Press release for journalists and media in Kirov

From December 21, 2015, to May 5, 2016, a series of publications (also duplicated on the portal http://www.newsler.ru) appeared in the newspaper "Reporter," in which JSC "AVVA RUS" was essentially accused of violating environmental legislation.

On December 28, 2015, regarding these publications, I stated my position in the newspaper Business News and promised to inform journalists and the public about further developments. The interview was published under the headline "Hooray, We Are Breaking. The Swedes Are Bending... or How the Descendants in Vyatka Decided to Revive the Glory of Their Ancestors."

Fulfilling this promise, I hereby inform you that in May 2016, JSC "AVVA RUS" filed a lawsuit with the Arbitration Court of the Kirov Region against LLC "Editorial Office of the Newspaper 'Nash Variant'" (INN 4346042393 OGRN 1034316516200, legal address: 610033, Kirov, Moskovskaya St., b. 122, office 613) for the protection of business reputation (Case in the file of the Arbitration Court of the Kirov Region No. A28-6563/2016).

On December 6, 2016, the Arbitration Court of the Kirov Region issued a decision:

Partially uphold the claims of JSC "AVVA RUS" (121614, Moscow, Krylatskie Kholmy St., building 30, building 9; OGRN 1034316534394; INN 4347024686) against Limited Liability Company "Editorial Office of the Newspaper 'Nash Variant'" (INN 4346042393 OGRN 1034316516200, legal address: 610033, Kirov, Moskovskaya St., b. 122, office 613).

Recognize as untrue and damaging to the business reputation of JSC "AVVA RUS" (121614, Moscow, Krylatskie Kholmy St., building 30, building 9; OGRN 1034316534394; INN 4347024686) the following information disseminated by Limited Liability Company "Editorial Office of the Newspaper 'Nash Variant'" (INN 4346042393 OGRN 1034316516200, legal address: 610033, Kirov, Moskovskaya St., b. 122, office 613):

"The pharmaceutical enterprise 'AVVA RUS' arranged an unauthorized discharge of polluted waters";

"Unauthorized emissions from the pharmaceutical company 'AVVA RUS' were found to contain antibiotics and almost the entire periodic table";

"'AVVA RUS' is the real culprit behind the smells that troubled the nostrils of Kirov residents in the summer";

"'AVVA RUS' gets rid of its waste by simply dumping it on its neighbors";

"The pharmaceutical company 'AVVA RUS', which was caught illegally dumping an unknown dirty-brown substance emitting a suffocating stench onto the territory of the neighboring Kirov Biochemical Plant (BKhZ)";

"The enterprise illegally dumped its production waste onto the territory of the neighboring Biochemical Plant (BKhZ)."

Oblige Limited Liability Company "Editorial Office of the Newspaper 'Nash Variant'" (INN 4346042393 OGRN 1034316516200, legal address: 610033, Kirov, Moskovskaya St., b. 122, office 613) to issue a retraction of the aforementioned information that is untrue and damaging to the business reputation of JSC "AVVA RUS":

by publishing in the same format and on the same page of the newspaper "Reporter" a notice about the satisfaction of the claims in the form of the operative part of the decision in case No. A28-6563/2016;

by publishing on the website www.newsler.ru a notice about the satisfaction of the claims in the form of the operative part of the decision in case No. A28-6563/2016.

Regarding the remaining disputed information (publications and information), the Court considered that this part of the disputed information, in itself, cannot be viewed as reports of facts - of bad faith by JSC "AVVA RUS" in conducting production, economic, and entrepreneurial activities, violations of business ethics or customs of business turnover, which diminish the business reputation of a legal entity. The text of the remaining publications is of the nature of value judgments. The disputed text, in the court's opinion, is a manifestation of the author's subjective opinion. The court concluded that in this part, the challenged information is based on the author's own impressions and expresses the author's subjective opinions and views (clause 9 of the Resolution).

Taking into account the court's decision, the results of inspections conducted by Rosprirodnadzor (Russian environmental watchdog) and law enforcement agencies regarding the facts stated in the articles of the newspaper "Reporter," which essentially complicated the Company's operations, I bring to your attention an Open Letter which I am addressing to the editor-in-chief of the newspaper "Reporter."

If you decide to publish this material in your publications, I would be very grateful to you for that.

Sincerely,

General Director of JSC "AVVA RUS"

Alexey Glebovich Egorov

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