Alexander Nichiporuk has given his resignation as President of ALROSA. This decision was taken by Mr. Nichiporuk upon fulfillment of the tasks assigned to him by the Company’s shareholders. Above all, this is the Company’s efficient performance in order to carry out the RF President’s commission of 8 April, 2001 on protection of the state property in the diamond sector, including the buy-out оf a material stake from minority shareholders. Consequently, by the end of 2006 an amicable settlement agreement between the RF and Republic of Sakha (Yakutia) was signed marking the final settlement between the parties, the mechanism for the compensation of the resulting shortfall in income for the Republic of Sakha (Yakutia) has been agreed. The Company’s financial situation has significantly improved. For the first time in its history the core sales have exceeded USD 3 billion dollars, in 2005 and 2006 the record net profits were posted, dividend payments have been increased. Under A. Nichiporuk’s leadership basic development guidelines for ALROSA for the period until 2015 have been elaborated and put for approval before the Supervisory Board. Principal technological solutions have been found and a program of large-scale transition to underground mining in Sakha (Yakutia) has been launched, allowing ALROSA to stabilize, and in the future – to increase diamond production. Prospecting and exploration efforts in all the areas of ALROSA’s presence have been stepped up, specific results on new diamond deposits in Sakha (Yakutia) have been attained. Independent distribution policy aimed at ensuring increased efficiency of sales has been developed and is being implemented. ALROSA’s international contacts have been expanded and its positions in the Republic of Angola consolidated, with new production and exploration capabilities created there and new contracts opening new prospects in the oil and gas sector signed.

Source: the official web-site of the company.