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Testimony: the Russian Economy: More Than Just Energy?
The Russian Economy: More than Just Energy? Anders Åslund, Peterson Institute for International Economics Testimony for the Committee on Foreign Affairs of the European Parliament April 2009 1 Introduction Russia has enjoyed a decade of high economic growth because of the eventually successful market reforms of the 1990s as well as an oil boom. For the last six years, however, the Russian economy has become increasingly dysfunctional because the authorities have done nothing to impede corruption. The energy sector has been a generator of corrupt revenues, and its renationalization has concentrated these corrupt incomes in the hands of the security police elite. Russia depends on the European Union for most of its exports and imports, but no free trade agreement is even on the horizon. Investments, by contrast, are relatively well secured through international conventions. In global governance, Russia has changed its attitude from being a joiner to becoming a spoiler. The disruption of supplies of Russian gas to Europe in January 2009 displayed all the shortfalls both of the Russian and Ukrainian gas sectors and of EU policy. The European Union needs to play a more active role. It should monitor gas supplies, production, and storage. It should demand the exclusion of corrupt intermediaries in its gas trade. It should demand that Russia and Ukraine conclude a long- term transit and supply agreement. The European Union should form a proper energy policy, with energy conservation, diversification, unbundling, and increased storage. This is a good time to persuade Russia to ratify the Energy Charter. The European Union should also demand that Ukraine undertake a market-oriented and transparent energy-sector reform. -
Natural-Gas Trade Between Russia, Turkmenistan, and Ukraine
Asian Cultures and Modernity Research Reports Editorial Board Birgit N. Schlyter (Editor-in-chief) Merrick Tabor (Associate editor) Mirja Juntunen (Associate editor) Johan Fresk (Assistant) International Advisory Board Prof. Ishtiaq Ahmed (Stockholm University, Sweden) Dr. Bayram Balcı (Inst. français d’étude sur l’Asie centrale, Uzbekistan) Dr. Ooi Kee Beng (Institute of Southeast Asian Studies, Singapore) Datuk Prof. Dr. Shamsul A.B. (Universiti Kebangsaan Malaysia) The Asian Cultures and Modernity Research Group A plethora of state- and nation-building programmes are being developed in present- day Asia, where governments have to consider the regionality of old ethno-cultural identities. While the cohesive power of traditions must be put into use within a particular nation, that same power challenges its national boundaries. To soften this contradiction, economic and/or political regionalism, in contrast to isolationism and globalism, becomes a solution, suggesting new and exciting routes to modernity. In studies conducted by the Asian Cultures and Modernity Research Group at Stockholm University, sociolinguistic and culture-relativistic perspectives are applied with the support of epistemological considerations from the field of political science. Department of Oriental Languages Stockholm University SE-106 91 Stockholm E-mail: [email protected] ISSN 1651-0666 ISBN 978-91-976907-2-0 Asian Cultures and Modernity Research Report No. 15 Natural-Gas Trade between Russia, Turkmenistan, and Ukraine Agreements and Disputes by Michael Fredholm Department of South and Central Asian Studies Stockholm University Editorial Note The author has written extensively on the history, defence and security policies, and energy sector developments of Eurasia. He also heads the business research company Team Ippeki. -
(The “Notes”) Issued by Eurasia Capital S.A
5 November 2019 Dear Ladies and Gentlemen Proposed offering of Perpetual Callable Loan Participation Notes (the “Notes”) issued by Eurasia Capital S.A. (the “Issuer”) The Issuer is proposing to undertake an offering (the “Offer”) of the Notes on the terms set out in a series prospectus dated 5 November 2019 (the “Series Prospectus”) which is being sent or made available to you with this letter. This letter contains important information relating to restrictions with respect to the offer and sale of the Notes (including pursuant to the PI Rules (as defined below) to retail investors). RESTRICTIONS WITH RESPECT TO THE MARKETING, OFFER AND/OR SALE OF NOTES TO RETAIL INVESTORS The Notes discussed in the attached Series Prospectus are complex financial instruments and are not a suitable or appropriate investment for all investors. In some jurisdictions, regulatory authorities have adopted or published laws, regulations or guidance with respect to the offer or sale of securities such as the Notes to retail investors. In particular, in June 2015, the UK Financial Conduct Authority (the “FCA”) published the Product Intervention (Contingent Convertible Instruments and Mutual Society Shares) Instrument 2015 (the “PI Instrument”). In addition, (i) on 1 January 2018, the provisions of Regulation (EU) No. 1286/2014 on key information documents for packaged and retail and insurance-based investment products (“PRIIPs”) became directly applicable in all EEA member states and (ii) the Markets in Financial Instruments Directive 2014/65/EU (as amended) (“MiFID II”) was required to be implemented in member states of European Economic Area (“EEA”) by 3 January 2018. -
Russia: Investment Banking Review Full Year 2019 Refinitiv Deals Intelligence
Russia: Investment Banking Review Full Year 2019 Refinitiv Deals Intelligence 1 QUARTERLY HIGHLIGHTS HIGHLIGHTS M&A FEES UP 151% M&A TOP FINANCIAL ADVISOR ECM FEES UP 808% VTB Capital DCM FEES UP 13% ECM TOP BOOK RUNNER Goldman Sachs & Co LOAN FEES DOWN -2% DCM TOP BOOK RUNNER ANY INV. M&A DOWN -5% VTB Capital TARGET M&A DOWN -5% M&A TOP TARGETED INDUSTRY ECM PROCEEDS UP 499% Industrials DCM PROCEEDS UP 12% DCM TOP ISSUING ECM TOP ISSUING Click on any of the above arrows to INDUSTRY INDUSTRY go straight to the analysis. Financials Materials CLICK BELOW TO SIGN UP FOR OUR NEWSLETTERS, PURCHASE CUSTOMIZED DATA OR FOLLOW US ON SOCIAL MEDIA: 2 REPORT SUMMARY INVESTMENT BANKING FEES Investment banking fees in Russia reached an estimated US$347.7 million during 2019, 80% more than the value recorded during 2018 when fees sunk to the lowest level since 2002. The 2019 Russian investment banking fee total is 31% less than the decade average of US$501.2 million annually. Fees generated from completed M&A transactions increased 151% year-on-year to US$87.4 million. Equity capital markets fees totalled US$103.4 million, more than nine-times the value earned during 2018, while debt capital markets underwriting fees increased 13% to US$103.3 million. Syndicated lending fees declined 2% to a seventeen-year low of US$53.9 million. Both equity and debt capital markets underwriting fees each accounted for 30% of the overall Russian investment banking fee pool. Syndicated lending fees accounted for a 15% cut, while M&A advisory fees accounted for 25%, the highest share since 2015. -
Annual Report Annual Reportannual
World without barriers 2009 Annual report Annual reportAnnual 2009 Presence Overcoming Distance Cooperation with VTB, an international financial group, enables you to control all your business processes, no matter where you are. Mission and values Mission To provide world-class financial services for a sustainably better future for our customers, our shareholders and our society. Values Customer confidence. Our customers’ confidence is our most important value. Reliability. Our prominent position in financial markets, our international expertise and our global scale guarantee our strength and reliability. Transparency. Our business is open and transparent with a focus on partnership and cooperation. Versatility. Our expertise in different financial areas allows us to offer all customers comprehensive and sophisticated solutions. Team Spirit. Our dedicated team of professionals has the advantage of the synergy of knowledge, potential, energy and creative insight of each team member. Vision VTB will be a champion in all our target markets. Identity VTB Group is the leading Russian financial institution with global presence and scale. VTB 2009 Annual Report 2 Statement of the Chairman of the Supervisory Council Dear shareholders, clients and partners, Looking back at 2009, we are pleased that within the overall context of the global economic crisis Russia managed to avoid the worst fears of the market. The domestic economy largely overcame the issues posed by the crisis and even entered the first stage of economic recovery. The current state of the national banking sector can also be considered in a positive light as, in general, it has already achieved stability. The measures undertaken by the Government and the Bank of Russia to support banks in the second half of 2008 and throughout 2009 generally overcame the lack of liquidity in the market and maintained the stability of the financial system by meeting the credit supply needs of the real economy. -
Privatization in Russia: Catalyst for the Elite
PRIVATIZATION IN RUSSIA: CATALYST FOR THE ELITE VIRGINIE COULLOUDON During the fall of 1997, the Russian press exposed a corruption scandal in- volving First Deputy Prime Minister Anatoli Chubais, and several other high- ranking officials of the Russian government.' In a familiar scenario, news organizations run by several bankers involved in the privatization process published compromising material that prompted the dismissal of the politi- 2 cians on bribery charges. The main significance of the so-called "Chubais affair" is not that it pro- vides further evidence of corruption in Russia. Rather, it underscores the im- portance of the scandal's timing in light of the prevailing economic environment and privatization policy. It shows how deliberate this political campaign was in removing a rival on the eve of the privatization of Rosneft, Russia's only remaining state-owned oil and gas company. The history of privatization in Russia is riddled with scandals, revealing the critical nature of the struggle for state funding in Russia today. At stake is influence over defining the rules of the political game. The aim of this article is to demonstrate how privatization in Russia gave birth to an oligarchic re- gime and how, paradoxically, it would eventually destroy that very oligar- chy. This article intends to study how privatization influenced the creation of the present elite structure and how it may further transform Russian decision making in the foreseeable future. Privatization is generally seen as a prerequisite to a market economy, which in turn is considered a sine qua non to establishing a democratic regime. But some Russian analysts and political leaders disagree with this approach. -
Announcing: Finalists Circle for the Prestigious M&A
GLOBAL MAJOR MARKETS CONGRATULATIONS to all the OUTSTANDING FINALISTS of the YEAR, 2014 ANNUAL AWARDS GALA DINNER June 12, 2014, New YORK, USA. Global M&A Network congratulates the distinguished group of finalists nominees for the one and only, GLOBAL MAJOR MARKETS, M&A ATLAS AWARDS. Prestigious awards exclusively honors excellence from all corners of the globe for executing M&A transactions valued above a billion dollars as always in the categories of: 40 Deal, 7 Outstanding Firm and 4 Global M&A Dealmakers of the Year awards. In a highly competitive process, a total of 185 transactions closed during January 2013 to January 31, 2014 were evaluated. From the pool of 185 deals, 106 deals are included in the finalists list. Eventually, only 40 deals will win at the annual awards gala. Prestige: Winning the M&A ATLAS AWARDS conveys a resounding message that the winner has accomplished the highest performance and excellence standards, worldwide. As always, the winners are selected independently for closing the best value-generating and game- changing transformational transactions based on identifiable criteria such as deal novelty/structure, sector/jurisdiction/market complexities, synergies/rationale/style, financial value, brand competitiveness, leadership, tenacity, resourcefulness and additional related metrics. Winners Circle Celebration: Winners are honored at the awards dinner trophy presentation ceremony held on June 12, 2014 at the Harvard Club of New York. WHAT to DO if you are among the coveted group of distinguished finalists? If you submitted nominations, please confirm your guest attendance for the annual Awards Gala Dinner, held on the evening of June 12, 2014, NY. -
Merger RZB Into RBI (EMTN Note Programme)
Notice to Noteholders under the Euro Medium Term Note Programme of Raiffeisen Zentralbank Österreich Aktiengesellschaft (the "Programme") Merger of Raiffeisen Zentralbank Österreich Aktiengesellschaft into Raiffeisen Bank International AG Notes outstanding under the Programme (the "Notes"): Series ISIN Series ISIN Series ISIN Series ISIN No. No. No. No. 8 XS0120255137 54 XS0289338609 89 XS0361753204 108 XS0439489625 11 XS0146284442 59 XS0300807939 100 XS0383448114 On 18 March 2017, the down-stream merger of Raiffeisen Zentralbank Österreich Aktiengesellschaft ("RZB") into its majority-owned subsidiary Raiffeisen Bank International AG ("RBI") ("Merger") was registered in the Austrian company register (Firmenbuch ). The Merger occurred under Austrian law pursuant to which RBI became the universal successor of RZB, assuming all of its rights and liabilities (including those under the Notes). Deutsche Trustee Company Limited as trustee (the “Trustee”) for the holders of the Notes (the "Noteholders") has determined pursuant to Clause 10.1 of each of the Trust Deeds (as defined below) appertaining to each of the Series of Notes that any Potential Event of Default or Event of Default that might have otherwise occurred as a result of the Merger pursuant to: (A) Conditions 10(e)(i), 10(e)(ii) and 10(h) of the Notes constituted by each of the 1999 Trust Deed and the 2001 Trust Deed (as defined below); and (B) Conditions 14(e)(i), 14(e)(ii) and 14(h) of the Notes constituted by each of the 2006 Trust Deed, the 2007 Trust Deed and the 2009 Trust Deed (as defined below), shall not be treated as such for the purposes of the Notes. -
Austrian Raiffeisen Zentralbank Through the 2006-2010 Crisis
B&L Business & Leadership Nr. 2 - 2011, pp. 53-75 ISSN 2069-4814 AUSTRIAN RAIFFEISEN ZENTRALBANK THROUGH THE 2006-2010 CRISIS Author ∗ Hubert Bonin Abstract: Far less known than big capitalist banks, a few institutions issued from philanthropic sectors succeeded in stretching all over new European and even international markets. Two Austrian banks maintained the rankings of the Vienna place, Erste Bank and Raiffeisen Bank. This latter duplicated its Austrian activities through an array of subsidiaries in balkanic, central and eastern Europe. This raised issues about the evolution of its portfolio of skills, its mode of governance through the process of fixing rules to risk-taking, and about its ability of practicing “regional universal banking” without weakening its corporate culture in risk management and in supervising retail banking and customership among professionals and small and medium sized enterprises. The recent crisis altogether raised concerns about this success and cases studies to gauge the resiliency of this new big actor of European commercial banking. All over Europe, banks were confronted to the direct (bad loans, huge losses on proprietary trading) or indirect (global crisis of confidence, refinancing and even illiquidity) effects of the recent financial crisis. Although the overall picture is that cooperative banks have weathered the crisis relatively well, they also had to take substantial losses (see chapter XXX for an European comparison of banking performance during the recent crisis). In France the head groups of mutualist banks Banques populaires and Caisses d’épargne have been stricken harshly by the banking crisis in 2007-2008; in Germany, the regional half-central or federal banks (Landesbanken, as state banks linked with savings banks) are mostly crippled by a dire crisis of governance, management and strategy; even in Spain, a few thrift (but not cooperative) institutions had to bear the load of their over-investments or - lending in favour of real estate and building companies. -
Russia Intelligence
N°70 - January 31 2008 Published every two weeks / International Edition CONTENTS SPOTLIGHT P. 1-3 Politics & Government c Medvedev’s Last Battle Before Kremlin Debut SPOTLIGHT c Medvedev’s Last Battle The arrest of Semyon Mogilevich in Moscow on Jan. 23 is a considerable development on Russia’s cur- Before Kremlin Debut rent political landscape. His profile is altogether singular: linked to a crime gang known as “solntsevo” and PRESIDENTIAL ELECTIONS sought in the United States for money-laundering and fraud, Mogilevich lived an apparently peaceful exis- c Final Stretch for tence in Moscow in the renowned Rublyovka road residential neighborhood in which government figures « Operation Succession » and businessmen rub shoulders. In truth, however, he was involved in at least two types of business. One c Kirillov, Shestakov, was the sale of perfume and cosmetic goods through the firm Arbat Prestige, whose manager and leading Potekhin: the New St. “official” shareholder is Vladimir Nekrasov who was arrested at the same time as Mogilevich as the two left Petersburg Crew in Moscow a restaurant at which they had lunched. The charge that led to their incarceration was evading taxes worth DIPLOMACY around 1.5 million euros and involving companies linked to Arbat Prestige. c Balkans : Putin’s Gets His Revenge The other business to which Mogilevich’s name has been linked since at least 2003 concerns trading in P. 4-7 Business & Networks gas. As Russia Intelligence regularly reported in previous issues, Mogilevich was reportedly the driving force behind the creation of two commercial entities that played a leading role in gas relations between Russia, BEHIND THE SCENE Turkmenistan and Ukraine: EuralTransGaz first and then RosUkrEnergo later. -
Global Expansion of Russian Multinationals After the Crisis: Results of 2011
Global Expansion of Russian Multinationals after the Crisis: Results of 2011 Report dated April 16, 2013 Moscow and New York, April 16, 2013 The Institute of World Economy and International Relations (IMEMO) of the Russian Academy of Sciences, Moscow, and the Vale Columbia Center on Sustainable International Investment (VCC), a joint center of Columbia Law School and the Earth Institute at Columbia University in New York, are releasing the results of their third survey of Russian multinationals today.1 The survey, conducted from November 2012 to February 2013, is part of a long-term study of the global expansion of emerging market non-financial multinational enterprises (MNEs).2 The present report covers the period 2009-2011. Highlights Russia is one of the leading emerging markets in terms of outward foreign direct investments (FDI). Such a position is supported not by several multinational giants but by dozens of Russian MNEs in various industries. Foreign assets of the top 20 Russian non-financial MNEs grew every year covered by this report and reached US$ 111 billion at the end of 2011 (Table 1). Large Russian exporters usually use FDI in support of their foreign activities. As a result, oil and gas and steel companies with considerable exports are among the leading Russian MNEs. However, representatives of other industries also have significant foreign assets. Many companies remained “regional” MNEs. As a result, more than 66% of the ranked companies’ foreign assets were in Europe and Central Asia, with 28% in former republics of the Soviet Union (Annex table 2). Due to the popularity of off-shore jurisdictions to Russian MNEs, some Caribbean islands and Cyprus attracted many Russian subsidiaries with low levels of foreign assets. -
Press Release (PDF)
MECHEL REPORTS THE FY2020 FINANCIAL RESULTS Consolidated revenue – 265.5 bln rubles (-8% compared to FY 2019) EBITDA* – 41.1 bln rubles (-23% compared to FY 2019) Profit attributable to equity shareholders of Mechel PAO – 808 mln rubles Moscow, Russia – March 11, 2021 – Mechel PAO (MOEX: MTLR, NYSE: MTL), a leading Russian mining and steel group, announces financial results for the FY 2020. Mechel PAO’s Chief Executive Officer Oleg Korzhov commented: “The Group’s consolidated revenue in 2020 totaled 265.5 billion rubles, which is 8% less compared to 2019. EBITDA amounted to 41.1 billion rubles, which is 23% less year-on-year. “The mining division accounted for about 60% of the decrease in revenue. This was due to a significant decrease in coal prices year-on-year. In conditions of coronavirus limitations, many steelmakers around the world cut down on production, which could not fail to affect the demand for metallurgical coals and their price accordingly. By the year’s end the market demonstrated signs of a recovery, but due to China’s restrictions on Australian coal imports, coal prices outside on China remained low under this pressure. High prices in China have supported our mining division’s revenue to a certain extent. In 4Q2020 we increased shipments to China as best we could considering our long-term contractual obligations to partners from other countries. These circumstances became in many ways the reason for a decrease in our consolidated EBITDA. In Mechel’s other divisions EBITDA dynamics were positive year-on-year. “The decrease in the steel division’s revenue was also due to the coronavirus pandemic.