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Alfa-Bank is proud to present its Social Report 2007. Social responsibility in business has ceased to be merely a popular

catchphrase. Leading Russian companies are becoming increasingly aware that it is impossible to do business in isolation.

A company’s competitiveness in the local market and the prosperity of the regions where it operates depends largely on the

level of social responsibility that company has adopted. For us, however, social engagement is primarily an opportunity to

contribute to the social well-being and prosperity of our country. We are continuously expanding the range of our charitable

projects and initiatives and we believe that this trend will continue in future.

The Social Report of Alfa-Bank describes key aspects of the Bank’s charitable activities at both national and regional level.

In 2007, the Bank continued its active support of national theatre, art, literature and music. All the initiatives sponsored

by the Bank enjoyed wide publicity and have become important events on Russia’s cultural calendar. Special emphasis has

always been given to projects that focus on socially vulnerable groups – children, the disabled, veterans. We cooperate

widely with charitable foundations and organisations like the Life Line programme, which provides assistance to critically ill

children. The Bank also prioritises the support of projects aimed at environmental protection.

To Alfa-Bank corporate social responsibility also implies concern for our own employees and a drive to create optimal working

conditions for them, because this is a prerequisite for the efficient performance of each employee and consequently for the

overall success of the Bank’s business. We appreciate and respect all our employees and endeavour to consider their wishes

when shaping our human resources policy.

We have reason to be proud of our achievements, both in business and socially-oriented areas and we present them to you in

this Social Report. We are confident that Alfa-Bank has earned the reputation of being a company that fully implements all

the principles of corporate responsibility.

ALFA-BANK / SOCIAL REPORT 2007 / MESSAGE FROM ALFA-BANK MANAGEMENT

Message froM alfa-Bank ManageMent

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rushan khvesyukChairman of the Executive Board, Member of the Board of Directors

Alfa-Bank makes it possible for the Russian public to see the

best Russian and international performers on local stages. Tra-

ditionally the Bank organises a variety of concerts by visiting

international stars and performances by the best orchestras

and theatrical groups. From classical to modern, from ballet to

Irish dance, the Bank strives to offer Russian citizens the best

acts from the world’s theatres and concert halls.

tour of the Barefoot Diva

As in the past, Alfa-Bank sponsored the concerts of Cesaria Evora in Russia.

With the support of Alfa-Bank, the “barefoot diva” gave singing performances

in Irkutsk, Krasnoyarsk and Novosibirsk in 2005 and in 2007 she performed in

Khabarovsk. The show was organised to celebrate the birthday of the Khabarovsk

region. Cesaria Evora, sung in Creole-Portuguese, appeals to every listener.

“During the seven years that our branch has operated, we have provided financial

support to the shows of many wonderful artists performing in our city. However, the

concert by Cesaria Evora, a world-famous and widely popular star, is an exceptional

event.” - Alexander Kucherov, Director of the Khabarovsk Branch.

Moscow virtuosi in Yaroslavl

Alfa-Bank initiated the concert of the Moscow Virtuosi Chamber Orchestra that

took place on 9 April in the Sobinov Concert Hall of the Yaroslavl State Philhar-

monic Society. The orchestra regaled music lovers with a brilliant performance and

also held a masterclass for students of the L.V. Sobinov Yaroslavl School of music.

Another important event that occurred during the orchestra’s tour was a visit

by Alfa-Bank representatives and celebrated musicians to the Musical and Ar-

tistic Children’s Home. Children received musical instruments and other pres-

ents from Alfa-Bank.

legenDarY aerosMith

In July 2007, Alfa-Bank sponsored Aerosmith concerts in Moscow and St. Peters-

burg. During the sold-out shows the band performed their best hits. The two

Russian shows formed part of the group’s European tour. In anticipation of the

Aerosmith concerts, Alfa-Bank offered its clients a unique opportunity to visit

the shows by raffling off 80 tickets in a special event.

alfa-Bank presents…

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Aerosmith is one of the original popular hard rock bands that first hit the head-

lines in the 1970s. Around the world, the group’s shows normally attract thou-

sands of fans. Their unrestrained and unique musical style rooted in blues-based

hard rock has inspired generations of hard rock and heavy metal groups that came

after them in the 1980s and 1990s. The group is known for its ability to compose

ballads as well as hard rock’n’roll compositions.

kings on ice show in kurgan

The Mostovik ice arena in Kurgan hosted the Kings on Ice show on 1 May, 2007.

The show, featuring the renowned figure skater Evgeni Plushchenko and other

ice skating stars, was sponsored by Alfa-Bank. The audience enjoyed the out-

standing performance and also had a chance to listen to a genuine Stradivarius

violin. Edvin Marton, a famous Hungarian composer and violinist, was given

the opportunity to play one of the eight violins of the great craftsman after

winning the world famous Montreal violin competition. Marton has written

music for the Olympic programmes of Russian figure skaters and received an

Emmy Award for these pieces.

rhYthM of the Dance in siBeria

In October 2007, Kemerovo and Novosibirsk audiences had a chance to see the re-

nowned Irish dance show Rhythm of the Dance. Aisling Holly, the choreographer

and lead performer of the show, is one of the ten best dancers in the world. The

Irish show combines dancing, music, theatrical performance, improvisation and

state-of-the-art light and music. All the music used in the show was arranged by

the famous composer Carl Hession.

elton John in Moscow

On 18 September 2007, Elton John delivered his only performance in Moscow at

the State Kremlin Palace. Alfa-Bank’s employees had a chance to book and pur-

chase tickets to the grand show. The Moscow show was a highlight on the city’s

autumn cultural calendar.

For nearly thirty years Elton John has been an eminent show business celeb-

rity. His songs invariably top the charts and his eccentric lifestyle is often

featured in the mass media, but his music remains the main focus of interviews

and articles about him. Elton John has consistently been a record-breaker in

the music business. Over the last three decades he has charted a top 40 single

almost every year and his celebrated “Candle in the Wind” written in 1997, was

an all-time bestseller.

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ALFA-BANK / SOCIAL REPORT 2007 / ALFA-BANK PRESENTS…

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taBakerka in nizhniY novgoroD

For the past seven years Alfa-Bank has been engaged in organising guest per-

formances by Moscow theatre companies in Nizhniy Novgorod. In the autumn of

2007 the Bank presented a traditional tour of the Tabakerka Theatre Company

under the direction of Oleg Tabakov. Local theatre-goers saw five celebrated

plays on the stages of Nizhniy Novgorod’s Comedia Theatre and the Theatre of the

Young Spectator. The events in Nizhniy Novgorod included guest performances

by celebrated actors like Marina Zudina, Boris Plotnikov, Vitaly Yegorov, Dmitry

Nazarov, Raissa Ryazanova, Mikhail Khomyakov and the director of Tabakerka

himself – Oleg Tabakov.

a special new Year’s present froM alfa-Bank:

carlos santana in concert

Alfa-Bank financed the solo concert of Carlos Santana that took place on 21

December at the State Kremlin Palace. The show was a New Year’s present from

the Bank to its clients and partners to celebrate Alfa-Bank’s 17th birthday.

During his first solo appearance in Russia, the celebrated guitarist performed

his best compositions.

Carlos Santana is a famous Latin rock musician and guitarist. His style is a unique

blend of Latin American rhythms and rock music.

russian seasons in YekaterinBurg

In April 2007 the Yekaterinburg Branch of Alfa-Bank presented “Russian Sea-

sons: 21st century”, a joint project of the Kremlin Ballet, the Maris Liepa Char-

ity Fund and SAV Entertainment. The audience enjoyed the ballets Scheherazade

and Tamar starring Russian and internationally-acclaimed ballet dancers like Ilza

Liepa, Nikolai Tsiskaridze, Irma Nioradze and Ilya Kuznetsov.

nikolai tsiskariDze anD the kreMlin Ballet on tour

A cultural highlight for the cities of Barnaul and Irkutsk was a Nikolai Tsiskar-

idze performance organised in September by Alfa-Bank and the Theatre for You

agency. It was the premiere of the performance by the internationally acclaimed

dancer. Titled “From Classics to the Present”, the show included fragments from

the ballets Sleeping Beauty, Don Quixote, Manon, Narcissus and others. The per-

formance also featured lead dancers from the Kremlin Ballet and the Bolshoi The-

atre. The show received great attention from true connoisseurs of ballet.

“Alfa-Bank believes that ballet tours are significant events on the regional level,

especially because classical ballet is one of the things Russia is famous for,” said

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Mikhail Troitskiy, Director of Corporate Business Development in the Irkutsk re-

gion. - “Irkutsk is a city with an extensive cultural background where the audience

truly appreciates Russian ballet; after all, Maurice Petipa used to perform here.”

“unknown rachManinoff” BY Denis Matsuev

In December 2007 Alfa-Bank co-sponsored the premiere of “Unknown Rachmani-

noff” performed by Denis Matsuev with the participation of the Russian National

Orchestra conducted by Dmitry Liss. The concert took place in London, at the

Queen Elizabeth Hall.

The concert featured Sergei Rachmaninoff compositions that have never

been publicly performed before. Musical critics were unanimous in their

opinion that “Unknown Rachmaninoff” was a sensational premiere, both for

the musician and all admirers of classical music. The Independent called the

concert a five-star event.

“Russian art remains a very important focus area in Alfa-Bank’s overall support of

cultural and educational projects. Throughout the 17 years of the Bank’s existence

we have supported numerous outstanding projects aimed at preserving national art

and historical treasures and promoting Russian culture in Great Britain, the USA and

Europe.”- Leonid Ignat, Director of Communications and PR Alfa-Bank.

the national philharMonic orchestra in perM

Alfa-Bank sponsored concerts of the National Philharmonic Orchestra under the

direction of Vladimir Spivakov in Perm. The first part of the concert featured

14-year old pianist Dmitri Maiboroda who has won several international piano

contests. The young pianist and the National Philharmonic Orchestra performed

Mozart’s piano concerto No. 21. In the second part of the performance the audi-

ence enjoyed Tchaikovsky’s Romeo and Juliet Overture-Fantasy and fragments

from Prokofiev’s Romeo and Juliet ballet.

Moscow art theatre in volgograD

Volgograd hosted performances of the Chekhov Moscow Art Theatre under the

direction of Oleg Tabakov from 12-18 May. These performances were financed by

Alfa-Bank. The audience was able to see three plays: Amadeus, Duck Shooting

and The Prima Donnas. This was the first time the theatre performed in Volgo-

grad. At the formal opening of the tour, Galina Khorosheva, Deputy Governor of

the Volgograd region said: “If it was not for the support of Alfa-Bank, theatre lov-

ers in our city would have had to wait very long for a chance to see the wonderful

performances of the Art Theatre.”

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ALFA-BANK / SOCIAL REPORT 2007 / ALFA-BANK PRESENTS…

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The support of Russian art is a high priority for Alfa-Bank. Ev-

ery year the Bank organises exhibitions to show the most in-

teresting examples of both Russian and international painting

and photography. The financing of music festivals in the Rus-

sian regions enjoys importance while the Siberian jazz festivals

have become the Bank’s signature events.

art nouveau Masters

In May 2007, Alfa-Bank organised an exclusive exhibition of artworks by promi-

nent Russian and foreign artists of the 20th century for members of its A-Club

elite association. The canvases were provided by the Cazeau-Beraudiere Paris

gallery, one of the world’s largest exhibitors of impressionist and art nouveau

masterpieces. The works selected for the event included canvases of both Rus-

sian and foreign masters: Paul Gauguin, Claude Monet, Pyotr Konchalovsky, Au-

guste Renoir, Pablo Picasso, Chaim Soutine, Marc Chagall and others. Many of the

highly valuable canvases were brought to Russia for the first time.

“penetration?” art exhiBition in Barvikha

In October 2007 Alfa-Bank and PRIMECONCEPT club held a unique Russian

contemporary art exhibition titled “Penetration?” in the Barvikha Luxury Vil-

lage. Exhibits were provided by the famous Gagosian Gallery (owned by Larry

Gagosian). The exhibition was held to commemorate the launch of a third

A-Club in Barvikha. It included more than 50 works of art – masterpieces by

legends of contemporary art - Willem de Kooning, Arshile Gorky, Roy Lichten-

stein, Pablo Picasso, Juan Miro, Mark Rothko and Andy Warhol. The style of the

Gagosian Gallery was copied in the exhibition space. The famous art dealer

prepared the exposition himself while some pictures, including two works

by Damien Hirst, one by Jeff Koons and three by Cecily Brown, were painted

specifically for the exhibition.

Baltic seasons

Alfa-Bank sponsored The Baltic Seasons Festival of Arts held in Kaliningrad for

the second time. The festival is a large-scale cultural project that has been or-

ganised for the past four years by the Russian Federation’s Ministry of Culture

and Mass Communications, the Russian Federal Agency for Culture and Cinema-

tography, the Government of the Kaliningrad region, the Ministry of Culture of

the Kaliningrad region and the Russian State Theatre Agency, which acts as the

principal coordinator of the project.

art has no BorDers

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french photos in volgograD

Volgograd hosted an exhibition of works by the French photographer Pascal Maitre in March 2007. The photo exhi-

bition was a joint project of GEO magazine and Alfa-Bank, who has often acted as GEO’s partner in organising and

holding photo exhibitions.

At the opening press conference Georgy Naumov, Director of the Volgograd branch said: “It is an honour for us to work with a

magazine as well-known as GEO. It is our first joint project in Volgograd and I hope it will become a highlight on the city’s calen-

dar”. The exhibition enjoyed great interest from reporters and photography enthusiasts. As part of the exhibition, Leonid

Kruglov, staff photographer at GEO, presented a masterclass for photo journalists from Volgograd.

henrY Moore exhiBition

An important event on the 2007 Russian cultural calendar was an exhibition of some of the graphic work of the famous

British artist and sculptor Henry Moore in Irkutsk, Tomsk, Novosibirsk, Omsk, Yekaterinburg, Samara, Volgograd, Nizhniy

Novgorod, Sochi, Rostov-on-Don and Yaroslavl. The exhibition featured 80 prints from the Henry Moore Foundation as well

as a selection of his photographs and installations.

Alfa-Bank financed the event and also attracted media sponsors. Georgy Adabir, Director of the Omsk Branch, emphasised

the importance of the event: “Society needs exhibitions like these to broaden perspectives still relatively limited due to the long

domination of social realism in Russian art.”

eurasia 2007 international Jazz festival

In November 2007 the 11th International Evgeny Saulsky “Eurasia 2007” jazz festival took place in Orenburg. It was attended by

leading jazz musicians and bands from the USA, Europe and Russia. The Orenburg Branch of Alfa-Bank has been a long-standing

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ALFA-BANK / SOCIAL REPORT 2007 / ART HAS NO BORDERS

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sponsor of this unique initiative. In 2007, the Branch was distinguished as the most

dynamic organiser of the Festival.

personalities of novosiBirsk

With support from Alfa-Bank the Staryi Gorod Gallery organised a display of new

exhibits in the Prominent People of Novosibirsk Portrait Gallery. The project,

launched in 2003, was initiated by Alexander Shurits and Sergey Mosiyenko,

members of the Russian Union of Artists, and the Novosibirsk region’s Depart-

ment of Culture. The canvases portray scientists, engineers, doctors, actors, po-

ets and public figures that have made significant contributions to the history,

economy and culture of Novosibirsk.

According to Tamara Dmirtiyeva, Senior Vice-President and Director of Corporate

Business Development for the Novosibirsk Branch, the Bank’s participation in

the project enabled this gift to all residents of Novosibirsk: “I am sure that the

portrait gallery will not leave anyone untouched as it once more confirms how rich

in talent this region is.”

Jazz arounD Baikal

May 2007 saw Alfa-Bank actively participating in the organisation of jazz fes-

tivals in Irkutsk and Angarsk. The festival was attended by international jazz

musicians from the United States, Brazil, Japan and Russia and included per-

formances by Benny Golson, Sheila Jordan, Ilya Lushtak and the David Kikoski’s

band from the Hartford Academy of Arts (USA), the Viva Brazil quartet, Hendrik

Meurkens (Brazil), Keiko Morishita (Japan) and David Goloschekin (Russia).

Vladimir Shagin, Director of the Zagursky Music Theatre, thanked Alfa-Bank for

its assistance in organising the festival. He added that such a large-scale event

could not be organised without the support from large businesses.

Mikael tariverDiev organ coMpetition

The fifth M.L. Tariverdiev International Organ Competition was held in Kalin-

ingrad in 2007. Alfa-Bank has supported this high-level competition, which at-

tracts outstanding musicians and promotes young talents, since 2005. This year

saw significantly more participants than before – about 40 performers from Rus-

sia, the USA, Germany, France, Japan, Korea, Greece, Italy, Ukraine, Latvia, Poland

and other countries. Apart from renowned international and European masters,

the professional competition also attracted young musicians.

The competition’s Board of Trustees included Sergey Lavrov, Russian Minister

of Foreign Affairs; Yury Bashmet, a People’s Artist of Russia; Georgy Boos, Gov-

ernor of the Kaliningrad region, Metropolitan Kirill of Smolensk and Kalinin-

grad; Nikita Mikhalkov, a People’s Artist of Russia; Evgeny Primakov, President

of the Russian Chamber of Commerce and Industry; Mikhail Shvydkoi, Head of

the Russian Federal Agency for Culture and Cinematography and Martin Hasel-

boeck, professor of Organ at the Vienna Music University. The jury was headed

by Klemens Schnorr, professor of Organ at the Munich Music Academy and Chief

Organist at the Freiburg Minster.

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Charitable activities are an important aspect of Alfa-Bank’s social commitment. The Bank’s branches in Russia’s regions have for many years provided assistance to the most vulnerable groups in their areas: orphans, disabled children and veterans. The past year was no exception and the number of charity or-ganisations and initiatives, children’s homes and veterans’ fa-cilities sponsored by the Bank, has increased again.

a worlD for chilDren

The Altai Branch of Alfa-Bank actively participated in a fundraising initiative for Orphanage No. 2 and Children’s Sanatorium No. 5 in Barnaul. The fundraiser was organised by the non-profit fund “A World for Children” in anticipation of Children’s Day. Personal contributions made by the Bank’s employees facilitated the purchasing of bicycles for the residents of the orphanages – something they have long dreamed about.

Another important Alfa-Bank initiative is assistance given to the Murmansk Orphanage. It has provided financial support since the creation of the chil-dren’s home.

To celebrate Children’s Day, the Tyumen Branch of Alfa-Bank arranged a present for orphans and children deprived of parental care. Children were invited to a cinema to watch the third of the famous animated Shrek films.

The Khabarovsk Branch purchased a multi-purpose music centre for a boarding school for hearing-impaired children. Specialised programmes that are crucial for the development of the students have been made possible by the equipment. The boarding school also received computers.

For the past six years the Samara Branch of the Bank has been sponsoring Board-ing School No. 117 – a special school for children with congenital hearing and speech problems. As always in the past, the Branch sent clothes, footwear, books and toys to the boarding school.

a winDow on the worlD

For several years the Yaroslavl Branch of the Bank has participated in the “Window

on the World” benefit that was launched by the government of the Yaroslavl re-

gion. The project assists disabled children by teaching them computer skills that

enable them to learn more about the wider world. Computers are purchased with

sponsor funds while teaching and maintenance are provided at the expense of the

regional government. Ninety-nine happy teenagers have already received their

electronic windows on the world out there. This has made it possible for them

to receive additional training and opportunities to communicate. Many of these

children have become winners of regional, national and international competi-

tions and Olympiads. Most of the disabled children who have received computers

charitY

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ALFA-BANK / SOCIAL REPORT 2007 / CHARITY

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are now able to continue their education in higher educational establishments or

vocational training schools.

support to veterans

Alfa-Bank provides ongoing support to the veterans of WWII. Many branches of

the Bank offer financial aid to veterans and give them presents on Victory Day.

2007 was the second year that the Krasnoyarsk Branch of Alfa-Bank transferred

funds for the purchase of medical equipment for the veterans’ hospital.

The Omsk Branch organised a celebratory event for veterans of the Great Patri-

otic War on Victory Day. Veterans were invited to the Mayakovsky cinema house

for the premiere of “Three Days in Odessa”, the film produced by Alexey Pimanov.

In addition, Alfa-Bank gave a gift to every veteran.

The Khabarovsk Branch of the Bank sponsored the “St. George Ribbon” campaign

in Khabarovsk and provided financial assistance to the regional and city Councils

of Veterans. For Victory Day the Far Eastern Branch purchased a copier for the war

veterans’ hospital.

The Samara Branch of the Bank provides corporate assistance to the Veterans’

Council of the city’s Lenin district. For Victory Day in 2007, the Branch purchased

a television set, DVD and karaoke player for the regional association of veterans.

Several days before the holiday, representatives from the branch, along with the

district’s administration, distributed personal gifts and greetings to the most

needy veteran soldiers, officers and widows.

Employees of the Kazan Branch have for several years delivered congratu-

lations on Victory Day to the war veterans of Kazan’s Vakhitovsky district

and veterans of the underground movement who reside in the Republic of Ta-

tarstan. In cooperation with the administration of the Vakhitovsky district,

the Ministry of Education and public organisations of the city, the Branch

organised a festive concert for the veterans. The event concluded with the

handing out of presents to them.

Since the Bank opened its Branch in Rostov in 2000, it has provided assistance to

the veterans of the Chernobyl disaster containment. The funds are normally used

to purchase medicines and satisfy the basic needs of the veterans.

warM north

For several years Alfa-Bank has sponsored the “Warm North” project in Mur-

mansk. This programme is designed to encourage and financially support people

who devote themselves to the cultural development of the region. The project

was founded by the Murmansk Regional Nonprofit Organisation of Veterans of

Culture (MRNOVC) and is sustained with the support of the Murmansk Regional

Administration, the mayor of the city and patrons of the arts. Selected individu-

als, groups of artists and organisations in the Murmansk Region that are active

in the areas of art and culture, receive awards under the project. Every year com-

<<< 00100009 0011

panies and organisations nominate “Warm North” candidates. These include staff of libraries, children’s music and art

schools, historians, ethnographers, directors of drama schools and groups of artists. The Awards committee, which

includes workers of cultural organisations, artists, public figures and patrons of the art as its members, reviews the

nominations and selects the most deserving candidates. The Murmansk Branch of Alfa-Bank has been a member of the

Awards committee since 2006.

charitY Ball in kazan

One of the most remarkable events of 2007, which was proclaimed the “Year of Charities” by the President of Tatarstan, took

place on 1 June in Kazan – the Big Charity Ball. The primary goal of the Ball was to raise funds for charities. Alfa-Bank par-

ticipated in the Ball and also received a certificate for its charitable activities in the Republic of Tatarstan. At the event,

Alfa-Bank contributed to the AK BARS SOZIDANIYE foundation’s “Help the Child” benefit that was established under the

direction of the President of the Republic.

assistance to the ponY cluB

Since 2007 the Rostov Branch of the Bank has been supporting a unique children’s health centre – the Pony Club. On a chari-table basis the club engages in the rehabilitation of disabled children, children with development disabilities and other high-risk children through therapeutic horseback riding.

green kaleiDoscope - 2007

The Sakhalin Branch sponsored “Green Kaleidoscope 2007”, the 10th regional children’s environmental festival that was held in Yuzhno-Sakhalinsk. The programme of the festival included a competition, a concert, a game, excursions to cultural organisations in the city, mini-plays on environmental issues affecting the different districts, a presentation of environ-mental projects, a photo exhibition depicting both the beauty and environmental problems of Sakhalin and educational masterclasses. The Festival was organised by the regional environmental organisation Rodnik. The Festival was supported by Educational Department, The Committee of Natural Resources and Environmental Protection, the Department of Culture and other partner organisations.

tYuMen cup-2007

The Bank supported the first international Tyumen Cup, a professional tennis tournament for men, which took place from 16-22 April. Apart from Russian players, single players and pairs from Italy, Austria, Croatia, Slovakia, Kazakhstan and Ukraine took part in the event.

At the press conference Pavel Vavilov, Director of the Regional Sports and Youth Policy Department, noted that this tourna-ment was the first of its kind in the region. The tournament allowed young players aiming to become professionals to par-ticipate in a high-level tennis competition without having to travel abroad. In addition, they are able to win international ranking points. Andrei Zimin, Director of the tournament, said that the event was organised in compliance with all interna-tional requirements for tournaments of this nature. Organisers hope that the Tyumen Cup will become tradition.

support to Moscow charities

As always, the Bank continues its support of the Moscow charities it has aided over the years. These include the “Russian House of Childhood” charity, Moscow orphanage No. 6, Luberetsky Childhood Non-profit Organisation and Charitable Soci-ety «Maria», that has for more than ten years offered financial support to lower-income facilities of Moscow police officers, including the families of police officers who have died in the line of duty. Alfa-Bank cooperates with the charity’s Board of Trustees, but also provides direct financial assistance to families of police officers and accidently physically handicapped

people of the Moscow Department of Internal Affairs.

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ALFA-BANK / SOCIAL REPORT 2007 / CHARITY

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life linesaves chilDren

Alfa-Bank has supported the Life Line Charity, which provides financial assistance to

critically ill children, for the past three years. The Bank acts as the corporate sponsor of

the programme and also provides opportunities for its employees to make direct individual

donations. As part of its support of the charity, the Bank regularly holds events to raise extra

funds for children in need of help.

The Life Line Charity was founded by Alfa-Bank and launched in June 2004 as an initiative of leading Russian companies

and individuals to focus on the issues surrounding high child mortality rates in Russia. The main aim is to provide critically

ill children with access to the best medical treatment through the provision of financial aid.

Life Line pays for the medical treatment of Russian children who are younger than 15 years old and who suffer from life-

threatening heart, brain or liver diseases. Special efforts are made to pay for technologically advanced surgeries and

special equipment to ensure that every child can receive the best treatment available.

Life Line has no geographical boundaries within Russia and is a national undertaking. All the funds raised by the

programme are spent on surgeries in Moscow, St. Petersburg, Perm, Krasnodar, Tyumen, Samara, Novosibirsk, Tomsk,

Voronezh, Nizhniy Novgorod, Krasnoyarsk, Kaliningrad, Kazan, Murmansk, Khabarovsk, Syiktyivkar, Volgograd,

Yekaterinburg, Rostov and other cities.

For the three years of its existence the Life Line programme has saved the lives of more than 1,300 children across Russia.

To date, the total amount raised for surgeries totals USD 6.5 million. The programme provides funds for prescribed medical

0011 0013<<< 0012

services and medicines necessary for the care of every Life Line patient.

The proper use of charity funds and transparency of the programme are

guaranteed at all times.

In addition to traditional private and corporate contributions, the Life Line

programme also raises funds to save the lives of sick children through the “Give

as You Earn” programme, an initiative designed for private contributions by

corporate employees. Any company may become a corporate participant of Life

Line and give their staff an opportunity to provide financial aid to children

right from their own desktops.

Alfa-Bank was the first corporate participant of the Life Line programme. Since

August 2004, employees of the Bank have managed to raise about 4 million

roubles and save the lives of 55 children.

In addition, Alfa-Bank employees participate actively in various charity events

that aim to support the programme’s patients and the medical institutions

acting as Life Line partners. On numerous occasions the Bank has raised

funds to purchase toys, clothes, audio, video and computer equipment, and

arrange parties for the children. Recently, the Bank purchased computers and

educational software for the bone marrow transplant division of the Russian

Children’s Hospital.

charitY insteaD of gifts

In December 2007 the Auto Finance and Mortgage Lending business units of the Bank celebrated Christmas and New Year with their partners and customers by preparing gifts in cooperation with the Life Line programme. Most of the funds received by Life Line from the sale of promotional gifts were used by the charity to purchase technologically advanced medical instruments for the children who will undergo surgery in 2008.

extenDing a helping hanD

As part of the second National Civil Forum “Russia Forward”, a new initiative of the Life Line programme was presented to the public on 1 June, 2007. Called “Extend a Helping Hand”, the event was dedicated to International Children’s Day and the third anniversary of the creation of the Life Line programme.

All guests could leave their handprints in support of the children on canvases prepared by the famous artists Alexander Vinogradov and Vladimir Dubossarsky. Dmitry Medvedev, the newly elected President of Russia, was among the guests attending the event. The canvases were subsequently sold in a charity auction and all the funds raised were used to pay for surgeries for children with heart disease.

the golDen heart of alfa-Bank

In November 2007 the Bank launched a new corporate project as part of its charitable activities: a monthly charity lottery called “The Golden Heart of Alfa-Bank”. All those making donations under the Life Line programme participate in the lottery and prizes include tickets to events organised jointly by Alfa-Bank and Life Line.

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ALFA-BANK / SOCIAL REPORT 2007 / LIFE LINE SAVES CHILDREN

Alfa-Bank takes care of the world we live in. As a Corporate

Club member of the World Wildlife Fund (WWF), the Bank

has a chance to support initiatives aimed at preserving the

diversity of flora and fauna and the natural habitats of

rare wildlife in Russian territories. Preserving natural re-

sources for our descendants is the objective of cooperation

between Alfa-Bank and the WWF.

worlD wilDlife funD (wwf)

WWF is one of the world’s largest international public charitable organisa-

tions and has been involved in wildlife conservation globally for more than 40

years. WWF implements more than 1,200 environmental initiatives annually

and focuses the attention of millions of people on environmental problems

and their potential resolutions. The WWF mission is to prevent increasing

degradation of the natural environment, achieve a balance between human-

ity and nature and preserve biodiversity on the planet.

wwf corporate cluB

Alfa-Bank is a member of WWF’s Corporate Club, a programme designed for

companies willing to contribute to environmental initiatives. In 2007 the

joint efforts of club members made the creation of three national parks

in the Far East of Russia possible: Call of the Tiger (“Zov Tigra”), Udege

Legend (“Udegeiskaya Legenda”) and Anyuisky. Russia moved to the first

place in Europe and the second place globally in terms of forest area cer-

tified under the FSC (Forest Stewardship Council) system: its aggregate

forest space is more than 17 million hectares. Another important achieve-

ment was the enactment of a ban on trade in black caviar – sturgeon has

a chance to survive now.

visa – alfa-Bank–wwf

The Alfa-Bank–WWF-VISA Card makes it possible for clients, partners and

employees of the Bank to make a contribution to conservation in Russia.

At its own cost, the Bank transfers to WWF Russia 0.3% of every purchase

paid for with this card.

BY saving nature we save the huMan race

<<< 00140013 0015

winter olYMpics in sochi – for the Benefit of the environMent

An important event in 2007 was a meeting between Bank employees and Igor Chestin, WWF Director and member of

the RF Public Chamber, a body devoted to the 2014 Olympic Games in Sochi. WWF Russia welcomed the decision by the

International Olympic Committee (IOC) to hold the Winter Olympic Games of 2014 in Sochi, because WWF believes that

it will improve the environmental situation in the region.

wwf charitY Ball

In June 2007 Alfa-Bank became the information partner of “Face to Face”, the second WWF Charity Ball that aims to

support Russian national parks and reserves. All the funds raised by the ball were used for the annual small grants

contest held by the WWF and ultimately spent on Russian conservation territories.

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ALFA-BANK / SOCIAL REPORT 2007 / BY SAVING NATURE WE SAVE THE HUMAN RACE

0014 0016

The Grand Book Award for literature, which was established

three years ago, has become an important cultural event in

Russia. Each year hundreds of writers submit their literary

work in the hope of having it selected by a Literary Academy

of expert judges. The competition endeavours to encourage

authors to create new masterpieces.

The Grand Book Award is the largest award for literature in Russia. It was

founded in 2005 by The Centre for Russian Literature Support with the goals

of focusing public attention on national literature, promoting the social sta-

tus of writers and literature in general and supporting literary talent. Alfa-

Bank is one of the founders of the Centre for Russian Literature Support. The

key tasks of the Centre are:

• organising and carrying out cultural programmes in the sphere of personal in-tellectual development,

• instilling in the public the ideals of humanism, unselfish aid and respect for the values of the Russian culture,

• assistance and promotion of literary creative work and the book industry in the Russian Federation,

• organising and financing of events related to the creation, publishing, distri-bution and promotion of literature,

• creating conditions for the coordination and practical implementation of gov-ernment, national, international, public, cultural and business programmes in

Russia and abroad.

The Grand Book Award is supported by the Institute of Russian Literature of the

Russian Academy of Sciences, the Federal Agency for Press and Mass Communi-

cations, the Federal Agency for Culture and Cinematography, the Russian Books

Society, the Russian Library Association and mass media channels.

Novelist and critic Mikhail Butov, who is also chairman of the competition’s ex-

pert panel, said that the competition received more manuscripts in 2007 than it

had in 2006 and that several debut works were submitted. The judges analysed

a total of 442 submissions that came from all across Russia and many foreign

countries. In the final round, the panel shortlisted 12 works by contemporary

Russian authors.

The works selected by the judges were analysed by a Literary Academy of judges.

Among them were celebrated prose writers, journalists, businessmen, publishers,

granD Book

<<< 00160015 0017

critics, teachers, editors, producers and public and government personalities. In

2007 the Literary Academy was chaired by Vladimir Makanin, one of the most

popular writers in Russia.

The Award fund of the Grand Book is the second largest after the Nobel Prize for

literature and amounts to 5.5 million roubles. The winner receives a monetary

prize of 3 million roubles while second and third place winners receive 1.5 million

and 1 million roubles respectively.

In 2007, the novel of Daniel Stein, translated by Ludmila Ulitskaya was named the

best overall work. Second prize went to Alexey Varlamov for his non-fiction work

Alexey Tolstoy. Dina Rubina won third prize with her novel On the Sunny Side of

the Street. By decision of the Board of Trustees of the Grand Book Award, Alfa-

Bank awarded special prizes to Andrei Bitov and Valentin Rasputin for Contribu-

tion to Literature. The prize for Honour and Dignity went posthumously to Ilya

Kormiltsev, member of the Literary Academy, poet and translator.

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ALFA-BANK / SOCIAL REPORT 2007 / GRAND BOOK

0016 0018

future generations – our golD

Support of young talents and professional assistance to potential future specialists are fun-

damental parts of Alfa-Bank’s social policy. The specially developed Alfa Chance programme,

contests and general support to talented young people advance the realisation of these im-

portant goals. The future of these young people is after all the future of Russia.

alfa chance

Throughout its history Alfa-Bank has provided assistance to programmes aimed at helping gifted young people. In 1995,

Alfa-Bank set itself the goal of selecting the most gifted business graduates from regional Russian schools and giving them

a chance to study economics, business administration and finance at the best Moscow universities and colleges.

Eighteen finalists of the Alfa Chance 1995 Programme have graduated from the following educational institutes: Moscow

State Institute of International Relations, Moscow State University, Plekhanov Russian Academy of Economics, International

High School, Academy of Finance and Moscow State Linguistic University. These young people have already successfully

started their careers.

Alfa-Bank continued the Alfa Chance program in 2002. Nineteen finalists were selected and they received Alfa-Bank grants

to study at Moscow State University, the Plekhanov Russian Academy of Economics, the State University High School of Eco-

nomics, the State University of Management, Bauman Moscow State Technical University, St. Petersburg State University of

Economics and Finance and Leningrad State University of Electrical Engineering.

The emergence of the Alfa Chance programme was the result of the past experiences of the Bank’s management, who received

successful thanks to their persistence, energy and motivation. These are exactly the qualities looked for in Alfa Chance schol-

ars. The Bank sees its project as an important contribution to the national goal of developing business talent in Russia.

<<< 00180017 0019

Alfa-Bank maintains close relations with the programme participants even after the programme ends. Therefore, Leonid Ig-

nat, Director of Communications and PR Alfa-Bank, had a meeting with the Alfa Chance programme participants in June 2007.

At the meeting the students discussed their plans for the future and received guidance on how to attain their goals. In the

near future some of the participants will have meetings with the Bank’s managers and some will get the chance to obtain

professional experience or financing for their scientific work. This meeting was concluded with a surprise – the students

received tickets to the Aerosmith concert in Moscow as a gift from the Bank.

Alfa-Bank understands that young talents need financial assistance and therefore continues its efforts in this area. In 2008

the Bank will hold a new competition under the Alfa Chance programme.

unique nizhniY novgoroD talent

The competition “Unique Nizhniy Novgorod Talent” has been held since 1998. It is a joint project of the Department of

Education and Science of the regional government of Nizhniy Novgorod, the N.I. Lobachevsky State University and the Stock

Exchange Plus Career weekly publication. For the fifth year “Unique Nizhniy Novgorod Talent” has enjoyed the financial sup-

port and organisational assistance of the Nizhniy Novgorod Branch of Alfa-Bank.

More than 400 future students from nearly all the districts of the Nizhniy Novgorod region participated in the competition

held in 2007. The awards ceremony was held in the conference hall of the main library of the Nizhniy Novgorod University.

The winners received student cards from Nizhniy Novgorod University as well as valuable gifts.

Alfa-Bank also established its own prize: four competition participants received certificates and gifts from Alfa-Bank. The

certificates give recipients the opportunity of an internship at the Nizhniy Novgorod Branch of Alfa-Bank.

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ALFA-BANK / SOCIAL REPORT 2007 / FUTURE GENERATIONS – OUR GOLD

0018 0020

transparencY

Alfa-Bank is always open to communication with the media.

Each day our work confirms that the Bank deserves to be

considered one of the most transparent companies in the

Russian financial services sector. Our slogan is “keep going

forward – the sky is the limit”.

national conference “russian Banking: Drivers of growth”

On 20 October 2007, Alfa-Bank held a second National Conference titled

“Russian Banking: Drivers of Growth” in Moscow. Holding Annual banking

conferences has become a tradition – the first of these took place in 2006.

The main goal of the event was to facilitate open discussions of current

trends, problems, and perspectives relating to the Russian banking sector.

The conference has become a platform for lively dialogue between the

government, business and mass media. Top managers of the largest fi-

nancial institutions, government agencies and regional and national

media channels met to discuss present conditions and the future of the

industry. About 100 journalists from more than 30 Russian cities at-

tended the conference. As a result, the event received extensive media

coverage – more than 150 publications in the national and regional press

reported on the event.

The conference is unique because representatives of all Alfa-Bank’s

business units had an opportunity to present information about their

business lines, products and services to the public and inform regional

audiences of new customer opportunities and the advantages of working

with the Bank.

Conference speakers included Petr Aven, President of Alfa-Bank; Alexei

Ulyukaev, First Deputy Chairman of the Bank of Russia; Anatoly Aksakov,

Deputy Chairman of the State Duma Committee on Credit Organisations

and Markets; Alexander Mourichev, Chairman of the Board of the Associa-

tion of Russian Regional Banks; Alexey Savatyugin, Director of the Finan-

cial Policy Department of the Russian Ministry of Finance; Garegin To-

sunian, President of the Russian Banking Association; Rushan Khvesyuk,

Chairman of the Executive Board of Alfa-Bank and Mikhail Khabarov, CEO

of Alfa Capital management.

<<< 00200019 0021

The conference focused on pressing issues in the development of the Rus-

sian banking system and ways to maintain financial stability. Special atten-

tion was paid to the trends and problems of developing the regional bank-

ing sector, which is the most promising and capacious segment, and the role

of regional mass media in providing an accurate reflection of financial and

banking matters.

In his speech, Petr Aven, President of Alfa-Bank, emphasised the crucial

role of the banking sector in the economic development of Russia. “Recent

events have made it clear that the existing Russian financial system is substan-

tially integrated in global economic processes. The main task that all banking

sector representatives face today is the identification of key development lines

for future growth and qualitative development of the banking market.”

regional prospects

The 8th International Investment Conference was held in Lipetsk in Octo-

ber and was titled “The Lipetsk region: Development through Investment”.

The event was co-sponsored by Alfa-Bank.

This annual forum aims to inform potential investors of the investment

potential of the Lipetsk region, share information about the cooperation

experiences of existing and potential investors and discuss current prob-

lems in the relationship between the regional government and the business

community. This year the conference was attended by representatives from

countries that traditionally maintain extensive contacts with the Lipetsk

region and have production facilities in the region (Italy, Austria), and the

countries that are examining the opportunities in the region (Japan, Chi-

na, Vietnam, Croatia). The creation of the special economic industrial and

manufacturing zone of Lipetsk late in 2005, following a resolution by the

RF Government, makes the region very attractive for investors. Two manu-

facturing enterprises are already functioning in the economic zone.

Alfa-Bank was represented by Vladimir Arustamov, Director of Corporate

Business Development at the Lipetsk Branch.

internet conferences on the alfa-Bank weBsite

In 2007, the promotional PR activities of Alfa-Bank were broadened to in-

clude another highly effective instrument – online conferences for both Mos-

cow and regional journalists on the Bank’s website. On the one hand these

0021 >>>

ALFA-BANK / SOCIAL REPORT 2007 / TRANSPARENCY

0020 0022

online events aim to provide reporters with the most recent and relevant

information on the Bank’s business segments in interactive mode; on the

other hand they tell interested internet users of new products and services

the Bank offers. Internet conferences also confirmed the Bank’s status as a

competent sector expert.

The Bank organised and held three online conferences – on mortgage

lending, auto finance and the prospects of retail banking development

at the regional level. The interactive conferences elicited significant in-

terest from leading regional journalists and other visitors to the Bank’s

website – about 100 questions were asked at each conference. Based on

the results of the internet conferences, the Moscow and regional press

issued more than 50 articles mentioning the names of experts, products

and services of Alfa-Bank.

DailY Dialogue

In our daily work we do our best to communicate with journalists in a

timely manner about the most recent Alfa-Bank activities. Press confer-

ences are a popular and efficient channel of communication with mass

media. The bank pays significant attention to the preparation and host-

ing of these events.

In February 2007, Alfa-Bank launched its new co-branded Alfa Bank–Cosmo-

politan–Visa card, the first targeted product of its kind for women. Product

promotion included a series of events and promotional initiatives, the first

of which was a press lunch devoted to the presentation of the new card.

During the year, as the product was launched in other areas, similar events

took place in the largest regional centres. These events were consistently

successful while the subsequent spot interaction with the press resulted in

a wave of publications and comments on the new bank card in the Moscow

and regional mass media.

An event that stands out from other press events organised by the Bank

was a unique press tour of the new call centre of Alfa-Bank. Alfa-Bank was

the first Russian bank to open the doors of a closed business unit like this

one to the press. Media representatives had a chance to examine how the

call centre of the largest private bank in the country is organised and also

received useful information on the technology and efficiency of the call

centre’s operations.

<<< 00220021 0023

a recipe for successful Business

Alfa-Bank understands that investment in qualified staff underpins the long-term success of a business. Therefore it pays special attention to encouraging employee education, development, motivation, social security and loyalty to cor-porate values. Each of the Bank’s employees can express his or her opinions and has the opportunity to provide employer feedback as part of an annual personnel survey. The best em-ployees and branches of the Bank receive prizes on an annual basis.

corporate coDe of ethics

Alfa-Bank’s Corporate Code of Ethics forms the basis for maintaining high pro-

fessional ethical standards. The Code formulates the key principles and rules of

behaviour employees follow in the course of their daily work, interaction with

customers, suppliers, shareholders and other employees.

feeDBack: ManageMent anD eMploYees

An essential element of Alfa-Bank’s policy is to give employees opportunities

to ask questions directly of the Bank’s top management during intranet con-

ferences. Events held in 2007 included intranet conferences with Vladimir

Tatarchuk, Head of Corporate Bank and Rushan Khvesyuk, Chairman of the

Executive Board. The conferences showed that employees have great interest

in the tasks faced by the Bank’s individual business units and in the Bank’s

activities in general.

alfa reserve

The Alfa Reserve project was established to create a team of professional and

well-trained managers who are ready to fill more senior positions. When a vacant

management position arises in the Bank, reserve members, rather than external

applicants, will be the first candidates who are considered for that position. The

programme therefore performs two tasks at once: it creates positive conditions

for career development of employees, who possess leadership potential, and

saves the time and expenses required to look for external candidates.

The main qualifying factors for nominating personnel to Alfa Reserve are high

performance, loyalty to the Bank and growth opportunities in the relevant de-

partment. After a staff member is included in the Reserve, he or she is trained

based on individual development needs. Training and workshops are held to

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ALFA-BANK / SOCIAL REPORT 2007 / A RECIPE FOR SUCCESSFUL BUSINESS

0022 0024

develop leadership and professional skills of the Reserve members. Programme

participants also take part in management conferences, meet the Bank’s officers

and attend masterclasses.

Inclusion in the programme makes it possible for employees to assess their

own strengths and capabilities and develop the qualities needed to become

a manager.

suMMer DaY

Each year Alfa-Bank holds a Summer Day event for its employees and their fami-

lies. In June 2007, the Family Summer Day was held in Volynskoye Congress Park.

Guests enjoyed an entertaining programme with several outdoor side shows,

sports contests and surprises. These included a football match between the

Bank’s employees and a Tomsk-Maximum KVN team, a disco and singing perfor-

mances. The event included a special programme for kids. All the funds raised

at the Summer Day event were transferred by the Bank to the Life Line charity

programme.

coMpetition Between Branches

To provide additional incentives to its personnel, the Bank organises “Regional

Alfa Team”, a semi-annual competition between branches.

The competition is held to highlight the achievements of our regional branches.

Winners are determined based on overall financial performance indicators, size

of customer base, quality of resource management in the branch, credit opera-

tions and finally on an overall performance indicator that includes a selection of

results. Winners receive gold, silver and bronze awards with the Bank’s logo as

well as financial bonuses.

These events make the Bank’s operations more transparent to its employees,

while the branches get a chance to learn about the activities of their colleagues

in other regions. The “Regional Alfa Team” competition strengthens the feeling

of operating as a single team with common objectives, striving to achieve opti-

mum financial results.

Best of the Best

Alfa-Bank traditionally holds a “Best of the Best” corporate competition among

its employees. The competition’s goal is to award those employees, who achieve

the best performance, are committed to the Bank’s corporate values and can be-

come role models to their colleagues.

In 2007, the Bank selected winners in ten nomination categories along four pri-

ority lines determined by corporate values:

1. Value your client

2. Take decisions and accept responsibility

3. Team work

4. Combat red tap

<<< 00240023 0025

iDeas Bank

Alfa-Bank appreciates the opinion of each employee and understands that these

opinions offer an important source of solutions that can enhance the Bank’s per-

formance and efficiency. In 2007, in a move to implement the best ideas gener-

ated by employees, the Bank created a new resource — BankIdey.

This resource aims to create conditions for analysing and implementing em-

ployee ideas. Not only bank processes can be optimised, but a system of con-

tinuous knowledge exchange between employees is created. All suggestions

are considered by a special committee, while the most interesting and relevant

ideas are implemented.

alfa universitY

Early in 2007 Alfa-Bank launched a new Alfa University project. The initiative is

designed to train and develop managers and key employees of all business units.

Centralised training of managers has been held by the Bank since 2003. In the

period between 2003 and 2006 attention was paid to training top managers –

members of the Management Board, department heads and their deputies. In

2003 and 2004 managers attended training events to develop their leadership

skills (MTI company); in 2005 and 2006 training was received as part of a project

called “Bestsellers. Management training”.

In the next 2-3 years the Bank intends to engage in the training and development

of line management, in particular heads of divisions, groups and key specialists.

anniversarY celeBrations

Alfa-Bank values employees who are truly loyal to the Bank and awards those

who have dedicated years of service to the Bank. A traditional party to award

employees for long service was held in November in the Moscow Infiniti club. At

a celebratory event called “Total Recall!” employees who have served the Bank

loyally for 5, 10 and 15 years were given awards. Those who have worked with the

Bank for 15 years received gold and diamond badges from Mikhail Fridman, Chair-

man of Alfa Group Consortium and Rushan Khvesyuk, Chairman of the Executive

Board. The badges are normally only used to distinguish members of the Bank’s

Management Board. During the ceremony, a lottery of antiques was held – “The

history of the Bank as represented by management’s personal possessions”.

annual personnel surveY

Assessment of the Bank by its employees is of high importance. At the end of

2007 a third annual survey was done among Alfa-Bank employees. Instruments

like these allow the HR Department to compare Alfa-Bank’s processes with global

practices and assist in proper development of HR policy.

АЛЬФА-БАНК / СОЦИАЛЬНЫЙ ОТЧЕТ 2007/

ДИАЛОГ С ПРЕССОЙ (ИНФОРМАЦИОННАЯ ОТКРЫТОСТЬ)

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ALFA-BANK / SOCIAL REPORT 2007 / A RECIPE FOR SUCCESSFUL BUSINESS

0024 0026

Alfa-Bank prioritises the development of programmes aimed

at strengthening international cooperation ties. A vivid ex-

ample is the Alfa Fellowship programme, which allows young

American professionals to get acquainted with Russia. The

Bank also awards annual prizes to foreign investors who

make significant contributions to the development of the

Russian economy.

alfa fellowship

The Alfa Fellowship Programme, which provides internships for US specialists in

Russia, was started in 2004 and is one of the Bank’s initiatives aimed at promot-

ing and reinforcing social and cultural relations between Russia and the USA.

The programme has proven to be an effective instrument in strengthening busi-

ness and political ties between the two countries. It is actively supported by the

State Duma, the Russian Ministry of Foreign Affairs, the Permanent Mission of the

Russian Federation to the UN, the Russian Embassy to the USA, the US Embassy to

the Russian Federation and the US Chamber of Commerce.

The programme is coordinated by an advisory board headed by Petr Aven, Presi-

dent of Alfa-Bank. Members of the Advisory Board include Konstantin Kosachev,

Chairman of the State Duma Committee on International Affairs; Yevgeni Yasin,

Rector of the Higher School of Economics and Vladimir Pozner, President of the

Russian TV Academy.

In Russia, the Alfa Fellowship programme is overseen by the Centre for Inter-

national Fellowships: participants take internships in private companies and in

Russian state and public institutions. These include the Higher School of Eco-

nomics, the Expert Institute at the Russian Union of Industrialists and Entre-

preneurs, the Carnegie Endowment, Echo Moskvy radio station, Expert magazine,

Alfa Capital, TNK-BP, INDEM Foundation and others.

Apart from training courses for participants, the programme includes work-

shops in Moscow and trips to the regions. We would like to thank the Admin-

istrations of Arkhangelsk, Novgorod, Novorossiysk, Rostov-on-Don, Samara,

Cheboksary and Irkutsk for the warm welcome they gave our programme par-

ticipants during their training.

In April 2007, the Bank organised a meeting between Mikhail Fridman, Chairman

of Alfa Group Consortium and the young US specialists – also called Alfa Fel-

lows. The participants thanked Mr. Fridman for the well-organised programme of

international alfa-Bank prograMMes

<<< 00260025 0027

workshops and shared impressions of their trip to Russia. Results of the fellowship programme as well as plans for further

education and professional growth were discussed.

The first party for the programme’s graduates was held in New York and was attended by Vitaliy Churkin, Head of Russia’s Mis-

sion to the UN, Ambassador Extraordinary and Plenipotentiary; Sergei Garmonin, Consul General of the Russian Federation

to New York; Mikhail Fridman, Chairman of Alfa Group Consortium and Petr Aven, President of Alfa-Bank. Mikhail Fridman and

Petr Aven presented awards to the fellowship graduates in recognition of their contribution to the development of relation-

ships between Russia and the USA.

“As memories of the cold war between Russia and the USA diminish, it is increasingly important to promote an unbiased vision and

a better understanding of modern-day Russia for the strengthening of relationships between our countries. We are confident that

the Alfa Fellowship programme will promote the development and improvement of this understanding and are happy to support

the programme and its future growth.” - Mikhail Fridman, Chairman of Alfa Group Consortium

alfa-Bank – oxforD universitY Business school awarD for excellence in foreign investMent in russia

In 2007, Alfa-Bank and the Oxford University Business School recognised General Motors Russia and CIS for “Excellence in

Foreign Investment in Russia”. The annual award is given to the foreign company operating in Russia that best combines suc-

cessful business operations with a significant contribution towards the promotion of high corporate governance standards

in Russia. The Award was created in 2003 and was granted for the fifth time in 2007. Past winners include Procter & Gamble

(2003), Nestle’é (2004), United Technologies (2005) and Deutsche Bank AG (2006).

The winner is selected by a distinguished international jury. This year jury members included Petr Aven, President of Alfa-

Bank; Richard Burt, former US Ambassador to Germany; Yegor Gaidar, Director of the Institute for the Economy in Transition

and Dana Brown, University Lecturer of the Oxford Said Business School.

Petr Aven presented the Award at a reception held on 24 October. The ceremony was attended by more than 100 leaders of

Russian and Western companies, clients and partners of Alfa-Bank, representatives of NGOs and Russian and foreign media.

Donald Rumsfeld, US Secretary of Defence from 1975 to 1977 and from 2001 to 2006, and the evening’s guest of honour, gave

the keynote address. Warren Brown, Executive Director of General Motors for Russia and CIS accepted the Award on behalf

of the company.

200 Years of us – russian DiploMatic relations

The Hermitage Museum in St. Petersburg held a reception to commemorate 200 years of diplomatic relations between

the US and Russia. Guests were welcomed by Mikhail Piotrovsky, Director of the State Hermitage and William Burns, US

Ambassador to Russia.

Invitations to the event were extended to representatives from the spheres of culture, business and government from a va-

riety of countries. Alfa-Bank was represented at this memorable event by Alexey Leonov, the legendary cosmonaut who was

the first to enter outer space, twice Hero of the USSR and Vice-President of Alfa-Bank.

As part of the celebration, guests visited an exhibition in the General Headquarters building on Palace (Dvortsovaya) Square.

The exhibition was titled “The St. Petersburg Century - 1802 to 1917. On the occasion of the 200th anniversary of the Estab-

lishment of the Ministry”. After speeches were delivered by officials from both the USA and Russia, Mikhail Piotrovsky gave

Alexey Leonov the opportunity to tell guests about the day memorable to all humanity when two spacecrafts were joined

for the first time. This event started a new era in space exploration and also became one of the rare moments of warmer US-

Soviet relationships during the cold war period.

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