Communication matters'

1

• Communication matters.
• The value of professional IPO communications.
• IV International IR Conference, OSSI
• Moscow, February 15, 2008
• Mirko Wollrab
• Partner CNC AG

2
Going Public
3
IPO timetable and milestones
Positioning
IPO
Being Public
1. Day of trading
Pricing
Prospectus, Start of roadshow
Research Reports
Intention to float
Interviews and background talks
Analyst presentation
Up to six months prior to IPO
About 4 weeks
Ongoing

• Leverage IPO to raise awareness for product and
  brand
• Perfect Timing and tailor-made comm strategy to
  build optimal momentum for roadshow
• With being public, use standing of Deutsche
  Börses transparency standards to build
  reputation

4
Different media attention in Frankfurt and London
Share of media coverage
Overall volume of IPO-related press coverage
Your share in IPO-related press coverage

• Ongoing high interest on foreign IPOs
• High media interest of both financial and general
  interest media
• Various opportunities to raise awareness prior to
  IPO
• Leading TV-Stations cover IPOs

• IPO coverage in financial media only
• Legal framework restricts pre-IPO communications

5
Use high media interest for positioning
News wires
Daily Newspapers
Magazines
Retail investors
6
TV coverage

• International Business TV with high relevance for
  institutional investors
• Public television like ARD or ZDF in Prime time
• German and international TV Stations
• Multiple coverage on Roadshow press conference
  and on First day of trading (FSE)

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Hits and hurdles for your equity story
Before you start to communicate, you have to know
the expectation of the financial community
Supportive for communications
Possible Issues

• Immense media interest for foreign companies
• IPO proceeds for growth its not another PE-Exit
• Family owned company with a higher credibility
• Clear commitment of management to open
  communications
• Clear relationship between the company,
  shareholders and public figures

• Valuation differs, or is perceived as too high
• No financial track record
• Track record of Management
• Tainted image due to stereotypes or other
  Russia-IPOs
• Lack of transparency
• Open questions with protection of minority
  shareholder rights

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Wrap ups for your Going Public
1. IPO communications belongs on boardroom level.
2. Perfect Timing to leverage positioning and
bookbuilding
3. Stay flexible
Going Public
4. Capitalize on media interest
5. Role play between shareholders and management
6. Choose partners with the right track record
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Being Public
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Transparency requirements

• Prime Standard
• In addition to General Standard transparency
  regulations
• Quarterly reports (? German language for
  non-German companies not mandatory)
• Reporting in English
• Publication of financial calendar
• Analyst conference

• General Standard
• Annual financial statement and interim report
  (IFRS)
• Publication of directors dealings
• Ad hoc disclosures
• Announcement of reporting thresholds
• Compulsory offer with change of control
• Interim reports for Q1 and Q3

• Entry Standard
• Publication of audited financial statements and
  management report no later than six months after
  end of reporting period (IFRS)
• Publication of company profile and calendar of
  company events
• Publication of the interim report no later than
  three months after the end of the first half of
  the fiscal year
• Immediate publication of important corporate news

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Schedule for Investor Relations
Q2
Q3
Q4
Q1
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Annual statement
AGM
Company
Q2
Q3
Q1
Preliminary figures

• Media
• Annual press conf.
• Conference Calls
• Interviews
• Investor News
• Ad hoc releases

x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x

• Investors
• Roadshow
• Investorenkonf
• Analystenkonf.
• Geschäftsbericht
• One-on-Ones

x
x
x
x
x
x
x
x
x
x
x

• Shareholder
• AGM
• Newsletter
• Shareholder letter

x
x
x
x
x
x
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Management exposure (Prime Standard)
Estimation for a prime standard listing, with
full time IR Manager employed, during a year.
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Wrap ups Being Public
1. IR partner in Frankfurt essential
2. Integrate IR manager as early as possible
3. Budget Good IR without spending a fortune
Being Public
4. Liquidity and Deutsche Börse Services to build
reputation
5. German language (Reports, website, releases)
not mandatory, but helpful
6. ...
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Market leader in IPO communications since 2005
2005
2006
2007
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Profiles
Jörg Graf zu Dohna Partner CEO CNC RUS LLC Moscow
Mirko Wollrab Partner CNC AG Frankfurt

• Jörg zu Dohna is partner of CNC as well as CEO of
  the CNC office in Moscow.
• Prior to joining CNC, Jörg Graf zu Dohna was
  founder and CFO of Tadoro AG, Berlin.
• Between 1997 and 2000 he assisted and implemented
  various transactions (MBO, MBI) in his role as
  Investment Manager atGBK-AG, Hamburg.
• From 1993 until 1997 he held various positions in
  the privatisation department of the Berlin
  Treuhandanstalt.
• He has relevant experience in investor relations,
  private equity, privatisations and company
  formation, financing and organisation.
• Jörg Graf zu Dohna studied forestry science in
  Göttingen and completed an MBA programme at the
  University of Wales, Cardiff.

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Our contacts
CNC Frankfurt Communications Network Consulting
AG Mirko Wollrab Partner CNC AG WestendDuo Bocke
nheimer Landstraße 24 D-60323 Frankfurt am
Main T 49 89 59 94 58-0F 49 89 59 94
58-100E info_at_cnc-communications.com
CNC Moscow CNC (RUS) LLC Jörg Graf zu
Dohna Partner, CEO CNC RUS LLC World Trade
Center-I Krasnopresnenskaya nab. 12, Entrance 3,
office 1303, 123610 Moscow T 7 (495) 787 77
40 F 7 (495) 787 77 41 E moscow_at_cnc-communication
s.com