In 2005, the sales of products manufactured by the CJCS Transmashholding’s enterprises grew by almost 73 percent over 2004 – from US$855 million to US$1.5 billion (net of VAT).

The increase in sales of products was registered in every sector of production activities of the Holding’s enterprises – in locomotive building, diesel engine building, freight car building, and production of passenger rail vehicles and track structure materials.

In 2005, the growth of sales over 2004 amounted to:

•  almost 90 percent for EP1 class electric passenger locomotives (104 pcs.);
• 50 percent for NP-1 class traction units (6 pcs.);
•  almost 66 percent for passenger diesel locomotives (48 pcs.);
•  111 percent for diesel shunters (74 pcs.);
• 148 percent for freight cars of various purposes (1,641 pcs.);
• 28 percent for passenger cars (701 pcs.);
• 167 percent for rail buses (56 pcs.).

Particular attention was given to research and development and to designing and production of new rail vehicles. In 2005, the Company spent almost US$46.1 million to fund these efforts, which is double the amount spent on these activities during 2004.

Last year the Holding’s enterprises manufactured the following new vehicles:

•  2TE25K class Peresvet main line diesel locomotive;
• 2ES5K class Yermak AC freight locomotive;
• EP2K class DC passenger locomotive;
• new models of freight and passenger cars and electric trains.

By the end of the year the number of people employed by the Holding’s enterprises exceeded 60,000.

During 2005, the Company was actively implementing its program of penetrating new sales markets. This resulted in the share of export shipments in the total volume of sales of products manufactured by the Holding’s enterprises growing to 9 percent from 2004.

In 2006, the CJCS Transmashholding plans to boost the sales of products by more than 40 percent.