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SOCHI IS TO HOST THE 2014 WINTER OLYMPICS

On 4 July 2007, the holiday resort of Sochi was declared the official capital of the 2014 Winter Olympic Games. Even earlier, the Russian Government had adopted a Federal Targeted Programme “Development of the City of Sochi as a Mountain and Climatic Health Resort”. The total cost of the Programme is over 9 billion euros, of which 3.5 billion will come from off-budget sources. Still earlier, 18 months ago, theKrasnodar Territory adopted a Master Plan for development of the Sochi holiday resort. The coordinated efforts of all levels of government have given a boost to the economy and attracted an inflow of funding: the volume of foreign investments in Sochi increased tenfold to 55 million euros during 2006. Total investments in Sochi’s development increased from 400 to 560 million euros within a year.

The Programme envisages construction of more than 250 facilities, including fifteen new sports centres forming two clusters, one on the coast and the other in the mountains.

The former will centre around the Olympic Park, which will have an Olympic stadium and a square for award ceremonies, the Olympic Village, the main media centre, hotels and five ice sports arenas.

The Sochi-2014 mountain cluster, the most modern ski resort in the world, will be created at Krasnaya Polyana. It will comprise biathlon and ski complexes (20,000 and 16,000 places respectively),a bobsleigh track (11,000 places), a mountain Olympic Village (2000 places), ski jumps, a snowboard park and a freestyle centre. All the facilities at the mountain cluster are financed by private investors.

WHY IT MAKES SENSE TO INVEST IN THE KRASNODAR TERRITORY

The Krasnodar Territory (the southernmost Russian region) is a bridge between Europe and Asia.

The three international transport corridors passing through it provide the shortest land, water and air routes between the countries of Europe, the Mediterranean, the Middle East and Central Asia.

Highly skilled and competitive manpower.

A wide range of skills.

Considerable economic potential.

Steady positive GRP dynamics driven by growing goods and services production in the main sectors of the economy.

More than sixty types of mineral, from oil and gas to building materials.

1.5 million hectares of forests, mainly of valuable species.

Fertile agricultural land supporting the full spectrum of moderate-belt crops and some subtropical ones.

The region is the leading agricultural producer in Russia.

A well-developed transport infrastructure.

The region has three international airports, 8 seaports, and Southern Russia’s biggest railway hub, which is also one of the biggest in the whole country. The region has the best roads anywhere in Russia.

Unique recreation resources support development of virtually all types of tourist and recreation industry.

All Russia’s main seaside resorts are concentrated in the region, along its 1161 Km. coastline. Favourable investment climate.

The Krasnodar Territory is among the top ten Russian investment regions.

Fitch Ratings - (London-Moscow) has awarded the Krasnodar Territory long-term BB ratings in foreign and national currencies and a short-term B rating in foreign currency. The Krasnodar Territory has the national long-term AA- rating. The long-term rating forecast is “Stable”.

Standard & Poor’s has revised its rating forecast for the Krasnodar Territory from “Stable” to “Positive”. Moody’s Investors Service Ltd has awarded the Krasnodar Territory a Ba1 issuer rating on the international scale in national currency. The rating forecast is stable. By the same token, the rating agency Moody’s Interfax, in which Moody’s has the controlling stake, has awarded the territory an Aa1.ru rating on the national scale.

Rapidly developing financial sector.

The territory traditionally attracts banking structures and is one of the top ten Russian regions in terms of banking penetration.

INNOPROM 2011

INNOPROM-2011, an annual exhibition on progressing Russia's innovative economy, will take place in Ekaterinburg on June 14-17, 2011. The Skolkovo Foundation, an INNOPROM partner, will present a number of major projects from its residents and sign documents with government authorities and institutes of higher education in the Ural region.

In developing its partner relations, the Skolkovo Foundation intends to sign contracts and partnership agreements, including an agreement with the Korea-Russia Business Council; a contract with the Russian Ministry of Communications and Mass Media; an agreement with the Ural Federal University; an agreement with the Sverdlovsk district administration and the Ural IT Cluster Nonprofit Partnership. Skolkovo Planning Council Chairman Jean Pistre's presentation of the Innovation Center's master plan will be among the forum’s main events. Daily joint meetings between the Skolkovo Friends Club and the Vedomosti newspaper will be held at INNOPROM through round tables and workshops, including: A City as a Generator for Demand for Innovative Solutions and a Place to Create Innovations; Intellectual Property in an Innovative Economy; and Society in 20 Years: What Innovative Technologies Will Lead To. Futurologists’ View. Over 15 Skolkovo residents will present their projects, talk about their experience of working with the innovation center and let people in on what advantages their partnership holds. The Skolkovo Foundation President Viktor Vekselberg will take part in the Foundation's main events at INNOPROM-2011.