BUSINESS IN BRIEF (02/07/99)

BUSINESS IN BRIEF

German firms to join cargo plane project

KYIV - Seven German firms, including BMW-Rolls Royce and Fairchild Dornie, have agreed to join a Ukrainian-Russian project to construct a military cargo plane based on the Ukrainian-Russian AN-70 aircraft, Reuters and ITAR-TASS reported on January 25. Eight European countries were planning to announce an international tender on January 29 to choose a new cargo plane for their military forces. German firms decided to join the Ukrainian-Russian bid, which is an updated version of the military cargo plane constructed by the Ukrainian-Russian venture. The new plane is adjusted to NATO standards and can carry cargoes up to 35 tons for a distance of 3,800 kilometers at a speed of 750 kilometers per hour. The Ukrainian government on December 1, 1998, had approved a resolution initiating a joint Ukrainian-Russian project to create a medium-range transportation plane to build on the positive response generated by the AN-70 project. The document was the first practical step in the creation of a military-transportation plane of the new generation to follow completion of the AN-70 program. The AN-70 project has been one of the technological success stories of independent Ukraine, creating interest across Europe and beyond. Even during the height of the crisis, it was never threatened. Russia and Ukraine were planning a 1999 start-date for joint production of the AN-70. The plane is to be produced at factories in Kyiv and Samara. (RFE/RL Newsline, Eastern Economist)

Harvester engines go into production

KHARKIV - Kharkiv motor manufacturing plant Serp i Molot (Sickle and Hammer) began production on January 21 of engines for the grain harvester Slavutych. These 250-horsepower engines are being promoted as safe and economical. (Eastern Economist)

Corporate amenities at Dnipropetrovsk train station

DNIPROPETROVSK - The first corporate service center for rail passengers opened on January 21 at Dnipropetrovsk train station. Passengers can order tickets, a taxi, a hotel room, dinner, non-alcoholic beverages and newspapers. There is also a photocopying service available, and an office for business meetings. (Eastern Economist)

Sumy liqueur-vodka producer wins medals

SUMY - The Sumy liqueur-vodka plant took gold and silver at a Chicago trade competition on January 20. The gold medal went to the world-famous bitter liqueur Sumy Ashberry and silver went to the plant's Nedryhailivska vodka. (Eastern Economist)

Domestic nuclear production promoted

KYIV - The Energy Ministry presented the government with a draft program to develop the nuclear fuel cycle and supply nuclear fuel to the domestic nuclear power industry. Plans include increasing domestic uranium extraction, developing domestic uranium processing and zirconium production, and increasing cooperation with Russian nuclear cycle enterprises. (Eastern Economist)

New world-class hotel gets funding

KYIV - The International Finance Corp. will loan $25 million (U.S.) to rebuild the Teatralna Hotel near the national opera house to create a world-class facility, IFC CIS department head Richard Ranklin said on January 16. The creditors will be international financial fund groups and world-renowned hotellier Hilton-International. Meanwhile, the State Tourism Committee reported that Ukraine has 1,368 hotels, 50 of which are private. Thirty-five hotels qualified for three-star status. The best four-star hotels are the Kyivska in Kyiv, and the Yalta and Oreanda in Yalta. There are currently no hotels in Ukraine that can be ranked as five-star hotels. (Eastern Economist)

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