Machinery

According to the Interfax agency, the Ukrainian subsidiary of Russia’s Sberbank is opening a floating line of credit for Azovmash, which is valued at USD 17.2 mln.

Kryukiv Railcar [KVBZ UZ, U/R], based in Kremenchug (Poltava Region), has fulfilled a contract for the supply of 200 special platforms to Latvia, according to the company’s press service.

According to a press release issued by the Bogdan Automobile Plant [LUAZ UZ, U/R], the company decreased production by 68% YoY to 6,063 cars in 1Q2009. In March, production dropped by 27.9% MoM to 2,031 cars, of which 794 cars were made as SKD assembly and 1,237 as CKD assembly.

Sumy Frunze Machine Building [SMASH UZ, N/R] - one of largest European producers of equipment for the oil, gas, and chemical industries – has secured a deal with Russian gas monopoly ‘Gazprom’, whereby it will supply compressor equipment for the Ivanovskaya and Lukoyanovskaya compressor plants.

According to the company’s own information, Luhanskteplovoz [LTPL UZ, N/R] increased output by 6.8% in March 2009.

As of the end of March, the Ukrainian car market recorded a 75% drop compared to the same period in 2008, according to UGMK.info.

The Luhansk-based Stakhaniv Railcar Works [SVGZ UZ, U/R], one of the largest wagon producers in Ukraine and part of the AvtoKrAZ holding, held its shareholders meeting on April 6, at which time it was decided that the company would not pay out dividends for 2008.

According to the AvtoKrAZ holding company [KRAZ UZ, N/R], which held its AGM in Kremenchug on Friday, the company decided to not pay out dividends. Instead, KRAZ will forward 95% of its recorded 2008 net profit of UAH 66.117 mln (USD 12.47 mln) towards the company’s development and the remaining 5% towards the company’s reserve fund.

According to information published in the Kommersant newspaper, local machinery companies may receive orders for the modernization of the Gas Transportation System (GTS). The order book is valued at about USD 1.43 mln.

On March 31, Kryukiv Railcar [KVBZ UZ, U/R] announced the cancellation of its recent decision regarding the suspension of production activities, a decision that was taken upon receiving an order from Russia for production of 1 thsd grain cars.