YUKOS AVOIDING BANKRUPTCY

Subscribe
International
India
LONDON/MOSCOW, September 17 (RIA Novosti) - Yukos has so far managed to avoid bankruptcy and the company keeps on developing despite all the fuss around it. This statement was made by Yukos financial director Bruce Misamore at an Internet conference for the investors and analysts.

"Our performance in the second quarter looks quite O.K., with a certain growth in oil production and processing," he said. Misamore estimated Yukos's annual oil extraction prospects at 86-87 million tons as against 90 million tons under the plan.

"We continue the company's growth tendencies despite all the difficulties piled up around us," he noted.

All the difficulties are caused by the government of the Russian Federation while we still believe that we acted according to rules, he added.

He cited the situation whereby $1 billion out of $2 billion worth of monthly profits should be deposited on the Yukos accounts that have been arrested and another $1 billion is being paid off by the company as taxes. "As a result, we are left without money for company support and business development," said Misamore.

"If we face a dilemma of whether to pay off taxes or to put out oil, we opt for the latter because our company is an important factor of the Russian economy," he continued.

With all respect for decisions to be taken, we shall do everything possible to preserve the company, concluded Misamore.

He also asserted that the company would be able to meet all its liabilities as taxes were concerned. He also reiterated the stand that the company had acted in accordance with the legislation of the past years concerning tax payment.

The Yukos subsidiaries, with the exception of Yuganskneftegaz, have no problems with licenses on the utilization of minerals, said the Yukos financial director, adding that Yukos would do all it can to retain its license for oil extraction.

The company has repeatedly applied to the government with proposals to resolve the situation but got no answers, said Misamore.

Consumers understand the difficulties facing the company and make payments beforehand,

Yukos payments meeting tax claims for 2000 will reach by the end of the week $2.4-2.5 billion.

On April 14, 2004, the tax ministry took the decision to charge Yukos with additional 99.4 billion rubles (about $3.4 billion) worth of taxes, penalties and fines. This ruling was appealed against by Yukos at a special trial but the court verdict of August 27 denied the company its request. In July, the tax ministry's action against Yukos was won in court and the company is paying off its tax arrears for the year 2000.

Newsfeed
0
To participate in the discussion
log in or register
loader
Chats
Заголовок открываемого материала