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January 1999 

CONSTRUCTION OF FIBER-OPTIC TELECOMMINICATION LINE "KHABAROVSK - KOMSOMOLSK-NA-AMURE"

INITIATOR OF THE PROJECT: 

• JSC "Electricheskaya Svyaz", Address: 44, Muraviov-Amursky Str., Khabarovsk, 680000, Russia. Director Valery A.Romanov
• Shareholders: JSC "SvyazInvest" - 51 %, Individuals - 18.8 %, JSC "VostokTelecom" - 10 %, other legal entities.
• Payroll - 5,551 employees
• Property: Joint property. Khabarovsk Krai telephone technologies and lines.
• Products: Long distance domestic and international telecommunication services.
• Markets: Russian and foreign companies, industries, indivuduals.
  (US$)

• 	Assets	Fixed asstes	Gross sales
  1995	69,250,000	45,580,000	45,580,000
  1996	126,800,000	103,940,000	109,940,000
  1997	129,300,000	91,400,000	65,700,000

  PROJECT INFORMATION: 

• Target: Improvement of the existing regional digital telecommunications services.
• Products: Telephone and other telecomminication services in Russian Far Eastern cities and towns.
• Markets: Russian Far Eastern industries and individuals.
• Project's Readiness: Business Plan, licenses and full set of other documentation are available.

FINANCIAL DATA OF THE PROJECT: 

• Required Investment: - US$ 21.0 million
• Forms of Cooperation: Loan and fiber-optic cable and technologies procurement.
• Guarantee: Negotiated, mortgage and Khabarovsk government guarantee are possible.
• Return Period: 2.4 years.
• Profitablility: 55 %
• Investment return: Money and services

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