Board Committees

Board Committees

Audit committee

The Board of Directors does not deem it necessary to establish an audit committee since the size of the Board and the nature of accounting and audit issues is no more complicated than the work that can be handled directly by the Board.

Remuneration committee

The Company's Board of Directors does not deem it necessary to establish a remuneration committee since the size of the Board and the small number of employees in the Company is such that the Board is able to complete the tasks of a remuneration committee. Board members who are also members of the Company management, i.e. the CEO, do not participate in the work with such issues.

Nomination Committee

The extra ordinary shareholders' meeting on August 5, 2009, resolved, in accordance with the nomination committee's proposal, to establish principles for the appointment of the nomination committee substantially in accordance with the following:

- The chairman of the board shall each year as soon as possible after the end of the third quarter summon the three largest shareholders, which thereafter may appoint one member each to the nomination committee. Such member should not be a board member. In addition, the members of the nomination committee may appoint the chairman of the board as member of the nomination committee.

- The chairman of the board shall summon the nomination committees' first meeting. A representative of the shareholders should be appointed chairman of the nomination committee.

- The composition of the nomination committee shall be announced at the latest in connection with the Company's report for the third quarter

- The nomination committee shall, inter alia, prepare and submit proposals to the shareholders' meetings regarding chairman of the board and other members of the board, fees to each of the board members and fees for committee work, if any, auditors' fee and, when applicable, election of auditor and deputy auditor, and resolutions on principles for appointment of the nomination committee, etc.

- No remuneration shall be paid to the members of the nomination committee.

The above principles for appointing the nomination committee shall be in force until otherwise resolved by a shareholders' meeting. It rest upon the nomination committee to prior to the annual general meeting determine whether it is necessary to propose an amendment of the principles at question and under such circumstances submit a proposal to the annual general meeting.

The Nomination Committee in 2009 comprises of Hans Hedström representing HQ Fonder, who is the convenor, Per Josefsson representing Zenit, Per Brilliot from Vostok Nafta Investment Ltd, Viking Kjellström from SEB Fonder and Sven Hirdman, Chairman of the RusForest Board. The Nomination Committee can be contacted via email info(at)rusforest.com