Within cooperation with transport engineering enterprises, VTB Bank has set a RUB 6.12 billion credit limit for RPC Uralvagonzavod.
The new limit will allow the company to take advantage of VTB's ample opportunities in financing operational needs, using a full range of instruments accepted in the international banking practice.
Under this limit, the company received a total of RUB 2 billion loans in late December 2008. The funds were allocated by RPC Uralvagonzavod to finance its current activities, including payment of wages and settlements with power and metal suppliers.
Partnership relations between VTB and RPC Uralvagonzavod have been actively developing since 2002. The Bank already set a RUB 4.2 billion credit limit for the company, which has been completely drawn by now.
VTB has traditionally viewed cooperation with transport engineering leaders as a priority business line. Presently, because of the instability of international financial markets, this industry, due to its strategic importance for ensuring social and economic growth in Russia, is becoming increasingly significant both for the country, as a whole, and the Bank, in particular.
RPC Uralvagonzavod, founded in 1931, is a diversified engineering complex. The Federal Agency for the Administration of State Property is its sole shareholder. Today, the enterprise produces about 100 different items, including military vehicles, road-building machines, full metal gondola cars, special-purpose cars, rail tank cars and many others.