OREANDA-NEWS. October 12, 2009. VTB continues to increase financing to the leading spheres of the Russian economy. In late September 2009, VTB extended a RUB 4,825 million loan facility to a major Russian air construction enterprise in the sphere of civil aviation, CJSC Sukhoi Civil  Aircraft Company (SCAC), a subsidiary of “Sukhoi” holding company. The company will use the funds received to fulfill its obligations under the first bond issue, reported the press-centre of VTB Bank. 

Besides, VTB granted a USD 34.5 million facility to JSC Ufa Engine Industrial Association (UMPO), a largest domestic air engine-building enterprise (the city of Ufa). The funds were channeled into making pay-roll projects and settlements with counterparties.

In August-October 2009, total loans extended by the Bank to air construction and engine-building industries exceeded RUB 16 billion.
 
Valery Lukyanenko, VTB Member of the Management Board said: Amidst the current unfavorable business environment financing of the strategic domestic industries is of crucial importance. We are confident that with VTB support air construction enterprises will overcome all the difficulties and continue their successful development.
  
For reference:
CJSC Sukhoi Civil Aircraft Company is Russia’s major aircraft holding company. Among its members are leading Russian design bureaus and serial aircraft production plants. The company supports a total cycle of aircraft engineering from designing to the effective after-sale servicing. The holding’s products, such as Su combat aircraft, are advanced weapon systems in the global market, the backbone of the frontline aviation of Russia and tactical air forces of many other countries. SCAC is engaged in R&D in the field of production, promotion and long-term development of civil aviation technology. Also, together with the other enterprises controlled by CJSC Sukhoi, SCAC develops RRJ/SSJ 100 passenger aircraft.   

JSC Ufa Engine Industrial Association (UMPO) is the largest air engine-building producer in Russia. Its major activities are production and service maintenance of turbojet engines, production and repair of transmissions for helicopters, and production of civil ground application units. In compliance with the Russian Government’s Decree the Association is among the enterprises producing engines of the 5th generation.