Machinery

According to Ukrainian News, Ukrzaliznitsya (the state railway company in Ukraine) is going to order 170 new passenger railcars and 10 locomotives on credit by 2010. UZ’s total CAPEX program for its rail fleet modernization is approximately UAH 4 bln (~USD 500 mln) in 2009.

According to a press release, Kharkiv-based OJSC Turboatom [TATM UZ, HOLD] – the largest turbine manufacturer in Ukraine – has signed a protocol of future cooperation with Skoda Power (Czech Republic) to produce power turbines for power Thermal Power Plants (FFPPs) in India. The companies agreed on further cooperation in power turbine delivery to Eastern Europe and Asia.

According to the RZD Partner journal, Russian State Railway Company (RZD) will decrease foreign orders for its rail fleet and other related equipment by 20% in 2009 to support local producers. In 1Q09 RZD decreased orders by 3.6x for mechanical equipment including railcars.

Three companies, including Kryukiv Railcar [KVBZ UZ, U/R], JSC Vagonmash (Russa), and CAF (Spain), are participating in a Kyiv Metro tender to supply 40 metro wagons. The deal is worth EUR 40 mln, with funding provided by EBRD specifically for ordering subway cars.

According to Interfax, Motor Sich [MSICH UZ, BUY], a large aviation engine producer in Ukraine ,signed a new contract with the Indian Air Force to modernize the engines in 105 of India’s Antonov AN-32 aircraft.

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

According to a press release from Zaporizhtransformator [ZATR UZ, N/R] – the world's largest manufacturer of transformer equipment – the company has signed a new contract with ArmRosgazprom in Armenia. ZATR will delivery four power transformers to the firth block of the Razdanskaya Thermal Power Plant (FFPP). The new power block will be launched in August 2010.

According to the Ukrainian news agency, Azovmash, one of the leading enterprises in Ukraine’s heavy engineering sector, which includes freight railway producers Azovhalmash [AZGM UZ, U/R], Mariupol Heavy Machinery Plant [MZVM UZ, U/R] and Poltavkhimmash [PHMSH UZ, U/R] – decreased freight car output by 19.7% YoY to 3032 units in 1Q09.

According to the press service of Sumy Frunze Machine Building [SMASH UZ, N/R] – one of Europe’s largest producers of equipment for the oil, gas, and chemical industries – the company will deliver three gas turbine power generation units to a Russian company, Surgutneftegaz, by April 2010.

According to Interfax, Antonov Corporation have already 52 firms orders and 80 units options of new passenger airplane An-148.