Annual Report 2015



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 2012–2016. The financing rate under the lease agreement was 11.4% p.a.

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 2012-2015, including track machinery worth a total of RUB 19.7 bln including VAT in 2015.

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.

Dynamics of the leasing portfolio in 2014-2015, RUB bln including VAT
Indicator 2014 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