Daily monitor

Ukrtelecom [UTEL UZ, U/R] has officially announced that it does not intend to re-examine its plans for the development of mobile phone network connection and broad-band Internet access. The question arose in connection with the crisis on the loan market, the response for which was reported by the news agency Interfax-Ukraine.

Domestic feed wheat prices slipped further to reach USD 123.7 per mt this week, as reported by the publication “Delo”. Last week, feed wheat prices bounced between USD 134 and USD 144.3 per mt, which is 17-26% lower than the minimal price set by the government.

During the period January-September, 2008, the Kremenchuk Road Machine Plant, otherwise known as the Joint Stock Company Kredmash, increased its output of asphalt mixing machines by 40% YoY, reaching a total of 92 units. In all, during 2Q08, the plant produced 30 asphalt mixing machines and soil mixing plants. The company plans to achieve a production of more than 100 asphalt mixing machines by the year end. The Russian Federation remains the largest consumer of Kredmash’s products.

Ukrtelecom [UTEL UZ, U/R] is set to increase its profits, with the recent announcement by the National Communication Regulation Commission (NCRC) that it will be increasing tariffs for the company’s fixed line telephone services by 20%. The new tariffs will take effect as of October 1, 2008.

Astarta [AST PW, BUY] has signed an agreement with Coca-Cola Beverages Ukraine to supply the company with sugar for the next three years.

Avantazh Corporation is initiating a private placement of 15% of its shares in Nov-Dec 2008.

The CJSC “Borshchagivskiy Chemical Pharmaceutical Plant” has announced its intention to sell up to 69% of its common shares on October 28, 2008. The estimated price per share in this sellout deal will be equal to USD 20,191.28 in its UAH equivalent.

Astarta [AST PW, BUY] and Ukrros [UROS UZ, N/R], the top Ukrainian sugar producing companies, have announced the beginning of their sugar production campaigns.

The wholesale electricity price for October 2008, set by the National Electricity Regulatory Commission (NERC), increased 4% compared to September, reaching USD 79.4 per MWh. Thus the YtD tariff increase for January-October 2008 has reached 40% in local currency (UAH).

Kryukiv Railcar [KVBZ, BUY] has received a license for the installation of tunnel escalators in Ukraine.