Indian Orders For Russian Helicopters to Boost Motor Sich Sales

India announced yesterday that it would purchase 80 Russian Mi-17 helicopters and 150 Mi-8, and Mi-35 helicopters. Motor Sich (MSICH: BUY) produces engines for most Russian helicopters including the types listed above. In addition Indian representatives said they were looking to buy roughly 200 Russian helicopters after 2008. These orders are likely to provide yet another driver to MSICH stock however, we will wait for the contracts to be signed and delivery dates set before possibly adjusting our forecasts for the company. The company lifted its 9M sales to USD 223.6 mln. Sales so far this year are in line with our fullyear 2007 projections (USD 333 mln), and margins slightly above yearend forecasts of a 23% EBITDA margin and 9% net margin