South Caucasus railways to invest 1.1 billion ruble sin 2012 in upgrading the system
13.12.2011,
21:37
The Russian-run South Caucasus Railways (SCR) company operating Armenia’s railroads said it is going to invest 1.1 billion rubles in 2012 in upgrading of the system.
YEREVAN, December 13, /ARKA/. The Russian-run South Caucasus Railways (SCR) company operating Armenia’s railroads said it is going to invest 1.1 billion rubles in 2012 in upgrading of the system. In a press release the company said the 2012 investment program was approved by SCR board meeting held last Friday in Moscow.
"The parameters of the investment program will ensure that the company fulfils its concession commitments for 2008-2012 by 100.4%", the press release said.
According to the report, SCR CEO Shevket Shaidullin said that the company plans to reach break-even level in 2011. Chairman of the board of directors of SCR, the president of Russian Railways Vladimir Yakunin, highly assessed the results of SCR performance in 2011. The press release says SCR staff members, who contributed to its achievements in 2011, will be awarded money and other prizes.
In 2007 the Armenian government called tenders for a 30-year concession to modernize and operate Armenian Railways. An Indian RITES and Russian Railways qualified to bid, but the Indian company withdrew. The Russian Railways was the only bidder and has set up South Caucasian Railway as a subsidiary to run the Armenian Railway. On the 1st of June 2008 South Caucasus Railways (SCR) officially started business operations under a concession agreement to manage Armenian Railways. In that connection, by 1 June 2008, SCR, a wholly-owned subsidiary of Russian Railways, received property owned by Armenian Railways consisting of 2,000 freight cars, 58 passenger coaches, 85 locomotives and 30 electric trains. The concession agreement was concluded for 30 years, with a right of extension for another 20 years after the first 20 years of operation. -0-
"The parameters of the investment program will ensure that the company fulfils its concession commitments for 2008-2012 by 100.4%", the press release said.
According to the report, SCR CEO Shevket Shaidullin said that the company plans to reach break-even level in 2011. Chairman of the board of directors of SCR, the president of Russian Railways Vladimir Yakunin, highly assessed the results of SCR performance in 2011. The press release says SCR staff members, who contributed to its achievements in 2011, will be awarded money and other prizes.
In 2007 the Armenian government called tenders for a 30-year concession to modernize and operate Armenian Railways. An Indian RITES and Russian Railways qualified to bid, but the Indian company withdrew. The Russian Railways was the only bidder and has set up South Caucasian Railway as a subsidiary to run the Armenian Railway. On the 1st of June 2008 South Caucasus Railways (SCR) officially started business operations under a concession agreement to manage Armenian Railways. In that connection, by 1 June 2008, SCR, a wholly-owned subsidiary of Russian Railways, received property owned by Armenian Railways consisting of 2,000 freight cars, 58 passenger coaches, 85 locomotives and 30 electric trains. The concession agreement was concluded for 30 years, with a right of extension for another 20 years after the first 20 years of operation. -0-
