AvtoVAZ plans to increase car sales in 2018 by 12%

TOGLIATTI, may 17. /TASS/. AvtoVAZ plans to increase car sales in 2018 by 12%, to 350 thousand this is stated in the presentation of the company represented at the shareholders ‘ meeting.

Manufacture of machinery and Assembly kits the company intends to increase by 13% to 570.8 thousand pieces.

According to the forecast of AVTOVAZ, the Russian market of passenger cars and light commercial vehicles will grow this year by 11%, to 1 million 765 thousand. The company expects to maintain its market share in the area of about 20%.

In 2017, the market sales of Lada cars of concern “AVTOVAZ” grew by 17% up to 311,6 thousand pieces.

The Association of European businesses (AEB) predicts growth of the market of passenger and light commercial (LCV) cars in Russia in 2018 by about 10%, to 1.75 million units.

Dividends for 2017

Shareholders of the largest Russian producer of cars “AVTOVAZ” approved the decision not to pay dividends for 2017, following which the company incurred a loss, the correspondent of TASS from the annual meeting of shareholders of the company. “The dividends on ordinary and preferred shares of the company by results of the reporting year 2017 not to pay due to the fact that the society during this period did not make profit”, – stated in approved by the shareholders of the decision.

The company, which is suffering in recent years losses not paid dividends since 2008.

Net loss “AVTOVAZ” under RAS for the 2017 made up 12.38 billion, a decrease of almost three times in comparison with the figure 2016. The company’s revenue for 2017 increased by 23% to 233,8 billion.

The main shareholders of the plant – Renault and the state Corporation “rostec”. At the end of 2017 Rostec CEO Sergey Chemezov said that AVTOVAZ has a chance to qualify for the 2018 on net profit and return for the year to the practice of accrual of dividends.

In the first quarter of 2018, “AVTOVAZ” has received the first 2016 quarterly profit under IFRS due to the state support and shareholders who conduct a program of recapitalization of the enterprise, and also due to increased demand.

The Board of Directors

The shareholders of PJSC “AVTOVAZ” at the meeting also agreed to replace four members of the Board of Directors of 15. The new composition of the Council includes: senior Vice President, Nissan Motor Company Ltd, Les-Here, Dany, Executive Vice President, manufacturing and supply chain, member of the Executive Committee of Groupe Renault De Los Moses Jose Vinsant, Executive Vice President, chief Director of the effectiveness Group Renault Stefan müller, General Director of JSC “RT-Finans” Andrey Sapelin.

They were replaced by Executive Vice President, product planning and programs of Renault Group Anselen Bruno, Director of partnerships and governance, Eurasia region, Renault’s.a.s. GEOL Philip, managing Director of Groupe Renault (President of AVTOVAZ since June 1, 2018), Karakatsanis Eve, the first Deputy Chairman of Vnesheconombank – member of the management Board Dmitry Kurdyukov.

The Board of Directors retained their seats Sergei Skvortsov (Chairman of the Board of Directors of JSC “AVTOVAZ”), Vladimir Avetisyan (Deputy Chairman of the Board OOO “UK “Rosnano”), Edward W. (Vice-President for external relations and interaction with shareholders of JSC “AVTOVAZ”), Sergei Zaitsev (Chairman of trade Union of JSC “AVTOVAZ”), Nicolas Moore (Vice-Chairman of the Board of Directors, the President of AVTOVAZ, senior Vice President, Chairman of Eurasia Groupe Renault), Olive, Jerome (Executive Vice President of engineering production and supply chain management Alliance Renault-Nissan), Bollore Thierry (Executive Vice President, General Manager of the competitiveness of Groupe Renault), Gascon, Abellan Gaspar (Executive Vice-President at the engineering Groupe Renault), Igor Zavyalov (Deputy General Director of SC “rostec”), Sergey Kogogin (General Director of JSC “KAMAZ”), Pieton Thierry (senior Vice President, controller, Groupe Renault).