OREANDA-NEWS. April 15, 2010. Power Machines has scheduled its 2010 investment program at about USD 150 mn, company General Director, Igor Kostin said on April 14. USD 100 mn are to be allotted to the construction of a new manufacturing site in St. Petersburg suburbs, USD 15-20 mn to the modernization of the existing capacities, USD 15 mn to R&D activities, and USD 10 million to the deployment of an automated management system. The project to assemble transformers in partnership with the FGC is currently in the approval phase.

We are upbeat on Power Machines’ large-scale 2010 capex program. Last year, the company upsized its order portfolio by 12%. In light of the ongoing implementation of the utility industry modernization strategy in Russia, we expect Power Machines’ order portfolio to expand even further. For example, total investment in new power plants by 2010 is scheduled at about USD 125 bn, and USD 572-888 bn 2030. In order to meet growing demand for energy equipment, Power Machines makes an active effort to expand its manufacturing capacity.