OREANDA-NEWS. March 2, 2010. A Russian Railways delegation, headed by Russian Railways Senior Vice President Valentin Gapanovich, has visited Vyksa Steel Works (VSW, Nizhni Novgorod Region), part of United Metallurgical Company (OMK). The visit was associated with the signing of a strategic partnership agreement between Russian Railways and VSW and a program for the quality enhancement and development of new products by VSW for 2010–2015. In addition, the OMK and VSW directors signed the Charter of Interaction among Russian Railways, UNION OF INDUSTRIES OF RAILWAY EQUIPMENT Nonprofit Partnership (NP OPZhT), Russian transportation equipment entities, and manufacturers of railroad equipment, assembly units, and components.

During their visit, the Russian Railways delegation made a tour of the VSW wheel-rolling facilities, where they familiarized themselves with the operation of modernized hardening furnaces and a new wheel acceptance line.

During their business meeting, the Russian Railways and NP OPZhT representatives and the OMK and VSW directors signed the "VSW Innovative Development Program for Solid Wheel Production for Russian Railways and Further Enhancement of Wheel Quality for 2010–2015." The Program provides for further modernization of the VSW wheel-rolling facilities to improve the technological process, enhance product quality, and develop new wheel types and designs.

"The OMK contract for supplying railroad wheels, including new generation wheels, enabled Russian Railways to save billions of rubles. These products are distinguished by high quality and reliability, which guarantees rolling-stock safety," said Russian Railways Vice President Valentin Gapanovich. "VSW's technologies and production standards make you feel proud that Russian businesses are aimed at not only earning profit, but also manufacturing innovative products."

"Russian Railways is OMK's most important strategic partner. In 2004, Russian Railways and OMK entered into an agreement that is unprecedented for the Russian economy in terms of supply period and scope. This made us implement a large-scale modernization," said Chairman of the OMK Board of Directors Anatoly Sedykh. "At present, our research and technological potential is adequate to further improve competitive capacity of our products."

Let us remind that in 2003 OMK and Russian Railways entered into a long-term contract to supply 4.8 million wheels until 2010, including new harder-rim wheels jointly developed by VSW and Russian Railways. From the beginning of the contract implementation, VSW has supplied Russian Railways with more than 3.6 million wheels, including about 2.5 million wheels of enhanced quality and hardness. More than USD 100 million was invested to modernize the VSW wheel-rolling facilities. It is planned to invest thrice as much until 2015.