Russian Railways makes decisions to attract lease financing based on the general principles of the debt policy taking into account IFRS approaches for assessing the level of financial debt.
The Company is currently implementing a programme called ‘Renovation of track maintenance equipment in 2012—2016’ using the leasing mechanism.
Following an open competition in 2012, a long-term lease agreement was concluded with VEB Leasing for the supply of track maintenance equipment manufactured by
the Remputmash plant in Kaluga worth a total of RUB 90.6 bln including VAT in
The track maintenance equipment supplied under the leasing agreement is being used for routine railway infrastructure maintenance work.
Track maintenance equipment worth a total of RUB 68.4 bln including VAT was leased in
As of 1 January 2015, Russian Railways had total lease obligations of RUB 42.3 bln including VAT.
A total of RUB 20.5 bln including VAT was spent on lease payments in the reporting year.
Total lease obligations with maturity prior to 2024 amounted to RUB 47.1 bln including VAT as of 31 December 2015.
|Balance at start of year||27.3||42.3|
|Incurrence of obligations||29.2||25.3|
|Repayment of obligations||14.3||20.5|
|Balance at end of year||42.3||47.1|