Management of LenSpetsSMU had a regular meeting with the investors at the MICEX

01.02.2007

On Wednesday, 31/01/2007, the management of LenSpetsSMU, in the presence of the Vice President of the Holding, Anton Evdokimov, and CFO Valery Borzilov, met with the investors at the MICEX.
The meeting was dedicated to the results of the "Etalon-LenSpetsSMU"-Holding activities for the year 2006. For the accounting period, the Holding demonstrated an increase in all key performance indicators (see Presentation): cash flow increased almost twice YoY, the number of signed agreements increased forty-five percent, the volume of the address program increased thirty percent. LenSpetsSMU also achieved success in finance:

  • The company credit portfolio was refinanced: credits in the amount of 46 million dollars were repaid ahead of schedule and the credit of 12 million dollars was taken for a period of 5 years in the Amsterdam Trade Bank;
  • The obligations under the bond loan put-option of series 01 were executed: repayment of 30% of the bonds bought up by the issuer was presented. Taking into account sound liquidity of cash flows in all of 2006, the decision was accepted to not sell the bonds bought up according to the offer in the secondary market;
  • the bond loan of series 02 of the volume of 1,5 billion rbl., with the maturity 3,5 years and the put-option in 2 years after issue was placed. The originator is the Bank of Moscow;
  • As a result, the structure of the Holding debt was essentially improved by increasing the share of public debt, reduction in the share of mortgage financing, increase of duration and lowering of the interest rates;
  • Preparation of the consolidated audited reporting for IFRS (IAS) for 3 years (2003, 2004 and 2005) was completed. The auditor for the given reporting was the international auditor networkHorwath International.
  • The rating procedure was passed in the international rating agency Standard and Poor's. According to the international scale, LenSpetsSMU obtained the "B"-rating, outlook is stable; according to the national "ruA-" scale. The same rating according to the national scale was also appointed to the bonded loans of series 01 and 02. LenSpetsSMU became the first construction company in Russia to have received a credit rating from an international rating agency.

Valery Borzilov also announced company plans to issue credit notes in the first quarter of 2007.

Igor Nikolaevich Frolovsky, head of the Department for Organization of Securities Issue of the Bank of Moscow, participated in the meeting and designated success of the company in the stock market.