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ALROSA

March 4, 2011

Decision of the Market Conjuncture Panel

On March 4, 2011 the meeting of ALROSA’s Market Conjuncture Panel took place, chaired by the Company’s President Fyodor Andreev. The panel reviewed the actual situation on the markets of rough and polished diamonds and the current price policy of ALROSA.

In connection with a strong growth of demand for polished diamonds, the Market Conjuncture Panel resolved that polished diamonds sized over 1 carat will be sold only on a tender basis, instead of the former practice of selling polished diamonds of this category under one-time contracts. The decision became effective immediately upon its approval by the Panel.

All the Company’s obligations to supply polished diamonds to its customers who bought the goods under one-time supply contracts before March 4 will be performed in full in compliance with the terms and conditions of those contracts.

 

 

 

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