EPAM (EPA&P"), Russia's leading law firm, is pleased to announce that today the Federal Arbitrage Court of Cassation for the Moscow Circuit approved the settlement between the Federal Antimonopoly Service of Russia (FAS) and a Eurocement Group. Both sides characterized this settlement as a complete and satisfactory conclusion of their dispute.

As part of the agreement the amount that Eurocement Group will be fined has been reduced to RUB 267,000,000 (USD 9.9m) from the RUB 1.915 bn (USD 71.3m) originally ordered. Eurocement has agreed to notify the regulator if it increases cement prices by more than 5% per quarter or if it purchases any stake in other cement companies which amount to more than 15%. FAS further said it will look favorably at the request for further consolidation of the Eurocement Group of companies. In the settlement agreement FAS also agreed that there is no longer any requirement for Eurocement to keep a cap on its prices.

Earlier at a press conference in Moscow Mr. Igor Artemiev, the head the Federal Antimonopoly Service of Russia, expressed gratitude for the mediation role played by EPA&P in reaching this settlement. EPA&P has previously advised the Russian Federation on various anti-trust matters including drafting a new fedral anti-monopoly law which comes into effect this Fall and brings Russian anti-trust practice in line with the European standards.

Dimitry Afanasiev, the Chairman of EPA&P, stated, "I am delighted that we have been able to help our client, Eurocement Group, reach a satisfactory resolution of this matter. This resolution will bring more investment and technological improvement into the Russian cement industry which is badly needed for more housing construction. This in turn should help the Russian Government's national housing project aimed at providing affordable homes to the population of Russia." 

ENDS

About EPAM
Founded in 1993, EPAM is a full-service Russian law firm with representative offices in London and the U.S. The Firm combines extensive Russian experience with international professional and ethical standards. It regularly represents foreign companies doing business in Russia and Russian companies expanding internationally. The Firm also serves as Russian counsel to various Western law firms. EPAM has represented the interests of the Russian Federation in several litigation and transactional matters in Russia and abroad.

For further information:

Olga Frolova
+7 495 935 80 10
Olga_Frolova@epam.ru

Stuart Leasor
+44 20 7153 1527