At the traditional meeting with the heads of production departments and trade union activists Chairman of the Board of Directors of OJSC "MMK" Victor Rašnikov delivered a report in which he summed up the year and outlined the prospects for the development of the Magnitogorsk Metallurgical Combine.
JSC "MMK" is the largest manufacturer of steel products in Russia — in 2010 the share of MMK in production of steel products in Russia amounted to 17.3%.
Victor Rašnikov said that the choice in favor of the Russian consumer products CMI was strategically correct, and this strategy has yielded positive results. The share of domestic sales in 2010 accounted for 69% of total sales, which is a record for JSC "MMK".
In 2010, the plant is actively increased the volume of production, steel production in relation to 2009 increased by 18%. This was made possible not only due to a reducing demand for the metal, but also thanks to the development of new products. However, to fully overcome the effects of the global financial and economic crisis steelmakers failed — MMK's production capacity is not fully loaded.
For many types of products of JSC "MMK" is the leader of the Russian market. CMI produces the widest range of products in the Russian upstream and downstream. In this case, the strategic direction for the company is the production of products with high added value. In 2010, the share of such products was 34% in the total production in 2009 — 27%. The increase is due, first of all, the development of production at the plate mill 5000.
In September 5000 the mill was made millionth ton of hot-rolled with the commissioning of the unit. Products mill complies with international quality standards and demand from major customers — pipe companies. Compared with 2009, JSC "MMK" supply pipe makers increased by 48%.
JSC "MMK" continues its long-term investment program aimed at meeting the needs of Russian consumers and increase production with high added value.
According to preliminary data, the capital investments of JSC «MMK» in 2010 will amount to $ 1.2 billion, but only on the MMK Group's investment will total $ 2.1 billion, which would be the maximum amount of capital investment in the history of the company.
In 2010, the Group continued to implement CMI investment projects aimed at improving the quality of the product characteristics and lower costs of production.
The construction of the joint venture "MMK-Atakash" — in February at the production site in Iskenderun was commissioned coating line, in April — hot-dip galvanizing plant, put into operation a seaport. In October 2010, commissioned a cold rolling mill in Iskenderun. Is currently under installation of equipment foundry-rolling module.
Among other investment projects — the completion of the first phase of the factory stamped components and steel service center in St. Petersburg, Sosnowski mine development, commissioning ramjet drawing mills and complex for the production of stabilized reinforcing ropes JSC "MMK-HARDWARE" as well as the development of technical base mehanoremontnogo complex plant.
It should also be noted commissioning of secondary steel treatment in CCC (February 2010) and the cross-cutting unit number 3 in the rolling plant number 4 (July 2010). As part of the strategy for resource security in the I half of 2010, the reconstruction of reprocessing wastes "AmKomi-1", allowing an increase in plant capacity from 1 million tons to 1.5 million tons of slag per year. In addition, in April started "AmKomi-2", and the fall of 2010, the construction of "AmKomi-3 '(the performance of both units, 2.5 million tons per year).
The largest investment project of JSC "MMK" is now the construction of the mill in 2000. This project will allow OJSC "MMK" meet the demand for high-quality cold-rolled and galvanized products from the world's leading automakers and manufacturers of household appliances. At the construction site LPC-11 is currently being installed equipment of the first stage of the camp 2000 — continuous pickling line and a rolling mill.
Continues to develop the coal company "Belon" — one of the main raw materials of the Group of CMI. In June 2010, "Belon" won the auction for the parcel Nikitinsky with estimated reserves of 132 million tons of coal grade "F". Deliveries "Belon" now close to 40% of the total demand CMI coking coal concentrate.
CMI continues to maintain the status of a socially oriented company. In 2010, on the implementation of social programs and charity spent over 1 billion rubles. In 2010, the average salary of the staff of "MMK" increased by 23.7% and amounted to 34 531 thousand rubles.
"If we talk about the prospects for 2011, we see continued growth in demand for MMK products from all the leading sectors of the Russian economy — Viktor Rašnikov — Increased consumption of steel products, according to our estimates, will amount to at least 10% by 2010, respectively we form our production program. In 2011, we expect to increase steel production by 14%, commercial products — by 17%. Timely targeted investments strengthen our competitiveness and create the basis for improving the operational and financial performance in the future. "