Daily monitor

Dniprospetsstal [DNSS UZ, U/R] will conduct an EGM on September 10. The agenda items proposed so far do not include dramatic changes such as the election of governing bodies, but does include changing the company’s corporate governance structure.

On August 01 and 05, Energomashspetsstal [ENMA UZ, N/R] reported changes in its shareholder structure following a recent share capital increase.

Mr. Sergei Shpak, the CEO of UPTK, has been appointed as the CEO of the Mariupol Investment Group (MIG), the Company that owns 66% of UPTK, which in turns owns a 50% - 1 share in the Azvomash machine building holding.

On August 6, 2008, the Cabinet of Ministers approved Ukrtelecom’s [UTEL UZ, U/R] financial plan for 2008 with a profit at UAH 8.7 mln (USD 1.8 mln).

The National Bank of Ukraine (NBU) announced that Ukraine’s monetary base increased in July 2008 6.1% MoM (15.3% YTD), thus reaching UAH 163.7 bln (USD 33.8 bln), while M3 grew 3.8% MoM (18% YTD) and reached UAH 467.5 bln (USD 96.4 bln).

PPI in July increased 3.6% MoM after a 4.2% MoM growth in June. Thus, PPI grew 46.3% YoY after a 43.7% YoY growth in June and 34% YTD in July compared to 29.4% in June.

The State Statistics Committee of Ukraine has announced CPI figures for July 2008. CPI fell 0.5% MoM, thus indicating monthly deflation for the first time since March 2006 and breaking the deflation record set six years ago.

Due to artificially low heat distribution tariffs Kyivenergo [KIEN] may suffer USD 80 mln net loss by the end of 2008.

Electricity production in Ukraine for the 7M08 increased 2.5% reaching 115 bln kWh.

According to Analytical Agency the Agriculture, after analyzing statistical export data in July, Ukrainian forage crops – corn, wheat and barley - exported at above average global prices. Corn prices DAF (delivered at frontier) slated between USD 260-USD 290 per mt.