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"Rusal" and ISC expanded contract

In late December, the representatives of «Rusal» reported increased existing 3hletnego service contract with the PGA, the First freight company. The initial agreement was signed on 25 April this year. The contract provides for the transportation of finished goods in the open-ended with the aluminum companies «Rusal» on the territory of R. F. New contract clauses stipulate an increase in monthly shipments of aluminum and other products. Since the beginning of 2015 monthly volumes of 90−120 thousand tons will increase to the level of 450−500 thousand tons. In addition to finished goods Freight will transport raw materials, intended for companies «Rusal». According to expand the range of goods will be increased and used rolling stock. In addition boxcars cargo gondola cars will be delivered and mineral fertilizer.

According to Vladislav Solovyov, general director of the aluminum company, the revision of the contract corresponds to the previously developed «RUSAL» strategy. It concerns the reduction in the area of ​​logistics and transport costs. The program also provides for the reduction of stocks in warehouses in general and reduction of working capital. According to preliminary data in the implementation of the program reduction of logistics costs in 2013−2014. around 45 million. USD. The contract with the PGA will bring additional profit of about 4 million. USD in 2015. Oleg Bukin, CEO of ISC, said the conclusion of agreements as a natural result of the positive experience of previous work with «Rusal». New technology on customer orientation, implements ISC, based on its comprehensive service maintenance. Together with her and other products provided by the company, adapted to the needs and interests of shippers.

The director of the aluminum company sales in the Russian and CIS markets, Roman Andryushin, expects growth of «Rusal» on the entire product line and in the Russian Federation and CIS countries. These expectations are reasonable, given the increase of interest to both aluminum products and technology of its production in Uzbekistan and Kazakhstan. There is an increase of production capacity for the manufacture of products from aluminum alloys. As for the exchange rate changes, the R. Andryushin notes drop in demand for the Russian market and abroad due to the ruble devaluation.

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