OLEG SENKOVSKIYRussian Railways policy implementation onStrategic Quality Managementthe purchased products

RUSSIAN RAILWAYS* - with account of pipeline transport All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

1. Authorized capital 38.7 bln euro2. Number of employees - 1.06 mln people3. Freight turnover 2.2 trillion tkm4. Freight turnover share in the total freight turnover of Russia* 43.2 %5. Passenger turnover 138.5 bln pass-km6. Passenger turnover share in the total passenger turnover of Russia 28.6 %7. Total length of railways 85.2 thous. km8. Track length of railways 193.3 thous. km9. Number of track switches 155.3 thous. pcs10. Number of track measuring and flaw detector cars 165 pcs11. Products of rolling-stock manufacturing plants acquired in 2013 2.8 bln euro

12. Metallurgical products purchased in 2013 1.8 bln euro

on average, 10,765 freight trains proceeded on a daily basis on average, 667 passenger trains proceeded on a daily basisON THE RUSSIAN RAILWAYSon average, 6,158 suburban trains proceeded on a daily basis All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

POSITION OF RUSSIAN RAILWAYS IN THE WORLD

Total length in operation, thous. kmLength of electrified lines, thous. kmAverage density of cargo traffic, thous. tAverage density of passenger traffic, thous. pass.1153.5USA (1 class)51.0China29,831.5China10,028.6China297.8China43.3Russia26,098Russia2,407.3Germany385.2Russia19.8Germany16,290.6USA (1 class)1,872.4EU464.5India19.6India1,464.1EU1,698Russia533.5Germany12.4Japan3,178.2Germany318.9USA (1 class)

All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

Infrastructure complexMetallurgic companiesConsulting firmsScientific research institutes and professional education institutionsOperatorsPlants -suppliers of equipment and componentsJSC Russian RailwaysLocomotive repair plantsJSC Kazakhstan Temir ZholyLocomotive building plantsState Association Belarusian RailwayCar buildingand car repair plantsNON-PROFIT PARTNERSHIP "UNION OF INDUSTRIES OF RAILWAY EQUIPMENT"Operating structureof enterprises - NP "UIRE" members (in percentage of the total number of enterprises)Enterprises - NP "UIRE" members All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

NP "UIRE" membersNot NP "UIRE" membersNP "UIRE" includes 165 enterprises and holdings from 34 Russian regions, which account for 90 % of all railway production in the Russian Federation, as well as companies from Germany, Ukraine, Belarus, Kazakhstan, Uzbekistan and Slovakia.

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2012120

2013138

2014165

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Structure of railway manufacturing industry in relation to the total cost of the shipped products in 2013:Russian railway manufacturing enterprises producers of rolling stock, components and spare parts 500;including NP "UIRE" members - 165 (139 of them are industrial enterprises).Inspection and acceptance control performed by the Technical Audit Center of JSC Russian Railways:Russia - 136;CIS - 9;Foreign enterprises - 14. Certified enterprises of Russia and CIS:Enterprises subject to certification under IRIS standard requirements in Russia 200;Registered at IRIS portal - 110;Certified - 65, including 5 in the CIS.Market share of the Russian railway enterprises subject to certification under IRIS standard requirementsRUSSIAN RAILWAY MANUFACTURING ENTERPRISES All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

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38869288

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All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

2010 - Izhevsk Radio Plant OJSCCERTIFICATION PROCEDURE FOR RUSSIAN ENTERPRISESUNDER IRIS STANDARD2013 - 40 enterprises certified, including 3 from the CIS 2012 - 8 enterprises certified2014 - 16 enterprises certified, including 2 from the CIS - - 105 enterprises registered at IRIS portal By the end of 2014 min. 10 enterprises are planning to undergo the certification procedure.In total, by 2015, min. 75 enterprises will undergo the certification procedure.2011 - JSC MTZ TRANSMASH - Bombardier Transportation (Signal) Ltd.Average term for implementation of the standard - 13.5 months

IRIS STANDARD CERTIFICATION BODIES IN ACTIVE OPERATION IN RUSSIA AND CIS All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

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33

14

10

6

2

2

DQS Russia 33 companies certified (49 % )

Russian Register 14 companiescertified (21 %)

AFNOR Certification 10 companies certified(15 %)

BUREAU VERITASCERTIFICATION 6 companies certified (9 %)

TV Rheinland 2 companies certified (3 %)

Lloyd's Register LRQA 2 companies certified (3 %)

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RUSSIAN RAILWAYS SUPPORT OF IRIS STANDARD IMPLEMENTATION AT THE INDUSTRIAL ENTERPRISES IN THE RUSSIAN FEDERATIONJSC Russian Railways requirement on compliance of production and technological systems and quality management systems of the products manufacturers with IRIS standard; availability of the system certified under IRIS standard requirements at the enterprises supplying products for JSC Russian Railwaysassessment of the tender bids for supply of the products under the criterion availability of the quality management system shall be performed according to the following procedure:100 % - for availability of IRIS certificate.Order of JSC Russian Railways dated September 17, 2009 No. 1943pOn approval of the basic directions of JSC Russian Railways policy in the sphere of strategic quality management for the products consumed by JSC Russian RailwaysInstruction of JSC Russian Railways dated April 11, 2011 No. -7On the issues of placement of purchase orders for products All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

RUSSIAN RAILWAYS SUPPORT OF IRIS STANDARD IMPLEMENTATION AT THE INDUSTRIAL ENTERPRISES IN THE RUSSIAN FEDERATIONIn 2010 JSC Russian Railways initiated a Contest for the best quality of rolling stock and complex technical systems. It is held annually among industrial enterprises; one of the main criterion for the winners is availability if IRIS certificate. The contest is held in three nominations:* Rolling stock;* Components for the rolling stock and infrastructure;* Diagnostics and management systemsJSC Russian Railways covers the project on IRIS standard implementation at the industrial enterprises using the mass media:over 12 thous. information messages were published in the Internet;over 400 articles were published in periodicals and trade magazines.IRIS certificates are granted within the framework of large-scale events (exhibitions, conferences) in presence of JSC Russian Railways top management, the procedure is covered by the mass media. All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

On October 28-29, 2014 - an international conference in the city of Almaty, the Republic of Kazakhstan, with participation of members of UNIFE, NP "UIRE", JSC Russian Railways, JSC Kazakhstan Temir Zholy, rolling stock operatprs, certification bodies, manufacturers of rolling stock and infrastructure elements.IRIS STANDARD PROMO EVENTSOn October 20-24, 2014 - out-of-house training workshop devoted to the methods for IRIS standard implementation and its application advantages in the Kingdom of Spain at Talgo railway enterprises.The following aspects will be considered within the training process: Requirements of the International Railway Industry Standard (IRIS, version 02), certification process under IRIS standard, RAMS/LCC implementation, quality management at Talgo enterprises, specific requirements of the railway industry customers. All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

INFORMATION LEAFLET CONFIRMATION OF COMPLIANCE OF RAILWAY PRODUCTS IN THE TERRITORY OF THE CUSTOMS UNION WITHIN THE EURASIAN ECONOMIC COMMUNITY AND EUROPEAN UNIONThe information leaflet contains information on the rules for holding procedures for confirmation of railway products compliance in the territory of the Customs Union within the Eurasian Economic Community and European Union.

Leaflet structure:Peculiarities of accreditation and compliance confirmation in the territory of the Customs Union;Confirmation of compliance of railway products in the territory of the European Union;Glossary of railway terms.

Glossary of railway termsIncludes authentic translation of 45 terms of the Customs Union Technical Regulations 001-2011, 002-2011, 003-2011 from the Russian language into English and references to the corresponding terms in the European regulatory documents.Planned work: preparation of translation and selection of corresponding terms in the European documents for more than 100 terms. All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

THANK YOU FOR YOUR ATTENTION! All rights to the presented materials are reserved by JSC Russian Railways. Reference to the right holder and the source of information is mandatory.

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