So it grew in 50,5% in comparison with 2006 when the net income was 184,4 mln.gr.

In 2006 the rate of growth was 14,3%.

By the results of 2007 the net income of LKMZ grew up to 11,6mln.gr., when as last year the financial result was 3,2 mln.gr.

The part of export of realized production increased from 34,7% up to 45,9%, and in the whole the growth export constituted 64,8%.

Within 2007 the enterprise increased the production of mounted agricultural machines more than in two, the stamping production - in 82,1%, the production of axles for road-building machines - in 42%, tractor components for the Kharkov Tractor Plant - in 17,6%, and spare parts for tractors - in 14.6%.

As the President of UPEC Anatoliy Girshfeld said, LKMZ has shown that it was the successful and rapidly developing enterprise.

He also noticed that «some kind of underfulfilment of the annual plan of sales was connected with some reduce in purchase of axles to road machines in the end of the year and with the increase of the stores».

But these are not such deviations, which may be thought to be stable tendency so as the reduce in purchase of axles to road machines by Russian manufactures has become the result of such machines supply from China to Russia in damping prices.

«Taking into account the availability of its own high-capacity production facilities, Russian government will not be able to be indifferent in this situation and will take measures to protect its own market . It will stabilize its own production of the road-building machines. For the last years the rates of growth of this market is more than 60%, but the share of Russian and Byelorussian enterprises increases much slower»- he thinks.

The President of UPEC noticed that this year LKMZ will develop all main production tendencies. By his words one of the principal task of the plant for the current year is the inculcation the complex of measures in the economy of energy and also modernization of the equipment for hot stamping production in order to increase its productivity, rise the resistance and accuracy of this production.

This year A. Girshfeld is expecting the rising of inquiries for forgings from western manufactures. The consumption volumes of the products made by LKMZ and connected with railway and mounted agricultural machines is increasing too.

In current year LKMZ is going to increase the net income in 50% and bring it not less than to 420mln.gr.

Note : Lozovsky Forging-Mechanical Plant is the biggest stamping enterprise in Ukraine and in UIS. It is specializing in large – series production of 300 different forgings with the production capacity amounts about 180 thousand tones of forgings per year. Being a multi-profile enterprise it is also the leader in producing axles for grain harvesters, road-building machines, axles for buses, the details for movable train set of cars. At present LKMZ mostly produces axles with carrying capacity up to 3.5 tones and takes more than 80% of UIS market in producing axles to road – transport machines in this carrying capacity segment. Specific weight of axles production for road transport machines in general volume of LKMZ production is about 30%

“UPEC” is one of the biggest machine-building company in Ukraine. It was founded in 1995. The Industrial group UPEC includes three directions of activity:

the producing of components (“Kharkov Bearing Plant”(HARP),”Lozovsky Forging-Mechanical Plant”(LKMZ), “Ukrainian Foundry Company”(ULK); electrical engineering (Kharkov Electrical Engineering Plant “Ukrelectromash”(HELZ); machine-tool building (“Kharkov Kosior Machine-Building Plant”(Harverst)

The group UPEC also includes: ”Sewing Factory Named after Tinyakov” and other enterprises. The gross profit of enterprises of Industrial group UPEC in 2007 was about 1,2 mlrd.gr.