April 6, 1998 - The board of directors at Russian oil major LUKOIL last Friday approved the main points of the agenda for the annual shareholders meeting.

The board scheduled the annual shareholders meeting to be held June 4. Shareholders of record as of April 20, 1998, may participate in the meeting. The agenda approved by the board includes, among other items, the report from the board of directors on the company's 1997 financial and business performance, approval of company accounts, the earnings and losses statement, allocation of profit, dividend payment, and election of candidates to the board of directors and the audit commission, approval of an independent auditor.

The board recommends a dividend amount for 1997 of 0.22 rubles per common share and 0.91 rubles per preferred share. LUKOIL shares bear a par value of 0.025 rubles each.

Shareholders will also vote on whether to confirm KPMG as LUKOIL's independent auditor. KPMG has been the company's auditor since 1995.

The board of directors expressed concern at the meeting over the extremely unfavourable conditions on Russian and global oil markets. The company believes the government must take immediate and effective measures to optimize taxation of Russian oil companies, in order to prevent oil production declines, and, consequently, curtailment of a whole host of major economic and social programs. The board of directors authorized the company management committee to cut expenditures at both LUKOIL and subsidiaries.

 

 

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Press Centre  OAO "LUKOIL"
phone.: (095)927-1677,  fax: (095)927-1653,
E-mail: pr@lukoil.com