OREANDA-NEWS. December 31, 2009. One of Russia's largest cereal processing companies, Nastyusha, has defaulted on its 1-series ruble bonds for a total of RUB 1.1 bn.

Nastyusha attributed the default to the financial difficulties caused by a shortage of working capital, limited borrowing opportunities and a surge in rates on its current debt commitments. Apart from lax liquidity and higher interest rates, the company was hit by the unfavorable environment on the real estate market, as earlier Nastyusha launched construction of a residential facility worth RUB 26 bn in the territory of Moscow Cereal Product Works, which it owns.