13:11 30.03.2021

Ukrzaliznytsia intends to revise unprofitable contracts for long-term car rental - acting head

2 min read
Ukrzaliznytsia intends to revise unprofitable contracts for long-term car rental - acting head

JSC Ukrzaliznytsia intends to achieve revision of unprofitable contracts for long-term car rental, acting chairman of board of Ukrzaliznytsia Ivan Yuryk said in an exclusive interview with the Interfax-Ukraine agency.

He responded positively to the question of whether the company plans to seek a revision of contracts concluded under ex-head Volodymyr Zhmak, such as long-term car rental.

"Yes, we plan. Based on the results of negotiations with our main clients, we must come to a solution to this issue," Yuryk said.

Earlier, Ukrzaliznytsia offered the market a service of long-term car rental at a fixed price, while under some agreements the rental rate was set significantly lower than the market rate - at UAH 480/day.

"We receive money on a "take-or-pay" basis. So even when our cars are idle, we receive compensation for such a downtime. Therefore, having leased over our cars for UAH 480 for three years, we guaranteed the company a stable income. And if we sit and wait, when these 480 become 900, then we will return to the line of cars standing unclaimed under the fence," former head of Ukrzaliznytsia Volodymyr Zhmak commented on this initiative in an interview with Interfax-Ukraine.

As reported, the Cabinet of Ministers of Ukraine, on the recommendation of the supervisory board of Ukrzaliznytsia, on March 17 dismissed chairman of the board Zhmak and reappointed Ivan Yuryk to the post of acting chairman of the board (incumbent member of the board).

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