Daily monitor

The Kyiv Metropolitan subway has announced its intention to purchase 100 subway cars via financial leasing (via the company Ukrrosleasing). It is planned that 75 cars are to be produced by Russian companies and 25 by Kryukiv Railcar. The

MCB Agricole / Ukrzernoprom Agro [4GW1 GR, U/R] has announced the start of spring field works, including the fertilizing of winter crops and sowing of spring crops. The Company is fully supplied with the required fertilizers, seeds and plant protection material.

In 2M2010, iron ore exports from Ukraine increased by 73% YoY to reach 5 mln tonnes.

Kryukiv Railcar [KVBZ UZ, BUY], a leading Ukrainian producer of both freight and passenger railcars, reported a decline in output of passenger cars in January-February 2010 by four times. At the same time, the output of freight railcars rose three-fold in the same period.

Sumy Frunze Machine Building [SMASH UZ, U/R], the leading CIS manufacturer of machinery equipment for the oil and gas industry, has successfully delivered three gas turbine blocks to the Russian-based Surgutneftegaz. The equipment is designed for one of the client’s power plants and has an aggregate power of 36 MW. The purpose of the equipment is to utilize the associated gas for producing electricity (earlier, Surgutneftegaz burned associated gas in flares.

The Brazilian iron ore giant Vale may increase its domestic price for iron ore by 80%. This increase may consist of two stages: a 40% hike in March and another 40% in April to soften the impace of the input price for Brazilian steelmakers.

The Economic Court of the Kharkiv Region has fully satisfied the claim of one of Turboatom’s minority’s shareholders (Svarog Asset Management), which declared the decision taken by TATM shareholders at its AGM (held on February 4, 2010) to be invalid. In particular, as a result of this decision, the dividends payment that was adopted at the AGM was blocked (the shareholders had decided to pay out UAH 44.1 mln in dividends).

AvtoKrAZ [KRAZ UZ, N/R], a Ukrainian producer of heavy trucks, has reported a decline in February production by 99.1% MoM (the Company produced only one car). At the same time, ZAZ, a leading Ukrainian auto manufacturer, reported a rise in production by 194% MoM, as the Company produced 770 cars in February vs. 262 in January.

As of March 5, importers’ claims for raw cane sugar imports to Ukraine reached the 87% mark of the quota set by the World Trade Organization. The quota level for 2010 is 267.8 thsd tonnes. The largest share of the total import volume will come from Brazil (73.6%). The claims were filed by Ukraine’s major sugar producers; namely by Astarta [AST PW, BUY], the Ukrros sugar union [UROS UZ, BUY], Ukrprominvest, Rise, and the Dakor Agro Holding.