Daily monitor

Kryukiv Railcar [KVBZ UZ, U/R] released its official preliminary 2008 financials on March 4. Highlights of the P&L (using exchange rates of USD/UAH 5.27 for FY08 and 5.05 for FY07) include net income at USD 75.9 mln (up 91.6%).

According to data from the Ministry of Economy, the merchandise balance deficit shrank 23.5% MoM in February to USD 276.2 mln.

Dniprooblenergo [DNON UZ, BUY] held its first AGM in 2009, making it the first among Ukrainian electricity distributors to do so. The company decided to capitalize 100% of its 2008 net income. 5% will be allocated to the reserve fund and the other 95% will go to fund the development of grids. DNON’s net income in 2008 totalled UAH 84 mln.

Sumy Frunze Machine Building [SMASH UZ, N/R], one of largest European producers of equipment for the oil, gas, and chemical industries, has reported that it has secured a new contract with the Russian company ‘PH-Purneftegaz’, which is a second largest subsidiary of the petroleum company ‘Rosneft’.

According to the National Association of Ukrainian Sugar Producers “Ukrsugar”, the amount of arable land cultivated with sugar beet will possibly shrink by at least 11.4% YoY to 350 thsd ha in the 2009/10 marketing year.

The European Bank for Reconstruction and Development (EBRD) is currently considering the possibility of providing a loan of USD 50 mln to Ukraine via the company NCH New Europe Property Fund L.P..

Poltava GOK [PGOK UZ, U/R], also called Ferrexpo Poltava Mining, announced an AGM for April 24. The AGM invitation included data on FY08 net income, - UAH 614.5 mln (USD 116.6 mln), which is up 80% YoY (73% in dollar terms).

The World Bank and Ukraine have started a project aimed at the improvement of electricity transmission networks, which is part of the integration of Ukrainian grids into the UCTE (Union for the Co-ordination of Electricity Transmission). The project terminates in 2013.

At its EGM on March 3, shareholders of Ukrsotsbank [USCB UZ, U/R] decided to increase the bank’s statutory fund by UAH 200 mln.

The Verkhovna Rada, the Parliament of Ukraine, has overturned President Viktor Yuschenko‘s veto on prolonging the restriction on land trading in Ukraine. A total 382 of deputies voted on the extension of the Moratorium until January 1, 2010.