Plans of privatisation to the PROOF-READER
Among the numerous enterprises which actions are exposed on check auctions, meet from time to time also leaders of the former socialist industry. One of them - Kuznetsk metallurgical industrial complex (KMK), the giant of the first five-years period. Auction on sale of its actions comes to an end on September, 29th.
KMK concerns to retsessivnoj branches - ferrous metallurgy. However against a general crisis in branch the industrial complex looks not too badly. Besides, KMK is a monopolist in the field of manufacture of important kinds of metal products and till now eksportosposoben.
According to valid provisions, actions of such large enterprises should be on sale exclusively at inter-regional auctions. However KMK to these positions has not followed, truth, having left itself possibility “ a withdrawal “. On the auctions it is exposed half-norms - 14,5 % of an authorised capital stock that the remained half could be exposed on the inter-regional auctions. Nevertheless this circumstance, on available for data, has displeased GKI, and with auction can “ to understand “.
an enterprise General characteristic
Kuznetsk metallurgical industrial complex - one of the largest in ferrous metallurgy of Russia. Principal views of let out production - agglomerate, coke, pig-iron, a steel, hire. At the enterprise 32 215 persons work.
the industrial complex has shares in the capital of some industrial, commercial and financial structures. Among them joint-stock company “ Yalta “ (13 % of an authorised capital stock), joint-stock company “ Kuzbassprombank “ (0,3 %), concern “ metallurgprom “ (12,2 %), association “ Synthesis To “ (13,8 %), joint-stock company “ the Siberian stock exchange “ (2,9 %), joint-stock company “ Roniks “ (2,5 %). The area of the ground area of industrial complex - 10 988 hectares.
for privatisation the second variant of privileges is chosen. The authorised capital stock - 1 259 863 thousand roubles - is broken into actions by a face-value of 1000 roubles.
the financial position
For an estimation of a financial condition of industrial complex to experts was necessary to be content with balance of the enterprise on the middle of last year - fresher data in respect of privatisation is not presented. The factor of an autonomy characterising independence of industrial complex from extra means, satisfies to standard values. That, however, it is impossible to tell about factor of a parity of extra and own means and about mobility factor (it, we will remind, reflects a share of the means which are in the mobile form) - the industrial complex cannot freely dispose of own means. Thus industrial complex obligations promptly grew: The trading have grown for 1992 in 1,56 times, budgetary - in 3,7 times, credit obligations - in 4,11 times.
Ferrous metallurgy traditionally is one of key industries in economy of Russia. The state of affairs in this branch affects and on not less important allied industries - after all ferrous metallurgy consumes more than half of extracted coal, a considerable share of the electric power, on its service third of all cargo transportation is fastened almost.
for the first half of the year of current year the volume of output in branch in relation to the similar period of 1992 has decreased: on pig-iron on 10 %, a steel - on 11 %, to hire - on 7 %. Recession in ferrous metallurgy should be reflected in the metal-consuming industry as a whole and is one more factor of falling of volumes of output. But here it is necessary to notice that Kuznetsk metallurgical industrial complex - a monopolist in the field of manufacture of some kinds of extremely scarce production. The industrial complex gives about half of rails made in the country, including hundred percent of rails for tram lines and undergrounds. The monopoly position of factory improves its market positions a little.
if will receive a priority of the politician industrial, instead of financial stabilisation without the state support - and without money - the industrial complex does not remain. And to it already there is an acknowledgement: in the beginning of September the government has approved the federal program on long-term modernisation of branch of a metallurgical complex and prime actions on the nearest 2 - 3 years. For its realisation granting of the preferential investment credit, softening of the taxation or a delay in payment of taxes, revision of customs export duties, in particular, is provided. However, while it is not clear, which privileges will be received by Kuznetsk industrial complex, but there is a confidence that privileges will be. Important and that, owing to the position, the branch is capable to put pressure upon the government (sometimes, uniting with miners) to receive privileges and grants to establish protectionism in the market of ferrous metals.
reconstruction is necessary for industrial complex - and here it is, of course, stereotyped. The part of projects has been begun last year existence of the USSR. For example, for erection oxygen - konverternogo shops have been involved builders from Macedonia. Erection is not finished till now, and “ allied “ means for its financing have disappeared, and for end of the project to industrial complex on 1994 - 1995 need to be found nearby 750 mlrd roubles. As the assistant to the general director has informed, the chief of department of development of a share capital Andrey Karpinsky, industrial complex expects to find these means first of all at consumers of its production. At the enterprise hope that, for example, Ministry of Railways terribly interested in production of industrial complex, in the long term will take development or bond KMK shares. Foreign firms, considering the general instability to Russia and scale of necessary expenses for reconstruction KMK, by words g - on Karpinsky, yet have not shown interest to industrial complex.
crisis Principal causes in ferrous metallurgy - stabilisation of a dollar exchange rate and insolvency of domestic consumers. It is necessary to tell that this branch is depressive and in the majority of the developed countries, but the reasons there, naturally, others: falling of demand as a result of sharp decrease in metal consumption of economy, mass switching on other constructional materials, and also toughening of requirements to an ecological component of manufacture. As in Russia more low, and the country the place is necessary to find in world division of labour it is quite probable ecological requirements that in the long term metal and metal products world production - ecologically harmful and power-intensive for more sensitive standards of industrially developed countries here will be concentrated. For this purpose there are also objective factors: presence of raw materials, power resources, base technologies, skilled shots.
however, hardly probable it is necessary to count unconditionally on possibility in escalating scales to cut currency from the Russian ecological accident. Notorious softness of our ecological restrictions - a heritage of Soviet period when local authorities and directors of the enterprises not only fur-trees from one feeding trough, but also psychologically felt themselves as members of one command. And now, when both feeding troughs different, and an overall aim (preservation and consolidation of own position) at them is reached by fidelity to opposite slogans, is difficult to hope for preservation at munitsipy - and at the federal representative power - former tolerance to millions tons of the poison which are thrown up by the Russian enterprises. Most likely, them very much and very much will press.
but nevertheless now production of domestic ferrous metallurgy, as a rule, is noncompetitive in the world market. By estimations of experts of Committee on metallurgy, taking into account qualitative characteristics and cost of production of national metallurgy, is successful compete in the world market can no more than 10 - 15 % of total of ready Russian metal products.
as to growth of cost of production of branch to constrain it at the expense of production efficiency increase while it is unreal: existing technological and organizational possibilities are used completely. Wholesale prices in ferrous metallurgy for January - July, 1993 have made 764 % to level of the same period of 1992. In second half of this year their growth will be even more appreciable, a sharp rise in price of coal and the electric power and so affects already now. However dollar exchange rate growth can change a situation - export again becomes profitable.
all told about branch as a whole has a direct bearing and on Kuznetsk industrial complex. From - for growth of industrial expenses the price of its production last months has exceeded world, and its separate kinds have lost appeal and to the internal consumer. So, according to Andrey Smirnova, the chief of department of foreign economic relations of industrial complex, cost price 1 t pig-iron without the VAT makes about 150 thousand roubles at the world price in $120 - 130. Therefore, if in doperestroechnye times KMK exported monthly about 30 thousand t pig-iron to Japan now the volume of this export has decreased. However the part of production of industrial complex (separate kinds of ready hire, steel chushki and pig-iron) has kept eksportosposobnost till now.
the big potential market for metal products KMK is China enduring building boom. However the Chinese importers are extremely unessential in payments, and the barter schemes used till now, industrial complex any more do not arrange: quality of the Chinese consumer goods low, and is a lot of efforts. By words g - on Smirnova, KMK tries to establish the connexion only with very solid firms of China. If it is possible, the wide trade channel of production will be provided.
in first half of year the big problem for industrial complex was represented also by finished goods transportation. Ports and the railway have been hammered by commercial cargoes, including the metal products which have been bought up by commercial structures (the parity internal and the world prices then still provided high profitableness of export of ferrous metal). The industrial complex could not compete to commercial structures on transport. As has told g - n Smirnov, those with might and main used “ informal “ approaches to transport workers. As a result it has turned out that in a favorable conjuncture the industrial complex has appeared as a matter of fact blocked. And now the prices for its production of a steel above world, but have appeared cars and ports were released.
the auction Course most likely will be low - some circumstances of its organisation will affect. The fund of property of the Kemerovo region has transferred carrying out of check auction to Novokuznetsk fund. Last has concluded with intermediaries - organizers the contract on which they should collect demands only from physical persons. The Novokuznetsk fund undertook to collect demands from legal bodies. According to the governmental order of Russia #757 from August, 10th, 1993 intermediaries can pay compensation. The fund has defined this compensation in 50 roubles from the demand.
the course of events has shown that this sum in any way does not justify expenses on gathering of demands. Not to frighten off at all intermediaries, the Novokuznetsk fund has suggested to pay them 50 roubles from each collected check. But also it is not enough: in demands of physical persons moves one or several vouchers, and expenses at work with physical persons the big.
therefore to intermediaries became unprofitable to develop rough activity, and gathering of demands proceeds inertly. Participation in monetary auction on which it is provided to expose 5 % of actions from check auction could become additional stimulus for intermediaries. However under the contract with intermediaries, the share in monetary auction of this or that participant will be defined by quantity of the collected vouchers at a stage of check auction. Intermediaries cannot count on a high share as, we will repeat, work with physical persons.
And the Fund of property monopolising gathering of demands from legal bodies, has no neither forces, nor desire to stir up activity. One point of demands acceptance is opened only. The vicious circle which, apparently, nobody tries to break off as a result has turned out.
KMK it was ready to participate in gathering of demands, but the property Fund is not going to cover an expense to industrial complex. By words g - on Karpinsky the fund, probably, expects to arrive the same as and in a case with neighbour KMK - Western - the Siberian metallurgical industrial complex which and the auction organisation has paid all expenses for gathering of demands itself.
However, memoirs on check auction of Zapsib hardly probable will inspire investors: there, on responses of eyewitnesses, considerable efforts for these investors otvazhivanija have been undertaken. Also did not accept demands from persons with another`s residence permit, and limited the sizes of demands, and even, apparently, have stopped their reception when have considered that checks it is collected “ there is enough “. If KMK will arrive as the auction course precisely will appear low, but to anybody to the stranger from it pleasures will not be.
the expert judgement
to Invest in the action of Kuznetsk metallurgical industrial complex for reception of short-term profit it is not meaningful. The industrial complex will search for means for capital investments, instead of for payment of dividends. If to consider these securities from the point of view of prospect for those who specialises on investments into metallurgy, investments into them can be quite justified. KMK basically cannot go bankrupt, the state will not allow. Besides, the perspective market of its production is wide not only in Russia, but also abroad. At introduction of more perfect technologies in long-term prospect and a rouble course change in short-term, industrial complex production can become competitive.
the industrial complex address: 654010, Novokuznetsk, Victory square, 1.
ARCADY - KLIMOV