Daily monitor

Ukrros [UROS UZ, BUY], released today its operational update on the sown area for the 2009/10 marketing year. The company used a total of 103 thsd ha for the harvesting campaign, including 24.6 thsd ha for winter crops and 78.4 thsd ha for spring crops. The company stated that 17 thsd ha was cultivated with sugar beet.

According to the State Statistics Committee, Ukraine’s production output of railcars dropped by 75% YoY to 700 units in May. During the first five months, railcar production decreased by 72.5% YoY to 3700 units.

Retail group [RTGR, N/R], the parent holding of Ukraine’s well-known domestic retailer Velyka Kyshenya, is considering the private placement a 10-25% of its stake in the next 2 months.

The State Statistics Committee released a report showing that Ukraine’s grain reserves have increased by 26% YoY to 8.4 mln mt of grain. In particular, wheat amounted to 4.2 mln mt, corn increased to 1.8 mln mt, barley totaled 1.2 mln mt and rye came in at 0.4 mln mt. Furthermore, sunflower seeds now total 1.6 mln mt.

On June 16, the EBRD Board approved a proposal to finance Megabank[MEGA UZ, U/R]. According to Anton Usov, spokesman of the EBRD Representative Office in Kyiv, the decision concerned a EUR 20 mln investment into Megabank’s equity and long-term senior loan.

According to a note from the State Statistics Committee of Ukraine, industrial output fell 31.8% YoY in May, which is the same YoY decline as seen in April. Industrial output did grow 1.3% MoM, but the average daily output dropped 2.0%.

Kreditprombank, one of the 20-largest banks in Ukraine, has defaulted on its domestic bonds.

Rosspotrebnadzor has temporally banned dairy products exported from Belarus. The official reason is the non-compliance of Belorussian dairy products with the standards implemented in Russia.

Negative statistics on power output were released yesterday by the Ministry of Fuel and Energy of Ukraine.

According to the NBU, Ukrainian banks lost UAH 12 bln over 5M2009. The main driver for the losses was provisional expenses totaling UAH 28 bln. Net interest income was UAH 19 bln (46% growth YoY); net commission income, UAH 4.4 bln( -23% YoY); administrative expenses rose 7% YoY and totaled UAH 11.25 bln.