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. Last Updated: 07/27/2016

Business in Brief

Power Cut to Moskvich

The Moscow Times

Mosenergo has cut off electricity to the Moskvich car factory, Interfax reported the general director of Mosenergo, Alexander Remezov, as saying Friday.

Moskvich’s debt over the past five months alone has risen from 300 million rubles ($10.74 million) to 500 million rubles.

The plant’s main assembly conveyor has been shut down already said Remezov.

Mosenergo does not intend to cut Moskvich off entirely, he said. Heating is still being supplied.




Inkombank Loses Case

Vedomosti

A Moscow arbitration court has unfrozen a share issue made by the Babayevsky confectionery firm.

The share issue will dilute the bank’s 51.06 percent controlling stake to 38.3 percent in the best asset it has owned since the crisis.

The Babayevsky plant is the largest confectionery enterprise with Russian capital in the country. It controls 7 percent of the market while Krasny Oktyabr accounts for 5 percent. Of the foreign-owned firms, Nestl? and Stollwerck control 36 percent and 20 percent, respectively.

The Babayevsky concern includes factories in Moscow, Chelyabinsk, Novosibirsk, Nizhny Novgorod and Blagoveshensk.

The company produces about 200,000 tons of goods per year.

A court declared Inkombank bankrupt on Feb. 1 this year and appointed Vladimir Alexeyev as competition manager.




Tender for Rail Auditor

The Moscow Times

The winner of a tender for the right to audit the Railways Ministry will be announced this month, Prime-Tass quoted Deputy Economic Development and Trade Minister Andrei Sharonov as saying Friday.

Four companies submitted applications, though Sharonov did not disclose their names. The auditor must conduct a financial and economic analysis of the ministry’s activities, he said.

Sharonov said the audit must be completed by summer 2001 though the winner of the tender must provide preliminary conclusions before April 1 as proposals for reforming the railways sector must be submitted to the government at the start of that month.