Rusal Secures $4.6 Billion Credit Line

Aug. 10, 2010
The loan was extended to Rusal under an accord to help Russian companies generally as they struggled to survive the global meltdown.

The world's largest aluminum producer Rusal said on August 10 that it has secured a credit line of $4.6 billion from Russia's largest bank Sberbank to cover debt repayments.

"The proposed credit covers the debt and interest due to VEB" for a bank loan taken out in 2008, Rusal said.

The Sberbank credit runs until December 2013 and can be extended for 18 months.

Rusal has been buffeted by the global economic slump which slashed demand for its products but it returned to profit in the first quarter with earnings of $247 million after what it said was "one of the toughest years" on record for the aluminum industry.

The VEB loan was extended to Rusal under an accord to help Russian companies generally as they struggled to survive the global meltdown, with the money used in turn to cover its purchase of a 25% stake in mining giant Norilsk Nickel.

In December last year, Rusal reached agreement with its creditors on restructuring massive debts of $16.8 billion, clearing the way for a listing of its shares in Hong Kong.

Copyright Agence France-Presse, 2010

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!