Metalloinvest Finance Designated Activity Company / Miscellaneous - Medium Priority
07-Jul-2017 / 15:01 CET/CEST
Dissemination of a Regulatory Announcement, transmitted by EquityStory.RS, LLC - a company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
Moscow, Russia - 07 July 2017 - Metalloinvest and KAMAZ have discussed the terms of a three-year pricing contract for high-quality long steel products (SBQ steel) produced by OEMK (part of Metalloinvest), covering the period until 1 January 2018. The new agreement will define uniform base prices and set the share of rolled products purchased by KAMAZ from OEMK's corresponding range.
The companies discussed issues relating to their planned partnership as part of a visit by a Metalloinvest delegation to KAMAZ's production facilities, led by Nazim Efendiev, First Deputy CEO, Sales Director of Management Company Metalloinvest. KAMAZ was represented in these talks by Sergey Kogogin, General Director of KAMAZ, and Rustam Shamsutdinov, Deputy General Director of KAMAZ, Purchasing.
OEMK shipped over 40,000 tonnes of SBQ to KAMAZ in 2016. Currently, over 50% of the high-quality long steel products produced by OEMK are purchased by KAMAZ. In 2018, the companies plan to increase this figure to 80%.
Nazim Efendiev commented: "Metalloinvest has always devoted considerable attention to the requirements of its customers with regard to the quality and conditions of supplies. The agreement to sign a three-year contract with defined uniform base prices is the result of the development and deepening of our mutually beneficial partnership with KAMAZ, the largest producer of heavy-duty trucks in Russia."
Rustam Shamsutdinov noted: "KAMAZ strives to increase its productivity and reliability by actively working to expand and improve its automobile product range. Therefore, we pay particular attention to the quality of the rolled products from which we produce the heavy-duty components and power units for our freight machinery. Metalloinvest is one of our strategic partners for long steel product supplies and we aim to further develop our effective partnership."
Metalloinvest is implementing a comprehensive programme to develop its SBQ production and sales, as part of which measures are being introduced to expand collaborative projects with key clients, including developing new steel grades in line with their requirements.
OEMK's high-quality long steel products are used at KAMAZ enterprises in the production of heavy-duty and high load-bearing components and power units for its automobiles.
# # # #
For more information, please contact the Investor Relations & Corporate Ratings department:
Director of department
T: +7 (495) 981-55-55
Metalloinvest is a leading global iron ore and merchant HBI producer and supplier, and one of the regional producers of high-quality steel. The Company has the world's second-largest measured iron ore reserve base and is one of the lowest-cost iron ore producers.
Metalloinvest is wholly owned by USM Holdings. Alisher Usmanov is the major beneficiary of USM Holdings (49%), with other major beneficiaries being the companies of Vladimir Skoch (30%) and Farhad Moshiri (10%).
The EquityStory.RS, LLC Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de/ukreg