Page 100 - RUSRptOct18

produced by Sukhoi Civil Aircraft, had been struggling to compete with Boeing and Airbus equivalents. In 2014, the company delivered just 37 of civilian airliners, compared to 124 military aircraft, but has been supported by the state since 2015 . In March, Russia's President Vladimir Putin has thrown his weight behind a RUB85bn ($1.5bn) investment of the new version of SSJ100. In in February Russian privately owned airline S7 put in an order for 100 SSJ100 Russian-made “super jets”. In April, two Iranian airlines signed a memorandum of understanding with Sukhoi for the delivery of an initial 40 SSJ100.
The government is considering offering non-financial support to Russian Helicopters by imposing mandatory write-offs for old Soviet machines , therefore boosting the output of domestic helicopter maker, Kommersant d aily reported on August 31 citing memos of internal working group. The move could be motivated by the merge of the United Aviation Corporation and Russian Helicopters and the need to support the united holding with a steady flow of orders. Passenger transportation with helicopters older than 25 years could be limited. The Russia's commercial aviation market currently consists of 888 helicopters, out of which 108 are foreign machines. By far the most used model is Mi-8 with 731 machines used to transport passengers, of which 30% of Mi-8s operated by UTAir Helicopter Services. The output of Russian Helicopters declined from 290 machines in 2012 to 189 in 2016. However, in 2017 the company increased its deliveries by 17% in 2017 selling 221 machines, making the first increase in sales in five years . The company is controlled by Rostec state technology corporation (87.5%) as well as a consortium of Russian Fund for Direct Investment and Middle Eastern funds (12.5%). It was sanctioned in October 2017 by the US Department of Treasury (USDT).
9.2.4 Construction & Real estate corporate news
Cyprus-based Riverstretch Trading & Investments (RT&I) that has been
acquiring assets of the troubled O1 Group of Russian billionaire Boris Mints is affiliated with state-controlled Rosneft oil giant, Vedomosti reported on September 7 citing unnamed sources and daily's own inquiry. In August RT&I acquired 70% of Class A and 58.4% of Class B shares in О1 Properties , one of the largest owners of office spaces in Moscow and part of O1 Group that got caught up in the debacle surrounding t he so-called Garden Ring banks that went bust in the autumn of 2017 and had to be rescued by the CBR. RT&I was also hired to restructure bad debts of Rossium consortium of Roman Avdeev, whose Credit Bank of Moscow took over RUB25bn debt of O1 Group, which was collateralised with a controlling 62.5% stake in O1 Properties. Together with O1 assets RT&I now controls pension funds Budushee, Telecom Soyuz, Social Development, and Obrazovanye. The beneficiaries of RT&I have not been disclosed, but previously unnamed sources told Vedomosti daily that the company acts in the interests of Rosneft oil major and investment group Region. The latest report claims that RT&I is owned by Pavel Vashenko (90%) by Valery Mikhailov (10%), the latter reportedly being the same businessman that provided $2mn in cash for the bribery case of now jailed Economy Minister Alexei Ulyukayev , who in turn, received the "bribe" from the head of Rosneft influential Kremlin insider Igor Sechin.
100 RUSSIA Country Report October 2018 www.intellinews.com