Transcription of TRANSPARENCY IN CORPORATE REPORTING
1 TRANSPARENCY IN CORPORATE REPORTINGA ssessing Russia s Largest Companies TRANSPARENCY International-Russia ReportASSESSING RUSSIA S LARGEST COMPANIES TRANSPARENCY INTERNATIONAL RUSSIA REPORTThis report was produced by TRANSPARENCY International Russia as part of a project led by the TRANSPARENCY International Secretariat with fund-ing from the Siemens Integrity Initiative. The TRANSPARENCY in CORPORATE REPORTING assessment conducted in Russia uses the same methodol-ogy as the TRANSPARENCY in CORPORATE REPORTING : Assessing the World s Largest Companies which is produced periodically by the TRANSPARENCY International Secretariat.
2 The latest edition of the global report, pub-lished in 2014, included Siemens as one of the 124 companies that were assessed. Bureau Verstak, design, 2017 Printed in Tara-Tut print shop (Moscow)Project coordinator Anastasiya Ivolga Project team Anton Pominov, Ekaterina Sukhareva, Ilya Shumanov, Maria Maria Shigreva Project interns Alisa Velmiskina and Svetlana Ivanova2 CENTER TRANSPARENCY INTERNATIONAL R TABLE OF CONTENTSI ntroduction 9 The Overall Results 10 Recommendations 12 Methodology 201. Anti-corruption documents 262.
3 Organizational TRANSPARENCY 383. Country-by-country REPORTING 44 Annexes1. List of evaluated information 502. Data per companies 524 CENTER TRANSPARENCY INTERNATIONAL R TRANSPARENCY IN CORPORATE REPORTINGSCALE FROM 0 10, WHERE 0 IS THE LEAST TRANSPARENT, 10 IS THE MOST TRANSPARENT. THE INDEX IS BASED ON THE AVERAGE VALUE FOR ALL THREE PARTS OF THE ARE LISTED FROM THE HIGHEST VALUE OF THE INDEX TO THE ANTI-CORRUPTION PROGRAMS OT ORGANIZATIONAL TRANSPARENCY СВС COUNTRY-BY-COUNTRY REPORTINGCOMPANY % ACPOTСВСINDEXM agnetw58 w100 w88 w75 w100 w81 w75 w88 w75 w88 w75 missiles Corporationw42 w75 w75 w75 w56 w88 w88 w75 w81 w75 w75 w75 RAOw54 w88 w75 w88 w75 w75 Systemsw77 w75 w75 w50 w75 w88 w75 w75
4 W75 Groupw73 w75 w75 w31 w75 w81 w75 w75 w75 w13 w88 w6 w81 w75 w75 w75 Plusw58 w75 % ACPOTСВСINDEXS urgutneftegasw42 w88 w75 w75 w88 w75 Petersburg Bankw50 w75 w75 w31 w75 Energow w75 w75 Helicoptersw27 w88 Bank of Moscoww38 w75 Mirw77 w38 w38 Bureniew12 w63 Energyw73 w w50 Rossiiw69 w38 w w w75 w75 w50 w w groupw15 w75 w75 w75 Key Groupw27 w38 w81 machinesw19 w75 w75 w75 w75 w38 w75 Metallurgical Holdingw w75 Groupw4 w75 w75 w w50 w50 w19 w75 Holdingw w75 w75 w75 w75 w75 % ACPOTСВСINDEXT ransmashholdingw w75 w75 w75 w75 w75 Airlinesw w75 w38 w19 w13 w44 "RGS"w15 w50 Precision Systemsw4 w38 w13 w56 w19 Groupw w38 w38 Rossiyaw w56 w38 Russiaw23 w31 w6 "Blagosostoyanie"w w25 w19 w6 w38 Corporation "Lider"w w25 Standard Bankw w38 w19 Futurew8 w25 Petroleumw19 w Generating
5 Companyw w19 w19 w13 w25 w25 w13 w13 w13 w13 w13 w w w13 w Kontinentw8 w w13 w6 w6 ATM Corporationw w6 % ACPOTСВСINDEXT echmashw4 w w Groupw4 w w6 w6 w6 w 0 Red&Whitew w 0 Alkor and Cow w 0 Intertorgw w 0 Retail K-1 ("Maria-RA")w w 0 MERLIONw w 0 SNS Groupw w 0 Almaz-Anteyw w 0 Tomskneftw w 0 SeverEnergiaw w 0 Avtotorw w 0 Neftegazindustriyaw w 0 Miratorgw w 0 LUKOIL-Garantw w 0 Moskovsky Metropolitenw w 0 LocoTechw w 0 EFKO Groupw w 0 CSC Groupw w 0 Major-Autow w 0 Uralo-Sibirskaya Metallurgicheskaya Kompaniyaw w 0 Oboronstroyw w 0 YUNPKw w 0 Pipe Innovation Technologiesw w 0 Novoshakhtinskii Zavod Nefteproduktovw w 0 Krastsvetmetw w 0 Trans Naftaw w 0 SIA Internationalw w 0 GAZFONDw w 0 Ulmartw w
6 0 Metallokomplekt-Mw w 0 RIFw w 0 Alfa Bankw w w0 New Stream Groupw w w0 Tashirw w w0 Forteinvestw w w0 Sodrugestvow w w0 Drilling company "Eurasia"w w w0 Velesstroyw w w0 Eurosetw w w0 Best price (Fix Price)w w w0 Avtomirw w w0 Transaero,Spetsstroyinzheniring,Morton 6 CENTER TRANSPARENCY INTERNATIONAL R HIGHLIGHTS 41companiesdid not receive a single point based on the results of the study 32companiesreceived either 5 or higher points out of 10 possible points 5companieshave a confidential commu-nications channel for reports on corruption offenses.
7 Allow-ing them to establish two-way communications with the informant 2multinational companies gained more than 50 %1 in all three parts 4the largest com-panies by revenue do not have a cur-rently operating web site1 Hereinafter, the percentage of information disclosed by the company in open source28 %80 %14 % 166companiescompanies do not regulate contributions for political activitiesof companies do not disclose any information about their subsidiaries and associates where they operate in Russia and abroad of companies have not introduced the ban on facilitation paymentsof companies publish CEO message in sup-port of the anti-corruption policy pursued by the company9 TRANSPARENCY IN CORPORATE REPORTINGINTRODUCTIONThe
8 Study TRANSPARENCY inter-national R TRANSPARENCY in CORPORATE REPORTING assesses the disclosure of the 200 larg-est Russian companies by rev-enue from the RBC-20162 rat-ing on their official websites3. Most companies in the survey sample are included in the list of the so-called backbone enterprises of the Russian Federation4. Their profits form more than 70 % of the total na-tional income, and tax deduc-tions to budgets of all levels are an essential source of the revenue side of the Russian budget.
9 The economic, political and social influence of these companies is enormous. What information do they disclose about themselves?The study evaluates the TRANSPARENCY of companies in three areas underlying the index with respect to: >their anti-corruption programs >organizational TRANSPARENCY of company holdings >the disclosure of key financial information on a country-by-country basisThe objective of the study, on one hand, is to increase the overall level of TRANSPARENCY and public accountability in the private sector, and on the other hand.
10 To record the degree of disclosure practices of the commercial sector in Russia before introducing changes to domestic legisla-tion within the framework of the programs to combat the erosion of the tax base (Base Erosion and Profit Shift-ing BEPS). The study is not aimed at incriminating those or other companies in dishonest business, its main purpose is to draw attention to Russian big business representatives, state authorities, investors and citizens to the overall level of TRANSPARENCY of companies with re-spect to their anti-corruption programs, subsidiaries and countries of and accountability are the two main tools for combating corruption in all sectors of the economy.
