‘Rostec’ to support large sports and hunting weapons exporter
Rostec corporation will help major Russian sports and hunting weapons manufacturer and exporter ‘Vyatskie Polyany Machine Building Plant’ to stay afloat
Its subsidiary company ‘Molot-Guns’ LLC will receive a loan of RUR100 mln. Rostec became the guarantor of this loan, which will be provided by ‘Novikombank’.
The money will be used to increase the working assets of ‘Molot-Guns’ and provide its industrial production. The company is in charge of selling ‘Vyatskie Polyany Machine Building Plant’ products. Assistance in getting bank loans is a part of ‘Rostec’ anti-crisis program regarding its companies. With the help of Rostec the debt of ‘Vyatskie Polyany Machine Building Plant’ to ‘VTB bank’ and ‘Sberbank’ (over RUR500 mln) was partially restructured and redeemed. The tax debt of RUR57 mln was also restructured. In 2009-2010 ‘Rostec’ helped the plant to receive subsidies from federal and regional budgets.
The recovery of ‘Molot’ began in 2009, when it was transferred as asset contribution of Russian Federation to the nominal capital of ‘Rostec’ corporation. Thanks to prompt measures there was a significant increase in production in monetary terms – from RUR352 mln in 2009 to RUR1.09 bln in 2011. The plant has received many profitable orders including the orders from ‘Oboronexport’ and Russian Ministry of Defense and became the only Russian enterprise utilizing small arms.
Over the past 3 years the enterprise has become the leading Russian manufacturer of sports and hunting weapons. Today the plant occupies 24% of the domestic market and it is planned to increase this index up to 30-35%. ‘Molot’ is the major Russian exporter of sports and hunting weapons. The enterprise exports its products to the USA, Germany, Afghanistan, Mongolia, Kazakhstan, Armenia, Ukraine, Greece, Azerbaijan, Kyrgyzstan and others.
‘Vyatskie Polyany Machine Building Plant’ (situated in the town Vyatskie Polyany in Kirov region) is the leading Russian manufacturer of sports and hunting products. It also manufactures equipment for oil-producing complex, gas boilers, travel accessories etc. Vyatskie Polyany Machine Building Plant and its subsidiary companies provide 2950 jobs. In 2009 it was transferred as an asset contribution of Russian Federation to the nominal capital of ‘Rostec’ corporation. The Director General of Vyatskie Polyany Machine Building Plant is Gennadiy Brusnigin. In 2011 its production volume was RUR1,09 bln
‘Rostec’ was established in November 2007 to support Russian industry in developing, producing and exporting high-tech industrial products. The corporation includes 22 directly managed companies and 17 holdings, of which 12 are in the defence sector and five in civil industry. In total ‘Rostec’ comprises about 600 companies. The corporation has its headquarters in Moscow, and has a presence in 60 of Russia’s regions. It exports its products to 70 countries.
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