PAO Severstal announced its plans for the change of Chairman and CEO. Alexey Mordashov intends to step down as CEO of Severstal Management and to be elected as Chairman of the Board of Directors of Severstal. Vadim Larin, currently COO of Severstal Management, is expected to become new CEO of Severstal Management.

The position of COO will no longer exist. These appointments are due to take effect on 26 May 2015. The announcement follows Severstal's update on 5 March 2015 which stated that, in line with the company's focus on ensuring leading standards of corporate governance, the Company's shareholders are proposing the election at the Annual General Meeting of Shareholders on 25 May 2015 of three new Independent Non-Executive Directors to Severstal's Board: Alexander Auzan, Sakari Tamminen and Vladimir Mau.

These appointments coincide with the retirements of Christopher Clark, Independent Non-Executive Chairman, Martin Angle, Independent Non-Executive Director, and Rolf Stomberg, Independent Non-Executive Director, each of whom have served on the Company's Board for almost nine years since Severstal's IPO on the London Stock Exchange in 2006. The company also announced that Sakari Tamminen, pending election as an Independent Non-Executive Director at the AGM, is expected for election to the position of Senior Independent Director. Mr. Tamminen is expected for election as Chairman of the Remuneration and Nomination Committee.

Alun Bowen, Independent Non-Executive Director, is expected for election as Chairman of the Audit Committee. Philip Dayer, Independent Non-Executive Director, is expected for election as Chairman of the Health, Safety and Environment Committee. Severstal's Board will remain 10 persons with 5 of them being Independent Non-Executive Directors.