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Omsktransmash

644020, Omsk, Krasny pereulok 2, Russia
Ph: (381-2) 44-61-15
Fax: (381-2) 41-52-94, 41-85-10
Telegraph: LUCH 

OMSKTRANSMASH GUP (State Unitary Enterprise "Transport Mechanical Engineering Plant") is an Omsk state-owned unitary enterprise that assembles armored materiel. Omsk's Transmash plant produces the renowned T-80U tanks. By 2007 it seemed that, for the foreseeable future, the enterprise would have enough upgrade work with T-80s. In January 2007 the Military-Industrial Commission decided to develop a new tank maintenance center utilizing the bankrupt facilities of the Omsk Transport Engineering Plant (Omsktransmash). Moscow planned to buy out the assets of Omsktransmash, which was undergoing bankruptcy procedures, while retaining its production facilities. As much as 2.5 billion rubles was to be appropriated from the federal budget for this purpose. The Russian armed forces have over 6 thousand T-80 tanks, which are also operated by a number of other countries. The enterprise has a proposed program that provides for the development of special-production and measures for the modernization of the T-80U tank, as well as proposals for the organization of innovation repair, production and improvement of armored technology.

The year 1997 marked the centenary of the noted state unitary enterprise "Omsk plant of transport machine building". The enterprise was formed in 1896 as a railroad workshops. It moved from an engine-repair workshop to new machine production. Tanks, self-propelled artillery and antiaircraft sites, armored trains, bodies of a projectile and mines, engineer vehicles, coal-mining combines, close fitting valve for the conduits, equipment of carbon mills - is far from a complete enumeration of production in these years.

In the years of post-Soviet reconstruction the plant for the conversion passed to the output of civil product. Since 1993 the plant mastered the series production of universal cultivated wheel tractors of tractive class 1,4 brands ZTM-'0 L, also, on its base of excavators, lift loaders, municipal machines. With individual (beskonveyernaya) assembly, the traditions of defense economy specify high manufacturing quality and reliability of technology; guarantee with spare parts, after-sales service solve all problems with the operation. One unique development was screw anchor piles and machine MZS-2Y9, intended for constructing of bases and foundations by the method of tightening into the soil of steel piles (with boring if necessary for leader bore holes).

Its own foundry and blacksmith- stamp production, collection of the machine tools, equipment for the heat working and the electrolytic platings make it possible to make different production on the individual orders of users. The merits of plant are noted by four combat and working orders, commemorative sign "for the high efficiency and the quality of work in the tenth five-year plan", to the eternal storage are transmitted four Red Challenge Banner. The enterprise is located on the territory of West Siberia, which has its advantages, since it is located on the intersection of main mains and of railway lines (the Far East, Ural region, central region and other.) This makes it possible to enlarge the markets for sale and gives the possibility to decrease expenditures for delivery to production.

The enterprise produces more than 1200 different articles of national economy: parts for power stations, 30-TI ton jacks for the railroads, seats for the streetcars, conveyers for the poultry processing facility, woodworking tools, track-links and fingers for the caterpillars of agricultural machinery, etc.

Omsktransmash has a developed program for the complex restructuring of the production complex of enterprise, which foresees the organization of the production of tank cars for the transportation of bright petroleum products, open freight cars with the deaf floor for the transportation of friable products, complex reconstruction is foundry - metallurgical production with the mastery of the release of casting for rail transport, an increase in the volumes of output of tractor equipment.

On 01 August 2001, the North Korean leader Kim Jong Il visited Transmash. His interest in Siberian-made tanks dated back to the mid-nineties, when Russia delivered to North Korea several dozen T-80U tanks assembled by Transmash. North Korea reportedly wanted to purchase an upgraded model of a T-90 tank recently developed by the company as part of its efforts to modernize its conventional weapons. During the visit by the North Korean President, Omsk Governor Leonid Polezhayev presented North Korea a ZTM-62 tractor. Omsktransmash specialists were sent to North Korea to study the possibility of using the tractor at rice fields there. They made technical recommendations to adapt the tractor to work in humid conditions.

There is stiff competition between different designers and manufacturers for almost all defense goods in Russia, and there is not enough money to go around for everyone. This means that when the military decided to design new tanks at Nizhny Tagil's Uralvagonzavod, which produces the T-90 tank, it spelled disaster for the Omsk-based Transmash plant and its T-80 tank.

In April 2002 the Omsk factory "Transmash" received the state order of the Ministry of Defense on modernization of old tanks T-62 and T-72. It was the first state order received by the factory for several years. However, for production of the new machines the government has preferred another tank giant - Uralvagonzavod and its T-90. As of 2002 it appeared that, at least through 2010, there will not be a state order for the tank "Black eagle" developed by "Transmash". The project of modernization of still qualified, but obsolete tanks T-62 and T-72 should remove the conditions of the difficult situation not only in the Omsk factory, but also in the armored divisions. The alteration of the old machine instead of purchasing the new ones will allow the military authorities to save sufficient money. The modernization of an old tank is 24-25 % of the total cost of a new one. After modernization T-62 or T-72 will be equal to the new machines on majority of the technical and battle characteristics. Though the volume of the order for 2002 was insignificant - some hundred millions rubles, Omsk expected its increase in the following years.

In October 2002 bankruptcy procedures were launched at FSUE Omsktransmash under a ruling of the Omsk region Arbitration Court. At that time the payables of the facility totaled almost 1 billion rubles (about US$32 million).

In January 2003 the Omsk regional administration reported that North Korea was ready to buy up to 1,000 ZTM-62 tractors a year from Russia's Omsktransmash. A North Korean delegation headed by the country's deputy agriculture minister met with regional authorities and Omsktransmash representatives to discuss the plans at the regional administration. North Korea has said it will buy the tractors after they have been adjusted to suit tropical climates.

In August 2003 it was reported that Chelsea soccer club owner Roman Abramovich was seeking to buy Siberian tank manufacturer Omsktransmash for 30m. Roman Abramovich is one of the world's richest men. Abramovich's big break came in 1992, when Boris Berezovsky, then the most powerful of Russia's tycoons, brought him into the inner circle of former president Boris Yeltsin. When Berezovsky fell out of favor with the new Putin government and went into exile to Britain, Abramovich pupil took over.

On 17 November 2005 the former external managing director of the Omsktransmash tank factory, Vladimir Haritonov, received two years of imprisonment in a penal colony as punishment for a delay of wages. In a verdict the fact of waste also appears in the sum 400 thousand roubles. The enterprise had not waited the promised investments and improvement of manufacture, and the process equipment were sold out at an accelerated rate.

In December 2005 the Federal Security Service (FSB) Russia prevented the "custom-made" bankruptcy of Omsktransmasha. As a result of the accepted measures, a mutual understanding with representatives of executive authority and large commercial creditors concerning the necessity of realizing actions for the prevention of bankruptcy Omsktransmasha. The government of the Russian Federation directed the interested enforcement authorities to arrange and direct the restoration of the industrial activity of this unique enterprise.

FSB Director Nikolai Patrushev said in an interview with the Izvestia daily that foreign capital may be involved in attempts to bankrupt some of Russia's strategic and defense enterprises. "Taking into consideration the scope of the activity of agencies specializing in "contract" bankruptcies, as well as the particular significance of their aims, we have grounds to believe such a scheme for the liquidation of enterprises and organizations in leading sectors of the Russian economy is stimulated, including with the help of foreign capital".

During 2006 the Ministry of Defense of the Russian Federation developed plans for an order with Omsktransmash for upgrading of 450 T-80 tanks per year for foreign customers. Omsktransmash, along with the state intermediary Federal State Unitary Enterprise Rosoboronexport, also has the right for export. In this connection it was planned to take the enterprise from the bankruptcy procedure which had been carried out since 1998. By 2006, the company's debts constituted 1,5 billion rubles and its total property was evaluated at 2 billion rubles.




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