Bogdan Corp's production cut nearly threefold yoy in 2M09

Bogdan Corporation, which includes Bogdan Automobile Plant (LUAZ), said yesterday that its production in 2M09 was reduced 2.9x yoy to 4,032 vehicles. Bogdan attributed the decrease to a drop in demand for new cars. At the same time, the company highlighted a shift in production to cheaper models. Its share of Lada cars (cheaper than KIA and Hyundai models produced by Bogdan) increased from 22% in Feb. 2008 to 80% in Feb. 2009. Last year, Bogdan made 88,316 ths passenger automobiles, up 63.4% yoy, and 3,775 ths buses, up 16.1% yoy.