Efficient Activity

Beer and soft drinks industry, represented by Obolon Corporation, plays a crucial role in the national economy as it provides employment in various regions of Ukraine, ensures payment of taxes to the budgets of all levels, and contributes to the development of the neighbouring industries.

Employment

Obolon has earned the reputation of one of the best employers inUkraine. The company has more than once won the 'Best Employer of the Year' award, traditionally held by the State Employment Centre. Moreover, Obolon Corporation is one of the biggest Ukrainian employers in terms of people employed ranging from 1,000 to 5,000. The company provides employment to people with special needs; their share currently totals 4.7% of the whole personnel.

With its production infrastructure located in eight regions of Ukraine, Obolon Corporation is now a major employer in the Kyiv, Kirovograd, Sumy, Khmelnitsky, Ivano-Frankivsk, and Rivno regions and Sevastopol city.

The corporation's HR policy is strategically focused on involving local population, which is one of the areas for mutually beneficial cooperation with our stakeholders in the regions - state and local authorities and local communities.

Creating workplaces for people at the location of Obolon enterprises ensures sustainable development of Ukraine's regions and solves a number of important issues:

• providing employment for particular settlements as one of the main indicators of the region's social and economic development;
• supporting and enhancing the level and life quality of local communities;
• incentivizing the youths for professional and career development;
• ensuring good salaries and providing social guarantees under the Labour Code of Ukraine and Collective Agreement;
• improving social and psychological climate among local people.

Social Infrastructure

A social component  is important for dynamic and sustainable development of Obolon.
Since its foundation, the company has cared about the local communities in the territories of its presence. One of the company's social responsibility areas in the cities and villages where Obolon production facilities are located is to improve the infrastructure through financial investments and volunteer efforts of the company's personnel.

For over 20 years now, Obolon has been engaged in reconstruction and repair of educational establishments and medical institutions as well as in restoring and opening  religious facilities throughout Ukraine.

In 2013, the company provided financial support of over UAH 128,000 to renovate the district hospital and one of local schools in Okhtyrka, Sumy Region.

In Fastiv, in 2013, Obolon allocated UAH 291,600 to reconstruct and restore religious facilities and repair highways, and in the 1st half of 2014, the company provided UAH 134,000 for current repairs in the local educational establishments.

UAH 291,600	UAH 134,000	UAH 128,000
2013	2014 (1st half of the year)	2013
Fastiv Support for the reconstruction and restoration of religious facilities	Fastiv Investments in current repairs of local schools	Okhtyrka Support for the reconstruction of the district hospital and local schools

In the early 90s, the main company of the Obolon Corporation made an investment in reconstructing a stadium in a residential district of Kyiv. Today, Obolon Arena hosts the national league football club 'Obolon Brovary' and the sports school 'Zmina'. In 2012, after Obolon supported the reconstruction of the stadium, the sports arena got the status of a training field for the European Championship teams. In 2014, Obolon Arena hosted games for peace and unity of Ukraine between the teams of pop stars and Dynamo Kyiv against Obolon club players of the 70-80s. Today, the stadium is also the venue for sports and public events for the company's personnel and the district residents.

Taxes

Since its foundation, Obolon has declared and has been committed to the principles of openness and transparency of its operations. The main company in Kyiv is one of the best tax payers in Kyiv and throughout Ukraine.

Today, the performance of all Obolon enterprises has a significant influence on the development of the territories of its presence and the condition of the regional budgets.

By the level of tax receipts, most of the corporation companies form the revenue part of the local budgets, i.e. they are budget forming, while other companies are budget filling.

Overal deductions to the budgets of all levels  

UAH 1,032,454	UAH 1,214,828	UAH 1,158,324
2011	2012	2013

Development of Neighbouring Industries

Brewing has an effect on the neighbouring economy branches, such as agriculture (barley and hop growing, malting, etc.), tare production (PET and glass bottles), logistics (transportation of finished products), restaurant business, and processing of secondary resources (used plastic receptacles, spent grain), etc.

Today, European countries consume some 50% of beer on tap at food outlets, while in Ukraine, draught beer accounts for only 8%. In view of the above, domestic brewing is an essential factor in developing tare and packaging production.

The Oleksandriya company of Obolon, Kirovograd region, produces quality PET pre-forms for the company's internal needs and for sale to other beverage producers. In 2012, Obolon changed to a new packaging standard PCO 1881 helping not only to save raw materials, but to mitigate the environmental impact

Today, the company urges the Ukrainians to gather plastic waste and to sort garbage. Thus, in spring 2014, Obolon carried out an environmental project for waste sorting together with the teaching staff and students of the Oleksandriya Collegium.

The plant construction lay the ground for a full malting cycle: from growing high quality elite sorts of brewing barley to final malt production. Currently, the company grows successfully its own malt to produce beer under such trademarks as Obolon, Zibert, Zlata Praha, hike, Desant, and Carling. Opening the plant revived agricultural production in the region, provided over 600 new jobs, and helped develop the infrastructure in the district and adjacent settlements.

Brewing waste – brewer grain – can be effectively used in cattle breeding, agriculture, and even as an ecological resource to produce biofuel.  In 2008, the company installed the equipment for processing moist brewing waste into dry granules. For the period of its operation, the plant produced 145,000 tons of dry brewer pellet.