According to Mr Vladimir Markin the Company President, United Metallurgical Company’s revenue in 2011 may decrease by 7% to 8%.

He said that decrease in net income and EBITDA for the current year is expected to reach 15%, compared to 2010.

Mr Markin said “Reducing rates is related to a decreased utilization capacity in the second half of this year, especially large diameter pipes. However, this did not happen due to the cancellation of the pipe projects, rather because of the adjustment of the projects start-up; Gazprom in the first place, noting that these projects are expected to be launched in the second quarter of next year.”

He said due to decrease in the production of large-diameter pipes a decrease in production volumes in 2011 is also expected. Mr Markin also noted that the OMK’s revenue for the nine months of 2011 amounted to about 70 billion rubles.

(Sourced from www.metalinfo.ru)