EquityStory.RS, LLC-News: ChelPipe Group / Key word(s): Miscellaneous
ChelPipe's Board approves risk management framework
2020-03-31 / 11:37 MSK
The issuer is solely responsible for the content of this announcement.
ChelPipe's Board approves risk management framework
31 March 2020
On 30 March 2020, ChelPipe Group's Board of Directors (including its three
independent directors) held an ad hoc meeting chaired by Andrey Komarov, at
which it reviewed and approved the Company's Risk Management Concept, which
is designed to further improve the risk management framework in line with
best international practices. The Board also reviewed and approved the risk
matrix for 2020, which includes potential corrective measures that aim to
make the business more sustainable amid market volatility and the
coronavirus pandemic.
ChelPipe Group are closely monitoring the market and have established a
crisis management office headed by the CEO, which is responsible for the
development and implementation of anti-crisis measures to maintain the
sustainability of the business and to ensure the health and safety of all
personnel.
Under ChelPipe Group's approved strategy to 2024, the Company is focused on
maintaining its competitive advantages and implementing an operational
efficiency programme that aims to achieve savings of RUB 5 billion compared
to 2019. The comprehensive set of activities are expected to reduce
administrative costs, optimise maintenance, repair, power supply and
logistics processes, and integrate digital solutions to increase the in
house production of pipe billets. The Company also plans to continue its
investment programme by adopting a flexible approach to capex depending on
the market environment.
ChelPipe Group's diversified customer base, which includes more than 5,000
companies from the fuel and energy sector, petrochemical, mechanical
engineering, energy and other industry companies from Russia and abroad,
makes Group's business resistant to global market fluctuations. In the new
market reality, the Company will focus even more on bolstering export sales
and offering customers high value added products, as well as on further
strengthening vertical integration.
CEO of ChelPipe Group Boris Kovalenkov said:
" Management's top priority right now is the health of our employees.
ChelPipe Group is committed to Vision Zero global principles and we were one
of the first employers in Russia to send more than 80% of our office
personnel to work remotely. Business trips in Russia and abroad have been
cancelled, and we have recommended that our employees to refrain from any
personal travel. Personal meetings have been replaced by conference calls,
and shifts on our sites are planned to minimise personal contact. We have
devoted special attention to our older employees, who have been relieved of
their normal work duties and are staying home on paid leave. In addition,
our production sites are equipped with disinfecting devices; and additional
disinfectants are being used to sanitise our premises. ChelPipe Group
continues internal communications on the measures being taken to prevent
viral infections and is operating a hotline based in our in-house "Vsya
Medicina" corporate medical centre."
From 30 March to 3 April 2020, most of our employees will take a week off
from work pursuant to Vladimir Putin's Executive Order. However, the Company
has several continuous operations that cannot be shut down or suspended, and
these facilities will continue working. Staff presence at our production
sites has been minimised for this period.
Media contacts
ChelPipe Group
Head of ChelPipe Group's press service
Tatyana Cherepanova
+7 495 775 35 55 ext. 44 89
+7 982 610 85 07
T.Cherepanova@chelpipe.ru
EM
Denis Denisov
+7 985 410 35 44
denisov@em-comms.com
About us
ChelPipe Group is a major player in the Russian metals market with a highly
diversified customer base. In 2019, the Company accounted for 18% of total
shipments by Russian tubular product makers. The Company's share in the
high-margin segments of OCTGs and large-diameter pipes was 19% and 31%,
respectively.
ChelPipe Group is a ferrous metals company running Chelyabinsk Pipe Rolling
Plant, Pervouralsk New Pipe Plant, a warehouse complex for selling tubular
products in Russian regions, scrap metal collector META, a trunk pipeline
division comprising SOT, ETERNO, and MSA (Czech Republic), and an oilfield
services division operating under the name Rimera Group.
Thanks to the use of safe technologies and materials, ChelPipe Group's
upgraded facilities boast a small environmental footprint and green
products. The Company also supports social programmes and helps its
employees maintain a healthy lifestyle.
2020-03-31 MSK Dissemination of a Corporate News, transmitted by
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Language: English
Company: ChelPipe Group
5, Lesnaya St., Bld. V
125047 Moskow
Russia
Phone: +7 (495) 775 35 55
E-mail: info@chelpipe.ru
Internet: https://chelpipegroup.com
ISIN: XS2010044548, US16325LAA52
Listed: Foreign Exchange(s) Moscow
EQS News ID: 1011461
End of News EquityStory.RS, LLC News Service
1011461 2020-03-31 MSK
(END) Dow Jones Newswires
March 31, 2020 04:37 ET (08:37 GMT)
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