Basics of effective management
In 2006 Severstal elected a new Board of Directors
consisting of ten directors, five of whom are independent directors
including Chairman of the Board of Directors. The Board acts in accordance with the norms of applicable laws and conforms to the generally-accepted
international corporate governance standards and the Corporate Governance Code of OAO Severstal.
The role of the Board independent directors is to observe
the interests of all Company's shareholders and secure the system of “checks
The Board committees serve as consultative and advisory
bodies of the Company. Their activity is regulated by the
Regulations for the Committees of the Board of directors.
The committee meetings are held apart from the Board
meetings so that extra attention can be given to discussing issues, which
require preliminary Board consideration prior to the approval by the Board
members, and determine the necessity of the Board’s approval for a specific