MMK`S STRONG FINANCIAL POSITION LOWERS RISK LEVEL
•While implementing the investment program, MMK management maintains one of the strongest balances in the sector. Debt burden is the least among the Russian steel companies. Total debt stands at 1.6 billion USD, while net debt equals to 865 million USD. In Q2 2009 total debt continued decreasing, while short-term debt dropped by 20% due to premature repayment of credit facilities of Russian banks. It is worthwhile mentioning the decrease of the short-term part of total debt – down to 56% at the end of Q2 2009 from 75% in the beginning of 2009. Besides, revolving credit facilities of traders affiliated with MMK for financing steel shipments account for 22% of the short-term debt.
•The balance sheet is characterized by a high level of stability: equity accounts for 71% of total assets, the debt to equity ratio stands at 17.6%, representing one of the lowest risks in the Russian steel sector.
Read more in following reports:
Magnitogorsk Iron and Steel Works (MMK), Company Update and Analyst Comment on Latest Events 10/23/09
Magnitogorsk Iron and Steel Works (MMK), Comment on MMK`s Latest Events, Forecast on Growth and Risk 10/23/09
•While implementing the investment program, MMK management maintains one of the strongest balances in the sector. Debt burden is the least among the Russian steel companies. Total debt stands at 1.6 billion USD, while net debt equals to 865 million USD. In Q2 2009 total debt continued decreasing, while short-term debt dropped by 20% due to premature repayment of credit facilities of Russian banks. It is worthwhile mentioning the decrease of the short-term part of total debt – down to 56% at the end of Q2 2009 from 75% in the beginning of 2009. Besides, revolving credit facilities of traders affiliated with MMK for financing steel shipments account for 22% of the short-term debt.
•The balance sheet is characterized by a high level of stability: equity accounts for 71% of total assets, the debt to equity ratio stands at 17.6%, representing one of the lowest risks in the Russian steel sector.
Read more in following reports:
Magnitogorsk Iron and Steel Works (MMK), Company Update and Analyst Comment on Latest Events 10/23/09
Magnitogorsk Iron and Steel Works (MMK), Comment on MMK`s Latest Events, Forecast on Growth and Risk 10/23/09
