VTB Bank has provided a one-year RUB 4 billion loan to Magnitogorsk Iron & Steel Works (MMK). The funds have been channeled into replenishing MMK's working capital and making settlements with suppliers.
VTB and MMK have enjoyed a long and successful history of cooperation. MMK has been VTB's customer since August 2001. In December 2002, VTB and MMK signed a Cooperation Agreement on financing the company's current and investment activities. Besides, the agreement implies VTB's involvement in servicing other financial operations and providing consultancy services.
In developing partnership relations with metallurgy enterprises, regarded by the Bank as a priority business line, VTB implements a comprehensive customer-oriented approach at all stages of business growth and diversification through offering a full range of banking products and services.
Magnitogorsk Iron & Steel Works (MMK) is the largest enterprise of the Russian steel industry. MMK is a major fully integrated steel making complex encompassing all the processes, from preparation of iron ore to high added value processing of steel. MMK sells its products both in the domestic and international markets.