1. reasons to invest in the Voronezh Region 5 Government of the Voronezh Region

2. The Voronezh Region boasts a favourable investment climate

3. Investment increase rate in the Voronezh Region is considerably higher than that for RF 377 207207 Voronezh Region Russian Federation (RF) 1.8 times % against 2000 year 0 150 300 450 '01'02'03'04'05'06'072009'08

4. 2010: top-10 “Highest Level of Investment Attractiveness” Decrease of investment risk According to RA “Expert”: Russia’s leading rating agency 2007200820092010 3 7 18 68

5. 5 reasons why investors choose the Voronezh Region 5 Favourable geographical position » Ample HR and research potential » A wide range of Regional Government incentives » Industrial Parks with developed infrastructure » Experience in implementation of large-scale investment projects »

6. 12345 Favourable geographical position

7. 2 3 4 5 1 7 Voronezh is located near European and Asian markets Voronezh Moscow Europe Asia Near East

8. 2 3 4 5 1 8 Voronezh is a junction of transport and logistic routes Transport corridors: ●“North – South” ●“West – East” Voronezh Moscow St. Petersburg Novorossiysk Ufa Kyiv

9. 2 3 4 5 1 9 Rivers Well-developed transport infrastructure Area of the Region = 52 200 km² Transport hubs Rail Motorways Voronezh Lyski Rossosh Borisoglebsk Novorossiysk Belgorod Kursk Moscow Tambov Saratov Volgograd Astrakhan International airport

10. 2 3 4 5 1 10 Vast product market: about 35 million customers within a radius of 500 km Kursk Bryansk Kaluga Lipetsk Moscow Tambov Saransk Penza Orel Saratov Rostov-on-Don Voronezh Ryazan Vladimir Tula Volgograd Kharkov Belgorod Lugansk

11. 12345 Ample HR and research potential

12. 1 3 4 5 2 12 Investors can easily find skilled workforce secondary vocational higher Population in millions: 2.3 — Voronezh Region 0.9 — the City of Voronezh HR — 1.4 million people (61%), with education:

13. 1 3 4 5 2 13 2 nd place after Moscow according to number of Schools of Higher Learning and students (Central Federal District) 39 schools of Higher Learning 130 000 students 220 majors 50 technical/vocational schools 25 000 students 66 R&D organizations

14. 12345 Wide range of Regional Government incentives

15. 1 2 4 5 3 “ The Government of the Voronezh Region guarantees full support to companies implementing investment projects in our Region 15 Aleksey Gordeyev — Governor of the Voronezh Region ”

16. 1 2 4 5 3 16 construction of engineering infrastructure Regional Government incentives for “High Priority” projects Co-financing of interest rate on credit acquisition of farm machinery, forage, cattle, fertilizer Subsidizing of preferential terms of land plots lease Land plot acquisition exemption: up to 8 yearsProperty tax reduction of rate: up to 8 yearsProfit tax

17. 1 2 4 5 3 17 5 easy steps for obtaining preferences Step 1 Agreement of intent Step 2 Preliminary agreement on the facility location Step 3 Assignment of a “High Priority” status to the project Step 4 Inclusion of the project in the Program of Social and Economic Development of the Region Step 5 Investment agreement

18. 1 2 4 5 3 18 “One-stop” approach: “Investment Attraction Agency” ●Selection of plots ●Investment project support from the start of implementation ●Effective interaction with Government Authorities

19. 12345 Industrial Parks with developed infrastructure

20. 1 2 3 5 4 20 Partial financing of infrastructure by the Government of the Region Motorways Electric power Treatment facilities Gas Rail

21. 1 2 3 5 4 213 2 3 special-purpose Industrial Parks 1.“Maslovsky” industrial production 2.“Semiluksko- Khokholsky” construction industry 3.“Bobrovsky” food and food- processing industry Semiluky Bobrov Maslovka1 Voronezh

22. 1 2 3 5 4 Industrial Park “MASLOVSKY”: area over 500 hectares 16 km LTF (Local treatment facility) South-East Rail main Highway М4 Moscow-Novorossiysk Motorway Voronezh-Novovoronezh Voronezh EPS (Electric power substation) Gas pipeline

23. 12345 Experience in implementation of large-scale investment projects

24. 1 2 3 4 5 24 Significant investment projects and volume of investment, million rubles 16 000 400 900 7 900 131 000 3 400

25. 25 Reasons to invest in the Voronezh Region Favourable geographical position Ample HR and research potential Wide range of Regional Government incentives Experience in implementation of large-scale investment projects 5 Summary: Industrial Parks with developed infrastructure

26. 26 Welcome to the Voronezh Region! Alexander Gusev Vice-Governor, First Deputy Chairman of the Voronezh Region Government +7 473 255–38–78 AGusev@ govvrn.ru www.govvrn.ru