Machinery

According to a company representative, Kryukiv Railcar [KVBZ UZ, BUY] intends to launch maintenance centers for freight and passenger railcars in Kyiv and Kharkiv.

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.

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

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

In August, Kryukiv Railcar [KVBZ UZ, BUY] increased railcar production by 2.27% MoM to 631 railcars, 14 of which were passenger railcars.

According to Serhiy Sazonov, the CEO of HK “AvtoKrAZ” [KRAZ, N/R], the only Ukrainian manufacturer of heavy trucks, AvtoKrAZ is being forced to scale down the program "KrAZ by credit" and "KrAZ lease” due to the credit crisis in Ukraine.

In August, the largest Ukrainian producer of cars, the Zaporozhzhia Automobile Plant (ZAZ), fell short on its car production, as compared to July.

The holding company "AvtoKrAZ" [KRAZ UZ, N/R] has downgraded its 2008 production plans to between 4.5 and 5 thsd trucks from the earlier projected figure of more than 5 thsd units.

Ukraine’s Cabinet of Ministers is initiating the annulment of the decision of AZOVMASH shareholders about the company’s reorganization from an OJSC to a CJSC.

Kryukiv Railcar [KVBZ UZ, BUY] and Ukrspetswagon have won a tender that was held by Ukrzaliznytsya for the delivery of 475 freight railcars