Interfax cited Mr Dmitry Yeremeev Freight Two Deputy General Director for Economics and Finance as saying that OJSC Russian Railways subsidiary OJSC Freight Two plans to raise RUB 25 billion in Russian banks to finance its investment program in 2012.

Mr Yeremeev said the total amount of the railway operator's 2012 capex plan is RUB 50 billion. Freight Two plans to acquire 15,000 freight cars and modernize around 50,000 freight cars with train life services. The company is also looking at the possibility of purchasing freight cars from OJSC Uralvagonzavod and CJSC Tikhvin Railcar Building Plant, which belongs to IST Group.

Freight Two was created in the course of the reform of Russia's railroad transport as a wholly owned subsidiary of RZD, which handed over 156,400 freight cars to the new operator. Freight Two operates a total of 180,100 cars including 23,700 subleased from RZD.

(Sourced from Interfax)