COMPANY PROFILE - CPS

COMPANY PROFILE

COMPANY PROFILE

In 2007 CPS Company celebrated its 15th anniversary and noted with satisfaction that the strategy and policy are kept up to date and the set tasks have been fulfilled.

At the beginning of its activity in 1992 the fuel and energy complex of Armenia was in acute crisis. With the closure of the Armenian nuclear power station the country was deprived of its energy resources, the railway blockade closed the way for alternative energy carriers. The market was full of low-quality fuel the supply of which was carried out with stoppages. Specially equipped petrol stations didn’t practically exist, so called “street trade”of the petrol and diesel oil in household containers was flourishing.

Under the conditions of instable situation in the post-Soviet area proceeded to the foundation of their independent economy, CPS set itself main objectives which were included in the main strategic planning of its further activity.

To manage the crisis the company decided first of all to provide the Armenian fuel market with continuous fuel supply from the countries being energy carrier suppliers, to find the alternative ways to supply fuel and to regulate civilized methods for the fuel market management.

Since 1992 CPS has concluded contracts on petrol and diesel oil supply with the partners in Russia, Bulgaria and Romania and since 1994 the contract on annual supply of diesel fuel from Turkmenistan was concluded. All this time the company has made positive progress in the quality of the imported fuel. For example, if in 2000 the petrol import volume made up 31.580 tons and that of the diesel fuel – 19.540 tons, in 2006 the petrol import volume made up 68.044 tons, and that for the diesel fuel - 25.092 tons.

Another strategy planning was the establishment of the fuel margin in the country and simultaneously the establishment and development of the infrastructure equipped according to the modern Western standards. Under the deep belief of CPS management the appeal of the company’s enterprises for the clients will be a cornerstone for its further development.

In 1994 the company started establishing a chain of petrol stations. Modern electronic and technical equipment was acquired for the petrol stations to provide the clients with qualified service. At present the Chain of Petrol Stations includes 25 own Petrol Stations and 35 ones belonging to the CPS Group of Companies.

To solve the problem of fuel margin establishing CPS founded a chain of wholesale depots situated at the key transport junctions of the country. At present the chain includes 9 wholesale depots at the junctions controlling the northern and southern transboundary highways, as well as central and western inner highways. The petrol supplies at the wholesale depots make up 10.000 cubic meters.

CPS was the first in Armenia to introduce the coupon system of the fuel sale. The sale coupon system operates at all petrol stations and wholesale depots of the company and provides a flexible system of discounts. CPS intends to develop the coupon system in future which has successfully been proved in the Armenian fuel market.

Being one of the leaders in the fuel market of Armenia CPS is interested in strengthening the economics of the country and the social development of the population. The company has put much effort to establishing a civilized fuel market and the standards and rules for that market. CPS thinks that the sustenance and development of such a market can be fulfilled only under the conditions of a strong state, strong economy, a socially developed society. To make positive progress in this direction as well as taking into consideration all the difficulties of the transition period, CPS laid the principles of corporate management as its establishment. Turning down the hard administrative methods of management CPS practices divisional structure principle and stimulates the independence of the employees at work. With this aim CPS has established a group of companies in the key regional centers: Vanadzor, Armavir, Gyumri, Sevan, Kapan, Artik, Abovyan and Yerevan.

Although the company group is not a separate legal entity, they are given much self-control, which allows them to work at their own profit at the same time increasing the profit of CPS.

CPS fulfills the obligations taken before the clients, business partners and states.

CPS uses modern technology due to which the company feels the pulse of the world fuel market tracks the tendencies and uses them in its own activity.

Transparency and openness of the financial activity, the pursuing of ecological and social policy provided CPS a good image which all the company employees support.