!..5!,Ç2%0/24Ç`Ç COMPANYÇPROFILE MANAGEMENT, VISION AND VALUES AbOUT US Trace Group Hold plc takes part in any sliding areas and emergency reconstruction activities activity related to construction and enterprises at times of natural disasters. associated with it. Trace Group Hold plc is very successful Trace Group Hold plc takes part in in the field of high construction. projects of national and regional importance The holding carries out projects under the and international projects, as well. Its market Operative Programs of the European Union. It activity includes construction, reconstruction meets the requirements and criteria for participation and rehabilitation of roads, highways, airports, in international procedures of NATO through the underground stations and underground railways, NATO Agency for Maintenance and Supplies. ground railroads and facilities, urban infrastructure Trace Group Hold plc is a Bulgarian group and road marking. which performs its activities in conformity with The group constructs water-supplying and gas- the strict quality requirements and criteria of the distributing networks and wastewater treatment plants. international construction industry. Participates in the national program for strengthening 4 ANNUAL REPORT Trace Group Hold plc has been a public Trace Group Hold plc is a member of the company since December 2007 when it set a Bulgarian Construction Chamber, the Bulgarian record in oversubscription of initial public offers Branch Chamber “Roads”, the Bulgarian Industrial of 200 000 new shares at the Bulgarian Stock Capital Association and of the Bulgarian Chamber Exchange - Sofia. of Commerce and Industry. THe HoldinG incorporaTes over 23 inTerconnecTed companies with headquarters at ThE main regional centers in BUlgaria. 2/-!.)! 3),)342! 6)$). 2/53% 2!:'2!$ $/"2)#( -/.4!.! 0,%6%. 3(5-%. 62!43! 6!2.! 6%,)+/ 3%2")! 4!2./6/ 4!2'/6)3(4% ,/6%#( '!"2/6/ ",!#+ 3/&)! 3/&)! 2%')/. 3,)6%. 0%2.)+ 3%! "52'!3 34!2!Ç:!'/2! 9!-"/, +934%.$), 0!:!2$:()+ 0,/6$)6 (!3+/6/ ",!'/%6'2!$ +!2$:(!,) &92/- 3-/,9!. 452+%9 '2%%#% ANNUAL REPORT 5 corporate management Good corporate management is crucial for allow for establishing of efficient risk control and achieving the strategic goals of Trace Group management, and timely consideration of the Hold plc. Its main objective is long-term regulation changes and acquiring of information. stable results and benefits for the shareholders, The corporate management of Trace employees and the society as a whole. Group Hold plc is a system of clearly defined The management of the group is based on functions, rights and obligations at different levels internationally recognized standards of good - the Board of Directors of the group, managing corporate management, accepted by the European bodies and boards of directors of the subsidiaries Community and the National Code of Corporate and their executives. Management. as a public company, Trace Group Hold plc The Board of directors manages the holding observes the principles of transparency, equality, and takes all decisions about its activity with the accountability and objectivity. These values exception of those which are up to the general are the core of its business practice and they Assembly of the shareholders. 6 ANNUAL REPORT bOARD Of DIREctors assoc. prof. dipl.- dipl.-eng. dipl.-eng. eng. dr. Tsvetan Tsonev ivan Hristov nikolay mihaylov CEO and deputy Chief Administrative Chairman of the Board chairman of the Board and human Resources of Directors of of Directors of Executive and a Trace Group HolD PlC Trace Group HolD PlC member of the Board of Directors of Trace Group HolD PlC manol denev miroslav manolov prof. dipl.-eng. dr. academician Commercial Director Chief legal Adviser ivan Trifonov anton donchev and a member of the and a member of the An independent An independent Board of Directors of Board of Directors of member of the Board member of the Board Trace Group HolD PlC Trace Group HolD PlC of Directors of of Directors of Trace Group HolD PlC Trace Group HolD PlC ANNUAL REPORT 7 VISION AND values Eng. Martin Slavov, European Сommissioner of Regional Policy Paul Sametski, Minister of Regional Development Rosen Plevneliev and the Chairman of the Board of Directors of TRACE gROUP hOlD PlC Prof. Dipl. -Eng. Dr. Nikolay Mihaylov (from left to right) The autonomy of Trace Group Hold international projects. we guarantee: plc and its good corporate management •High quality in all aspects of our work are starting points in carrying out major infrastructure •Observing the main principles of engineering: projects of international, national and regional safety, reliability, latest technology, efficiency importance. and aesthetics european quality, efficient conceptions •Preservation of environment and society and competitive prices are the advantages of •Benefits for the clients, contractors and society the holding company. Its employees are united by We are proud with establishing creative and common values, the most important of which are: professional relations within Trace Group HolD •Sustainability PlC and we are equally proud with the honest and •Excellence creative cooperation with suppliers and clients, •Safety universities and academic organizations, Bulgarian •Innovation and foreign companies. These relations are deeply •Reliability rooted in the mutual respect for personal and it is important for us to play an efficient cultural differences. Such relations help us to build role in the development of Bulgaria inside and facilities which make our life easier and better. outside its boundaries by participating in major 8 ANNUAL REPORT PROJEcTS AccOMPLISHED TRAkIA motorwAy LOT 1 Country: republic of Bulgaria Employer: national road agency, Project: Trakia motorway - loT 1 - Republic of Bulgaria Orizovo - stara Zagora Financing: nri Fund, Budget of Bulgaria from km 171+360 to km 210+100 Project budget (EUR): 93 038 943 € Construction type: new construction Construction started: 04.03.2003 Construction completed: 05.10.2007 The new route of Trakia motorway, which two mobile asphalt plants with a capacity exceeding is part of Corridor № 8, connects Chirpan with 200 tons/hour, and the aggregates were supplied Stara Zagora and provides a direct link between from four fixed and three mobile crushing plants. Sofia and Stara Zagora. Improved road conditions excavations: 8 687 504 m3 and removal of transit traffic increase traffic safety embankments: 4 551 830 m3 and comfort of passengers, reduce road distances, Base of crushed stone: 578 500 m3 travel time, transportation and operating costs. asphalt works: 831 805 t average per day more than 4700 tons of Bridge structures: 27 pieces asphalt were paved. Average per day 4 km of elastic concrete works: 81 112 m3 fence was installed. The huge overpass over the reinforcing steel: 2 800 t railway line Sofia-Burgas (2 x 150 m) was built in less Bridge beams: 606 pieces than 180 days and the last overpass at km 209+300 drainage: 35 000 m - for thirty days (from 20.08.2007 to 20.09.2007). Trenches: 88 000 m scope of the works: Directly involved in assembly culverts: 5 000 m and construction activities throughout the area Orizovo Fence: 84 000 m - Stara Zagora km 171+360 to km 210+100 were Guard railings: 135 500 m over 1000 people, 300 trucks and highly specialized Horizontal marking: 45 000 m2 road construction equipment. For the fast, efficient landscaping - trees and bushes: 60 000 pieces and professional project completion were installed Grassing: 247 018 m2 10 ANNUAL REPORT ROAD I - 7 Country: republic of Bulgaria Employer: national road agency, Project: road i-7 “elhovo - Granitovo - Republic of Bulgaria Lesovo - new Border checkpoint” Financing: nri Fund, Budget of Bulgaria from km 0+000 to km 20+858 Project budget (EUR): 19 587 494 € Construction type: new construction Construction started: 2001 Construction completed: 2006 Basic types of construction and installation work drainage system - 18 960 m performed on site: pipe and slab culverts - 1 400 m earthworks - 1 592 550 m3 Bridge structures - 10 pieces, of them asphalt works - 98 500 t underpasses - 6 pieces, overpasses - 2 concrete works - 6 860 m3 road junction “Trumpet” at km 8+705 - 1 piece crushed-stone surface - 113 950 m3 road junction “Trumpet” at km 4+082 - 1 piece ANNUAL REPORT 11 AIRPORT “GRAf ignatievo” Country: republic of Bulgaria Financing: ministry of defence Fund, Project: reconstruction of airport Budget of Bulgaria “Graf ignatievo” Project budget (EUR): 16 783 938 € Construction type: reconstruction Construction started: 01.04.2001 Employer: ministry of defence, Construction completed: 01.07.2001 Republic of Bulgaria scope of the works: Treatment of cracks and joints with •Reconstruction of the runway for takeoff polymer-modified paste - 164 495 m and landing light system - laying 200 km of cable •Reconstruction of pathways for taxiing vertical signalization •Reconstruction of aircraft parking lots Horizontal marking - 25 000 m •Installation of lighting system of runways drilling crossings - 27 pieces, each of 90 m Basic types of construction and installation works performed on site: military airport “Graf ignatievo” was the asphalt works - 245 000 t concrete works - 11 000 m3 largest construction project in Bulgaria in 2001. earthworks - 99 189 m3 Its reconstruction was carried out for three Geo-grid placing - 136 000 m2 months. This allowed the conduct of the largest drainage system with pipes Ø200, Ø400, training program for Eastern Europe by NATO: Ø500, Ø600, Ø800 - 7 000 m “Cooperative Key