RU
Monopolistic position on railway passenger long- distance transportation market in Russia
Low competition on domestic railway passenger transportation market among international companies due to challenges in entering the Russian market
High social and strategic importance of the Company for the state as the main transport operator for long and middle distance covering the majority of Russia; including regions with extreme climatic and natural conditions and absence of road and air transport infrastructure
Strategic importance in implementation of long- term objectives of RZD state holding
Tariff regulation for long-distance passenger transportation by state and income loss compensation paid by the state
Conservative finance policy and low debt ratio
The Company has remained true to the mission, vision and core values it adopted in 2012 as part of its Development Strategy. Committed to maintaining the same core strategy in the long run, the Company keeps its business on course and stable, responding to a changing external environment through management’s short and mid-term tactical efforts
The macro-level changes that the year 2014 brought, such as economic fluctuations, developments in relationships with governmental bodies and further advancement of the strategic management system within RZD Holding, all had a major impact on FPC’s efforts to achieve the targets set by the strategy and implement strategically important projects
A new system of key performance indicators (KPIs) were introduced in 2015 in order to in order to align the Company’s system of KPIs with the KPIs proposed by RZD Holding as a result of recent developments, has become a significant event in the Company’s strategic development
71,629
employees
22,136
cars
31
depots
16.9 RUB bn
EBITDA
48.2%
share of railway transport on the domestic passenger rail service market
90.1%
share of JSC FPC on the domestic railway passenger service market
3.3 p.p.
was the amount that the share of railway transport in domestic and international passenger service declined by in 2014

Company’s major risks

Loss of passenger traffic market share
Decline in amount of federal subsidies
Not stable loss compensation from the state
25%
share of digital tickets in total ticket sales
+8.6%
growth in number of grateful reviews of train personnel work
98%
passenger traffic schedule accuracy
55.8%
share of cars equipped with air conditioning
Execution of Anti-crisis program resulted in a reduction of the Company’s budgeted costs of
15.3 RUB billion
Income from all actiities amounted to
185.6 RUB billion
Passenger turnover
amounted to
94.6
billion passenger-kilometres
Total amount of investment under the Investment programme amounted to
24.5 RUB billion
274
coach cars were acquired
50
double-decker cars were placed in operation
JSC FPC carries out transportation services to the CIS countries, the Baltic States and to the following 17 European and Asian countries along 24 international routes: Austria, Bulgaria, Hungary, Germany, Italy, China, North Korea, Mongolia, Monaco, Poland, Romania, Slovenia, Slovakia, Finland, France, Croatia and the Czech Republic.
The reporting year saw
3
General Shareholders Meetings;
1 Annual General Shareholders Meeting;
2 Extraordinary General Shareholders Meetings
During the last year,
18
sessions
of the JPC FPC Board of Directors were held:
16 sessions in absentia;
2 sessions in person;
169
issues were examined by JSC FPC Board of Directors
By the end of 2014, headcount at FPC amounted to
73,935
people,
5% less than in 2013
Women account for
65 %
of Company’s personnel
Corporate Training Centre is the main facility for continued and professional education of employees