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Russia's defense industry

Court approves settlement deal on Russian tank manufacturer's multibillion debt

The debt of Uralvagonzavod and its subsidiaries, according to recent data, totals more than 7.3 bln rubles ($114.2 mln) and $30.2 mln

© Yevgeny Kurskov/TASS

CHELYABINSK, September 28. /TASS/. Chelyabinsk Regional Arbitration Court approved a settlement agreement on the lawsuit of Alfa-Bank to Uralvagonzavod (UVZ) on the company’s multibillion-dollar debt, TASS reported the courtroom.

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The debt of the corporation and its subsidiaries, according to recent data, totals more than 7.3 bln rubles ($114.2 mln) and $30.2 mln. "The court approved the settlement agreement submitted by the parties. The proceedings were terminated," the judge said during the hearing.

The court also approved and the settlement agreement between the parties regarding the suit on execution upon property, which was a part of a loan security.

Earlier, General Director of UVZ Oleg Siyenko said that the Corporation has prepared a settlement agreement with Alfa-Bank. According to him, the settlement agreement was prepared due to the fact that UVZ has applied for state guarantees of 16 bln rubles ($250.2 mln). According to him, at the time the money was needed to fulfil UVZ commitments under the loan agreements due to expire in 2016-2018 and to extend the agreements by five years.

Uralvagonzavod is a Russian corporation, engaged in the development and production of military equipment, road construction machinery, and rail cars. The corporation has more than 40 industrial enterprises, research institutes and design bureaus.

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