Daily monitor

The OJSC ‘Dniprooblenergo’ [DNON UZ, N/R] the largest regional electricity supply company in Ukraine, has announced that it is closing its investment program in relation to the financial crisis. Due to instability in the banking system, its funds in the Kyiv-based Prominvestbank have been blocked.

For the period July-September, Prykarpatoblenergo [PREN UZ, BUY] finished with a net profit of UAH 10.27 mln. In this period, this Ivano-Frankivsk regional company saw its net income drop by 9.16% (or UAH 12.05 mln) to UAH 119.51 mln, compared with the same period in 2007.

In the period July-September 2008, the Open Joint-Stock Company ‘Vinnitsaoblenergo’ [VIEN UZ, BUY] finished 3Q2008 with a net profit of UAH 5.245 mln. In this period, the company increased its net income by 33.13% (or UAH 37.06 mln) to UAH 148.93 mln, compared with the same period last year.

InBev, one of the leading global beer producers – second in terms of beer output in Russia and first on the Ukrainian beer market – issued an official press release on its financial results for 3Q08. Its revenues in volume terms declined 10.5% on the Russian market and 8.5% on the Ukrainian market.

Sumy Frunze Machine Building [SMASH UZ, N/R], one of largest European producers of equipment for the oil, gas, and chemical industries, plans to supply four gas pumping devices worth USD 65 mln to Russia’s natural gas monopoly Gazprom for use at the Griazovetskaya compressor station. The deal is worth USD 65 mln and is to be completed by July 2009, the contract for which was signed back in September.

The National Bank of Ukraine (NBU) announced that the country’s foreign reserves fell 14.9% MoM in October USD 5.6 bln) reaching USD 31.9 bln. The reserves fell 1.7% YTD (USD 539 bln). The balance of the NBU foreign exchange market interventions in October was USD 4.1 bln.

According to the early morning announcement of the State Statistics Committee of Ukraine, inflation in October hit 1.7% MoM (18.0% YTD and 23.2% YoY). This is the lowest September inflation since September 2005, when it was 0.9% MoM. In October 2006 and October 2007, MoM CPI growth was 2.6% and 2.9% respectively.

The JSC Balcem Company, a member of the ‘Eurocement Group Ukraine’ and affiliate of the Eurocement Group Holding , plans to produce more than 3 mln metric tons of cement and about 2.8 mln tons of clinker by the end of 2008.

According to Interfax-Ukraine, which has reported coke production numbers for October, the total 6% water content gross coke output of Ukrainian coke makers amounted to 1.19 mln mt last month. This is 34% down from the 9M08 average of 1.80 mln mt, and 18% down MoM from September’s 1.46 mln mt.

In October, Avdiivka Coke [AVDK UZ, U/R] decreased output of 6% water content gross coke by 9% MoM to 229 thsd mt, according to Interfax-Ukraine. In comparison with the average 9M08 output, at 373 thsd mt, the October volume was down 39%. For comparison, the overall sector output volume dropped 18% MoM in October.