Luhanskteplovoz boosts output twofold y-o-y in 7M11

Luhanskteplovoz (UX: LTPL UK) produced 42 2TE-116UM and eight 2TE116U diesel locomotive sections, as well as four 2EL-5 and two 2EL-4 electric locomotives sections in 7M11. The total value of the sections was UAH 797 mln, up 2x y-o-y, Interfax reported yesterday. The company made 10 locomotive sections (2TE-116UM) for Ulan-Bator Railway (Mongolia), two locomotive sections (2TE116U) for RZD (Russia) and two electric locomotives sections (2EL-4) for Ukrzaliznytsya in July 2011, worth UAH 210 mln, also up 2x y-o-y. Luhanskteplovoz’ 7M11 production figure is generally in line with our projections for the company. We expect Luhanskteplovoz to post a top line of UAH 1.5 bln in 2011, up 76% y-o-y.