Machinery

UkrAVTO Corporation [AVTO UZ, N/R] intends to concentrate the production of Lanos brand cars at the Zaporozhia automobile plant (ZAZ, Ukraine) and the production of Chevrolet Aveo at the Warsaw motor-car factory (FSO, Poland) by October 2008.

President halted privatization again. TATM: NEUTRAL

Zaporizhtransformator [ZATR, N/R], one of largest world producer of electric transformer equipment decided to pay 68.9 mln in dividends from its 2007 net income.

In 1H08, Stakhaniv Railcar Works [SVGZ UZ, BUY], increased its production by 33.7% (852 railcars) up to 3380 railcars as compared to the corresponding 2H07 number.

In 1H08, JSC Kredmash increased the output of asphalt mixing machines by 36.4% YoY, up to 60 units.

Kryukiv Railcar [KVBZ, U/R] increased its production of passenger cars x10 times YoY or by 39 wagons more in 1H08.

The Ministry of transport of Ukraine has introduced a draft law, which implies higher ecologic restrictions for motor transport imported into Ukraine.

The Ukrainian Government is planning to consider lowering import duties on equipment used in shipbuilding.

Kryukiv Railcar [KVBZ UZ, U/R], the unique Ukrainian producer of both freight and passenger railcars signed a contract last week with Ukrzaliznytsya (UZ) to deliver two rail buses by the end of this year.

Azovmash, the leading Ukrainian machine building holding, has increased its revenues by 50% in 1H08, having reported USD 609 mln in sales.