Machinery

According to Thursday press office of Kryukivka Carriage [KVBZ UK], the state has repaid USD 23.3 mln out of USD 40mln of debt on VAT compensation to the company. Kryukivka Carriage has earlier stated that lack of turnover capital caused by VAT compensation delays slows down company development.

On December 15 2010 Bogdan Corporation, owner of Bogdan Motors [LUAZ UK], has concluded a Memorandum of Cooperation with MAN (Germany) on SCD-assembling tourist trucks under MAN-Bogdan double brand since 2011. The memorandum assumes further localization enhancement and export opportunities for Bogdan Corporation.

The Cabinet of Ministers of Ukraine has allowed the State Property Fund of Ukraine to conclude amicable settlement agreement with Bryansk Machinery on purchasing a 76% share of Luganskteplovoz [LTPL UK].

Kryukivka carriage [KVBZ UK] has supplied 5 more passenger carriages to South-East Railways which finishes a contract between the companies with overall volume of USD 13.5 mln for 21 train cars.

A shareholder meeting of Azovzagalmash [AZGM UK] has taken a decision to lease asset complex of Mariupol Heavy Machinery [MZVM UK] for minimizing expenses. The decision was adopted due to recommendation of Azovmash creditor banks’ coordination committee as a part of debt restructuring program. The measure is expected to ease management, marketing and production planning, increase transparency.

January-November witnessed 7% YoY growth of Ukrainian automobile production to 71.6 thsd units which is the first positive figure since the year beginning. 20% YoY car production increase on Bogdan Corporation, owner of Bogdan Motors [LUAZ UK] was the main growth driver, yet total dynamics was whittled down by negative indicators of UkrAVTO Corporation [AVTO UK], owner of Zaporizhya Automobile Plant [ZAZA UZ] slowing down production by 18% to 39 thsd units.

In November 2010 AvtoKrAZ Holding [KRAZ UK] has increased truck production by 27.7% MoM to 106 units and sold 178 vehicles. Total volume of produced trucks in January-November amounted 811 units (3 times YoY increase) while vehicle sales reached 915 trucks.

In January-November 2010 Bogdan Corporation, owner of Bogdan Motors [LUAZ UK], has increased production of busses and trolleybuses by 53% YoY to 818 units. The corporation produced 65 buses and trolleybuses in November which is a 16.4% MoM increase.

Economic Court of Appeal of Kyiv has allowed appeal of Bryansk Machinery over decision of Economic Court of Kyiv on cancellation of purchase contract on 76% share of Luganskteplovoz [LTPL UK]. The state property fund of Ukraine has not posted any comments on the appeal allowance by recent moment.

In November 2010 Luganskteplovoz [LTPL UK] produced 8 diesel locomotive sections and 2 electric locomotive sections. Total amount of production in January-November has reached 58 diesel locomotives and 4 electric locomotives.