Corporate governance structure

The Company’s system of management bodies

Scheme of corporate governance bodies

General Meeting of Shareholders

Description of the General Meeting of Shareholders

The Meeting of Shareholders is the Group’s supreme management body. The Annual General Meeting of Shareholders is held once a year, no earlier than 1 March and no later than 30 June of the year following the reporting year. Any meetings of shareholders other than the Annual Meeting are deemed extraordinary. General Meetings of Shareholders may be held either in person or in absentia. The form, date and venue of annual and extraordinary General Meeting of Shareholders are approved by the Board of Directors.

Board of Directors

The Board of Directors is the Company’s collective governance body responsible for overall management of the Company, except for issues fall under the sole competence of the General Meeting of Shareholders. The Articles of Association and the Regulations on the Board of Directors of the Group regulate the Board of Directors’ activities.

Meetings of the Board of Directors are held in person and in absentia. Directors who are absent from the meeting venue are given the opportunity to participate and vote remotely via conference and video conferencing.

Number of directors and their independence

Ten directors, four of whom are independent, are required by the Company’s Articles of Association and Regulations on the Board of Directors. This number satisfies both the Moscow Exchange’s listing criteria and the Bank of Russia’s Corporate Governance Code.

Independence is the lack of circumstances that compromise a director’s capacity to carry out their responsibilities in an unbiased manner. In addition to creating a balance between different stakeholders, independence enables directors to effectively protect the interests of all shareholders and enhances the standard of the corporate governance system. Rusagro recognises the importance of having independent directors on the Board of Directors.

Election of Board members

When forming the Board of Directors, Rusagro aims to consider the synergy and balance of professional talents, experience, expertise, and other features that guarantee the successful accomplishment of the Company’s strategic objectives.

Members of the Board of Directors are elected at the Annual General Meeting of Shareholders by cumulative voting; the persons elected to the Board of Directors are the persons with the highest number of votes.Persons elected to the Board of Directors may be re‑elected an unlimited number of times. The Nomination Committee of the Board of Directors facilitates the selection process for the Group’s Board of Directors. It communicates with the shareholders regarding personnel planning, specifically proposing candidates and offering recommendations to the shareholders.

Considering the candidate’s adherence to the independence criteria, the Board of Directors decides whether to recognise the candidate as independent in order to guarantee that the Company’s corporate governance conforms with Bank of Russia regulations.

Composition of the Board of Directors Information is not to be disclosed in accordance with Resolution of the Government of the Russian Federation No. 1102 dated 4 July 2023.

Analysis of profile and expertise of the members of the Board of Directors

A key factor in the efficient running of the Company is the diversity of the Board members’ backgrounds, areas of competence, age brackets, and genders and cultures. Combining various viewpoints and methods allows the Board of Directors to make more well‑rounded and strategic decisions, evaluate the Company’s challenges more thoroughly, and respond to shifting circumstances faster.

Audit Committee under the Board of Directors

The purpose of the Audit Committee is to improve the efficiency of the Board of Directors and address the most important issues related to the Group’s audit. The Audit Committee acts in accordance with legal requirements, the Articles of Association, the Regulations on the Audit Committee of the Board of Directors and other internal documents of the Group.

The Committee consists of two members of the Board of Directors, who are to be independent. The members of the Audit Committee are elected by the Board of Directors of the Company by a simple majority of votes of the Board members.

Remuneration Committee of the Board of Directors

The Company has a Remuneration Committee that decides on the remuneration policy for the Board of Directors, executive body members, and other key executives and oversees its execution in order to guarantee the motivation of the management and members of the Board of Directors. The Remuneration Committee operates in accordance with legal requirements, the Regulations on the Remuneration Committee of the Board of Directors and other internal documents of the Group.

The Committee consists of two members of the Board of Directors, who are to be independent. Members of the Remuneration Committee are elected by the Board of Directors of the Company based on a simple majority of votes of the Board members attending the meeting.

Nomination Committee of the Board of Directors

To ensure the continuity of the Board and management, the Company has a Nomination Committee in place, which provides staff planning for the Board and management of the Company. The Nomination Committee operates in accordance with legal requirements, the Regulations on the Nomination Committee of the Board of Directors and other internal documents of the Group.

The Committee consists of a minimum of three members, the majority of whom must be independent directors. Members of the Nomination Committee are elected by the Board of Directors of the Company based on a simple majority of votes of the Board members attending the meeting.

Report on the activities of the Board of Directors and Committees

Resolutions adopted at meetings of the Board of Directors

Performance review of the Board of Directors

At the end of 2024, Rusagro transformed its corporate governance system, in particular, updating its approach to the activities of the Company’s Board of Directors, to be in line with the criteria for listing on the Moscow Exchange’s first quotation list and best Russian and global practices.

Beginning in 2025, a comprehensive review of the Board of Directors’ and its committees’ performance will be conducted, including that of the newly established Remuneration and Nomination Committees.

Analysing the characteristics and competencies of the management team

Corporate Secretary Information is not to be disclosed in accordance with Resolution of the Government of the Russian Federation No. 1102 dated 4 July 2023.

Corporate Secretary sets up meetings, formalises decisions, and makes sure that corporate standards are followed, thus helping the Board of Directors to carry out their duties effectively. Corporate Secretary also coordinates interaction with shareholders and ensures the protection of their rights and interests.

The election to the position of the Corporate Secretary is carried out by the Board of Directors. The operating procedures of the Corporate Secretary are regulated by the Regulations on the Corporate Secretary of the Company.

Regulations on the Group’s Corporate Secretary