16/05/2018

Press release: RUB 8.04 per share dividends recommended by Board of Directors for 2017

The Gazprom Board of Directors addressed issues associated with arranging and holding the Company’s annual General Shareholders Meeting.

It was resolved to convene the annual General Shareholders Meeting of Gazprom in St. Petersburg at 10 a.m. on June 29, 2018. The registration of the Meeting participants is to be carried out on June 27 (from 10 a.m. to 5 p.m.) and on June 29 (from 9 a.m.).

The Board of Directors approved the agenda of Gazprom’s annual General Shareholders Meeting consisting of the following items:

• on the approval of the Company's Annual Report;
• on the approval of the Company's Annual Accounting (Financial) Statements;
• on the approval of the distribution of the Company's profit based on the results of 2017;
• on the approval of the distribution of the profit that was not distributed in the previous years;
• on the amount, period and form of the dividend payout based on the results of 2017, as well as on the date when a list of persons entitled to receive dividends is drawn up;
• on the approval of the Company's Auditor;
• on the remuneration for the Board of Directors (Supervisory Board) Members, who are not government officials, in the amount established by the Company's regulatory documents;
• on the remuneration for the Audit Commission Members, who are not government officials, in the amount established by the Company's regulatory documents;
• on the amendments to the Company's Regulation on the General Shareholders Meeting;
• on the election of the Company’s Board of Directors (Supervisory Board) Members;
• on the election of the Company’s Audit Commission Members.

The Board of Directors formed the Shareholders Meeting Presidium made up of the Gazprom Board of Directors Members and approved the Board of Directors Chairman Viktor Zubkov as the Shareholders Meeting Chairman.

The Board of Directors recommended that the Shareholders Meeting approve the distribution of Gazprom's profit based on the 2017 operating results and the distribution of the profit that was not distributed in the previous years.

The Board of Directors recommended that the Shareholders Meeting approve the proposal to pay out RUB 8.04 per share in annual dividends based on Gazprom's operating results in 2017. Thus, it is recommended to allocate RUB 190.335 billion (26.6 per cent of the profit under International Financial Reporting Standards) for dividend payout.

Gazprom continues to pursue the policy aimed at maintaining the dividend amount equal to or higher than the level already achieved by the Company. The recommendation of the Board of Directors concerning the dividend payout for 2017 takes into account the need to ensure that the Company remains highly sustainable financially and its priority strategic projects are implemented.

The Board of Directors proposed that the Shareholders Meeting set July 19, 2018, as the deadline for listing the persons entitled to receive dividends. The recommended deadline to receive dividends for the nominee shareholders and trustees who are stock market professionals recorded in the Register of Shareholders is August 2, 2018; for the rest of the registered shareholders, it is August 23, 2018.

It was resolved to provisionally endorse and submit to the Shareholders Meeting for consideration the Company's 2017 Annual Report and the 2017 Annual Accounting (Financial) Statements of Gazprom prepared in accordance with the Russian legislation.

The meeting approved the proposals on the amount of the remuneration for the Board of Directors and the Audit Commission Members.

The Board of Directors reviewed the results of the open tender held to select an auditing company responsible for performing the statutory annual audit of Gazprom and nominated the tender winner, FBK, to be endorsed by the General Shareholders Meeting of Gazprom as the Company's Auditor.

The Board of Directors also endorsed the Report on related-party transactions executed by Gazprom in 2017.

The Board of Directors approved and submitted to the Shareholders Meeting for consideration the draft amendments to the Company's Regulation on the General Shareholders Meeting.

In addition, the Board of Directors adopted decisions on other issues associated with arranging and holding the annual General Shareholders Meeting of Gazprom.

At present, the Company has several hundred thousand shareholders in Russia and abroad. Therefore, shareholders are advised to exercise the right to take part in the Meeting via their trustees by proxy or via a filled out voting ballot sent to Gazprom, or to give instructions regarding the vote to a nominee shareholder responsible for share registration.

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