and in full as well as correspond to the principles of transparent and responsible business. Metinvest Group conducts its activities in full conformity with applicable law as exemplary taxpayer.
Total costs for personnel at all Group enterprises in the first half of 2011 exceeded 3.6 billion UAH and grew compared to a year earlier more than by 45% owing to the expansion in the number of enterprises (Ilyich Iron & Steel Works and Komsomolsk Mine Group are added) and overall salary increase in the company, which in relation to 2010 by Ukrainian Group enterprises, was 15% and more than by one third outruns growth salary rate in Ukraine (11%).
Increase of level and quality of people life in the enterprise presence region is an important component of social strategy. Investments in the implementation of regional development are one of the most effective mechanisms for social investments. 19.5 million UAH was directed for this purpose in the first half of 2011. Investments in the city infrastructure in the first half of 2011 were 2.7 million UAH. Planned social investment in the city development is 47 199.57 UAH for full 2011.
Igor Syry, CEO of METINVEST HOLDING LLC, noted while commenting indicators of the first half of 2011 that we treated corporate social responsibility programs of Metinvest as life improvement tool for every Ukrainian. Increase in the social investments was an important indicator of positive changes in the environment of the cities and regions, where Group companies were present, growth in prosperity and social protection. Long-term development strategy of our company was designed to provide worthy job, salary and confidence in the future, comfortable present and future of the cities and regions.
Investments of "AZOVSTAL IRON & STEEL WORKS" in the first half of 2011 in the implementation of social and economic development of Mariupol were 5.3 million UAH. In particular, the Works invested 800 thousand UAH for repair of central motorway of the city. Important part of tram line of the city was reconstructed with the active support of the enterprise. For these purposes the Works provided rails and tie plates for the overall amount of more than 3.5 million UAH.
Collaboration of "AZOVSTAL IRON & STEEL WORKS" and city hospital No. 4 is in process. In this year, the Works appropriated 1.4 million UAH for hospital material support. The Works renders financial support to Mariupol schools No. 40 and No. 14 in the amount of 475 thousand UAH for new academic year within the framework of educational project "School-University-Enterprise". "AZOVSTAL IRON & STEEL WORKS" also took share participation in the implementation of the city mini-projects having invested 180 thousand UAH for installation of eight children playgrounds. The sixth in succession football ground of Sports Club "Azovets" was reconstructed for the total amount of 550 thousand UAH as part of Metinvest corporate social programs "Development of Children's and Youth Football".
Director General of "AZOVSTAL IRON & STEEL WORKS", Enver Tskitishvili noted that the Works actively participated in the implementation of target city social programs aimed at development of urban infrastructure, support of health and education areas, care of the younger Mariupol generation. Open and constructive dialogue helps to direct resources towards settlement of the most significant issues in the presence regions.
- For editors:
PJSC "AZOVSTAL IRON & STEEL WORKS" is a modern high-technology enterprise manufacturing wide range of steel products: slabs, bars, shapes, railroad rails, rail fasteners, square billets, plates and products of metallurgical slag.
Production capacities of "AZOVSTAL IRON & STEEL WORKS" allow to produce annually over 5.5 mln. t of iron, over 6.2 mln. t of steel (aim is to achieve 7 mln.t of steel per year) and over 4.4 mln. t of rolled products. Design capacities for rail fasteners production is 285 thou t per year, grinding balls 170 thou t per year.
Metinvest is an international vertically integrated steel and mining group of companies, managing every link of the value chain, from mining and processing iron ore and coal to making and selling semi-finished and finished steel products. The Group comprises steel and mining production facilities located in Ukraine, Europe and the USA and has a sales network covering all key global markets. Metinvest Group is structured into three operating divisions: Coke and Coal Division, Iron ore Division, Steel and Rolled Products Division and has a strategic vision to become the leading vertically integrated steel producer in Europe, delivering sustainable growth and profitability resilient to business cycles and providing investors with returns at above the industry benchmarks.
The major shareholders of the Company METINVEST B.V. (a holding company of Metinvest Group) are SCM Group (71.25% ownership) and Smart-Holding (23.75% ownership) partnering in Company’s management.
METINVEST HOLDING, LLC is the managing company of Metinvest Group.