Ukrzaliznytsia could ask 2021 noteholders to approve changes to conditions of note issue
Public joint-stock company Ukrzaliznytsia is mulling the possibility of asking the holders of its $500 million notes due in 2021 to approve amendments to the underlying transaction documents for the notes to address certain issues relating to the ongoing restructuring of certain local debt facilities of the company.
The company said in a report on the Irish Stock Exchange (ISE) on Tuesday that the company notified its investors at a conference call made to discuss its financial results for January-September 2017.
The company did not specify other details.
Ukrzaliznytsia said in a press release that acting Board Chairman Yevhen Kravtsov said at the conference call than expenses, the considerable decrease in the credit portfolio, the expansion of the operative fleet of wagons, growth of transit transportation by 3.2% and other things.
"The situation in the company has stabilized and the results for nine months show this: net profit of UAH 80.4 million, while for the corresponding period of the last year the company saw a loss according to international financial reporting standards," he said.
He said that the company expects to see profit at the end of this year.
"Now we are working on the financial plan for 2018, preferably to have an approved main financial document at the beginning of the year," Kravtsov said.
He also pointed out the importance of fair tariff policy, in particular, the need for indexation of tariffs at a level not lower than the industrial price index and the introduction of deregulation of the wagon component of the tariff - the fee for the use of wagons. This will contribute to the fact that PJSC Ukrzaliznytsia will be on equal terms with other market participants, increase its efficiency and profitability.