In line with its social policy concept, in 2005 the Bank focused in particular on cooperation with the World Wildlife Foundation (WWF). Alfa-Bank is a proud member of the Foundation's Corporate Club and was one of the first Russian banks to provide financial support to WWF programs. The World Wildlife Foundation is one of the world's largest non-governmental charitable organizations, with a history that goes back over 40 years. Every year the WWF implements more than 1,200 environmental projects, alerting millions of people worldwide to environmental issues. The WWF's mission is to prevent environmental degradation, and its main goal is to preserve biodiversity. The Foundation's priorities include the preservation of ecological regions and the protection of rare animal and plant species. The Foundation receives more than 50 percent of its funding from corporate and individual donors. WWF Russia has recently celebrated its tenth anniversary. Over many years of activity in line with its approved, comprehensive environmental strategy, the Foundation has launched forest, marine and climate programs, and is continuing to focus on preserving rare animal and plant species, establishing and supporting specially protected natural areas, and developing environmental legislation. In Russia, 16 eco-regions have been identified, and it is these on which the Foundation is concentrating its efforts. More than 3,000 experts are involved in WWF Russia's projects today. The challenges facing the Foundation cannot be addressed unless governments, corporations and individuals pool their efforts. Global problems must be tackled at all levels - global, national, regional and individual. There is a pressing need to change attitudes to the environment and to start thinking environmentally. Alfa-Bank has decided to provide large-scale support to the WWF because Russia cannot prosper spiritually and materially unless its natural and cultural legacy is preserved. It is our profound conviction that all business entities have an obligation to take part in resolving societal problems and to assist governments in this area. For WWF Russia, cooperation with Alfa-Bank is not just a matter of obtaining additional funding for its programs. Through this partnership, the Foundation has acquired a unique opportunity to check the effectiveness of its policies, to assess objectively the strength of its arguments, and to receive feedback from at least one segment of the general public. No less important is the fact that the Bank's clients have become involved in addressing environmental issues. The launch by Alfa-Bank in conjunction with WWF Russia of a special twin-branded card enabling clients to contribute to conservation programs in Russia is an outstanding illustration of the commitment outlined above. Alfa-Bank employees have become actively involved in charity programs. Many have made voluntary contributions to help children with severe health problems and to support environmental programs in Russia. This willingness to contribute is not just a manifestation of corporate solidarity. This is a worthy example to follow. The attached Report provides an insight into Alfa-Bank main activities in such areas as charity, support for Russian culture, sports and education. Alexander Gafin Member of the Board of Directors Alfa-Bank Board Member WWF Russia Igor Chestin Director WWF Russia No business can exist in isolation from society and the challenges society faces. It is no coincidence, therefore, that the Bank seeks to be actively involved in addressing environmental and other developmental issues in Russia. This desire is a logical extension of the Bank's clearly formulated policy. The words "ecology" and "economy" share a common root - "oikos", meaning "home" or "homestead". Preserving the social, cultural and natural environment is a prerequisite of successful business development. COOPERATION AGREEMENT WITH THE WORLD WILDLIFE FOUNDATION (WWF) On 3rd March 2005, Mikhail Fridman, Chairman of the Alfa Group Board of Directors and Alfa-Bank Board of Directors, and Igor Chestin, WWF Russia Director, signed a Cooperation Agreement. The main objectives of this Agreement include funding environmental projects and making raising public awareness of environmental issues and conservation programs in Russia, in particular the Live Planet Project. This Project seeks to protect regions that are key to the preservation of global biodiversity (Global 200), the protection of rare and endangered animal species, and changing natural resource consumption patterns. "Preserving Russia's natural and cultural legacy is an indispensable prerequisite of the nation's spiritual and material prosperity, and therefore we have decided to provide large- scale support to the Foundation", Mr. Fridman noted. The launch of this strategic cooperation program between Alfa-Bank, other members of the Consortium and the WWF is evidence that the Russian business community is now cognizant of the challenges facing the human race and of its responsibility to future generations. In addition to funding projects and initiatives under the aegis of WWF Russia, the Consortium's member companies are committed to promoting WWF goals amongst their own staff. VISA CLASSIC INTERNATIONAL CARD Alfa-Bank has teamed up with World Wildlife Foundation (WWF) Russia to issue a jointly branded Alfa-Bank Express - WWF Russia card that enables cardholders to contribute to the cause of environmental protection in Russia. While cardholders use the card as they would use any other plastic card, the Bank donates to the WWF 0.3 percent of the value of each purchase made. The funds received will be used to finance priority environmental projects such as setting up national parks, preserving the Amur tiger population and other endangered species. In addition, Alfa-Bank offers its clients the opportunity to make lump-sum contributions to WWF Russia or to set up a monthly direct debit transfer to the Foundation. Once a client's annual contribution exceeds 300 roubles he or she is mailed a WWF Russia Supporter Certificate, together with a Welcome booklet and Panda badge. If the Bank client's annual contribution is over 3,000 roubles he or she is granted the honorary title of Earth Custodian. Each Custodian receives a silver Panda badge, a certificate issued in his or her name, and an opportunity to participate in WWF events, including trips to protected areas and national parks of Russia. DANISH PRINCE THROWS CHARITY BALL IN MOSCOW WWF Russia and Alfa-Bank organized a charity ball hosted by WWF Denmark's Honorary Chairman, His Royal Highness Prince Henrik of Denmark during his visit to Moscow. The Danish prince's visit to Russia was in connection with the celebration of the 100th Earth Gift given by Krasnoyarsk region (Governor Alexander Khloponin), where 14 new special protected areas covering a total of three million hectares are to be established. This initiative was launched in 1996 when the WWF called upon all people to make Earth Gifts. Many government officials, as well as representatives of the business community, have already made considerable environmental commitments. As of today, the Earth has received 100 gifts, including 80 from various governments, totaling approximately 160 million hectares of new protected areas - a land mass four times the size of Germany. "EARTH: AN UNKNOWN WORLD" PHOTOGRAPHIC EXHIBITION Alfa-Bank provided financial support for a photographic exhibition entitled "Earth: An Unknown World" at the Tyumen Museum of Fine Arts and the Vrubel Museum in Tomsk, at which more than 150 photographs from "GEO" Magazine were displayed. The photographs illustrated the four points of the compass - North, South, East and West - and depicted African tribal rituals, rites of Tibetan monks, pygmies hunting elephants, the everyday life of the Eskimo people, a corrida in Spain, Tunisian bridal dances, the giraffe women of the Palaun tribe etc. "We were delighted to respond positively to the invitation to sponsor the "Earth: An Unknown World" photographic exhibition, because we were convinced that it would not only provide a fascinating and educational journey for a very broad audience, but would also make many people think about the need to cherish the amazing treasures of our planet", said Ruslan Khvesyuk, Chairman of the Alfa-Bank Managing Board. At the exhibition opening ceremony in Tyumen, Alfa-Bank representatives presented the Tyumen Region Museum of Fine Arts with an engraving by Ivan Shishkin. "ROUND-THE-WORLD" PHOTOGRAPHIC EXHIBITION Alfa-Bank sponsored the "Round-the-World" photographic exhibition held in the Nizhny Novgorod regional parliament building. Unique photographs by journalist, photographer and traveler Andrey Gudkov were displayed in an exhibition entitled "Africa: The Cradle of Civilization - Kenya and the Congo". These included more than 60 pictures taken in equatorial Africa, including remote jungles in the Congo and Kenya's world-famous national parks. Amongst the exhibition's organizers and partners were the World Wildlife Foundation (WWF) and the Russian International News Agency RIA Novosti. The Life Line Program is aimed at people who are concerned about the nation's health, who are willing to help in the fight against infant mortality, and who are committed to bringing joy, happiness and smiles back to thousands of children in Russia. Alfa-Bank is a Life Line Program partner. The Program's primary objective is to provide targeted support to children with severe health problems that can