TMK-Artrom borrows 16.5m euros within the group

TMK-Artrom, a producer of tubular steel, has contracted a loan worth 16.5m euros from Switzerland’s TMK Global, a division of the Russian TMK group, with a view to financing its working capital needs, announced the Slatina-based company, which is also controlled by TMK. The revolving credit contract was signed on July 25 and is due on December 20, 2007. The interest rate will be calculated depending on the instalments of the loan, which was granted without any guarantees from the company based in Slatina. The company also announced it had contracted, from the same firm, another revolving credit worth $19m. This contract, signed on July 11, must be repaid 365 days after the date the first funds were drawn and carries an annual interest rate of 8%. This year, Artrom Slatina is counting on a turnover worth over $230m, up 75%, and gross income worth $15m, down 65%. The company last year posted turnover worth $131m, while its gross income amounted to $23m. The main stockholder in TMK-Artrom, with 80.56%, is Sinara Handel company, the commercial arm of TMK group. Sinara also holds in Romania Combinatul Siderurgic Resita (Resita Steel Mill), whose single administrator is Artrom Slatina. TMK is a holding-type company, with its management headquarters located in Moscow.