|All Sources > Russian Military & Security Periodicals (UDB-MIL) > Defense & Security > 2009 > No. 80|
MOTOVILIKHINO FACTORIES TO HAVE NEW CEO
Author: Vyacheslav Sukhanov
Ivan Kostin turned in his resignation
Source: Kommersant, July 27, 2009, p. 7
[A large manufacturer of artillery systems in Perm oblast will see management changes]
<> LARGEST MANUFACTURER OF MULTIPLE LAUNCH ROCKET SYSTEMS IN RUSSIA TO HAVE A NEW CEO
A source within the Motovilikhino factories told the Kommersant the company's board of directors will convene July 30 to review resignation of general director Ivan Kostin for health reasons. The board will also decide on a successor, and the candidate will be approved by the next shareholders' meeting. Ivan Kostin, who had become director in 2008, turned in his resignation after working only one half of his three-year contract term.
The Motovilikhino factories are a manufacturer of artillery and MLRS systems, oil and gas equipment, and metals. They are a subsidiary of ZAO Finansovyi dom Rus'. Oboronimpeks, a Rosoboroneksport affiliate, owns some 25% of their stock, and FGUP Splav in Tula - some 10%. The Motovilikhino factories reported gross sales of some 10.8 billion rubles (347 million net) in 2008.
Ivan Kostin became CEO in 2002 after Finansovyi dom Rus' acquired a controlling share. Prior to that he was head of OAO KamAZ for five years. As CEO Kostin restarted work on some defense orders previously frozen in the 1990s. The company signed a contract with India in 2006 to ship Smerch MLRS systems worth some $450 million. In 2007 the parties signed an option to ship an additional quantity of the Smerches worth some $300 million. In 2008 "Motovilikha" reached a deal with Turkmenia to ship six Smerch systems there.
It has not been announced who is going to be the next director. A source close to the company's stockholders says the owner Rafail Gimalov is likely to appoint former Perm' krai prime minister Nikolai Bukhvalov . Bukhvalov was chairman of the krai government since the inception in 2006. He ...