Business news from Ukraine

50 MLN EUR BAKERY COMPLEX CONSTRUCTION STARTS IN KHARKIV REGION

Construction of a bakery complex with a capacity of 150 tonnes a day for EUR 50 million was started in Kharkiv region. According to a posting on the website of the Kharkiv Regional Administration, it is planned to launch the enterprise in the first quarter of 2019.
The area of the new complex will be 12,000 square meters. A total of 14 production lines will be installed.
The specifics of the enterprise will be a possibility of producing frozen types of bread and semi-finished products, which would allow exporting bread.

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TRUCK PRODUCER AVTOKRAZ PLANS TO TRIPLE SALES IN NON-CIS MARKETS

JSC AvtoKrAZ (Kremenchuk, Poltava region) plans to triple supplies of vehicles to non-CIS countries compared with 2017. “The increase in export deliveries to non-CIS countries is planned, first of all, by entering new markets and, of course, consolidating in already mastered ones,” the head of the company’s press service, Dina Stehantseva, told Interfax-Ukraine, in addition to the press -release about the shipment of the all-wheel-drive trucks to one of the countries of the South-East Asia.
“This is a new contractor of the enterprise. We have not been present in this market before,” she said. At the same time, the size of the batch and the customer were not disclosed.
According to the financial statement of the enterprise, 677 vehicles were shipped in 201.The share of foreign countries accounted for 8%.
According to the press release of the enterprise, tropical versions 12 cubic meter KrAZ-65032 dump truck and KrAZ-63221 container truck are designed for use in extremely harsh environment, construction works on the shore, mostly in aggressive environment, in salt water up to the waist in compliance with customer’s specification.
Both tropical versions are right-hand drive vehicles. Taking into account specific job location, exhaust system of these dump trucks and container trucks exhaust gases go out via silencer mounted on the left side behind the cab. All removable connections are tight, cooling system has aluminum radiator without wind shutter, the vehicles are provided with tropical tires without tire inflation system.
The vehicles are equipped with Euro-2 engine rated at 380hp and manual 9-speed transmission. The KrAZ-65032 dump truck designed for carrying loads on and off road is provided with strong dump body. The KrAZ-63221 container truck is used for carrying 20 feet container and towing trailer on all kinds of roads and off road. The vehicle is provided with crane for cargo handling.

LARGEST AGRICULTURAL HOLDING IN EURASIA UKRLANDFARMING HAS $158 MLN LOSS, NET DEBT RISES TO $1.684 BLN

Ukrlandfarming agricultural holding saw $658 million of revenue in 2017, which is 31% less than a year ago, the company has said in a report. According to the report, the figure declined mainly due to the 45% fall in revenue in the agricultural machinery and agricultural raw materials segment, to $157 million. Revenue from production of agricultural crops fell by 20%, to $278 million. Net loss in 2017 deceased 9.4%, to $158.616 million. Assets grew by 2.8%, to $2.128 billion.
Gross profit of the company decreased 67%, to $62.6 million, earnings before interest, taxes, depreciation and amortization (EBITDA) – by 44%, to $91 million.
Total debts grew by 5.3% year-over-year, reaching $1.758 billion, and net debt rose by 6%, to $1.684 billion.
Ukrlandfarming is the largest agricultural holding in Eurasia. It is engaged in growing grains, producing eggs and egg goods, breeding cattle, distributing machinery, fertilizers and seeds.

UKRAINE INTERNATIONAL AIRLINES EXPANDS FLEET WITH ONE MORE BOEING PLANE

Ukraine International Airlines (UIA, Kyiv) has expanded its fleet with the third Boeing 777-200 ER plane. The press service of the airline reported that the plane received the UR-GOC registration number. UR-GOC aircraft accommodates 361 passengers in three-class cabin configuration, i.e. Business Class, Premium Economy Class, and Economy Class.
UIA will operate the aircraft on regular routes between Kiev and New York, Beijing, and Bangkok.
In 2018, UIA has received seven planes: three long-haul Boeing 777 and four medium-haul Boeing 737-800 NG, including three planes from the Boeing plant. In Q2 and Q3 2018 the airline plans to expand its fleet with two more long-haul Boeing 777 and two Embraer 195 planes. Ukraine International Airlines was founded in 1992. It connects Ukraine with more than 50 cities and key points in Europe, Asia, America, Africa, the Middle East and the CIS countries and provides connection with the routes of partner airlines in more than 3,000 cities of the world. UIA performs more than 1,100 regular flights a week.
The fleet consists of 43 airplanes of different modifications, including 30 medium range Boeing-737 NG aircraft. One of the ultimate beneficiaries of the company is businessman Ihor Kolomoisky.

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