Daugavpils, 2015-01-22 10:03 CET (GLOBE NEWSWIRE) -- Currently JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" does not have any obstructions from Russian Federation to work with Russian Railways and the branch enterprises. Considering the long-term experience of positive cooperation, JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" has the ability to do its main activity (repairing locomotives and manufacturing of spare parts for them), but the costs of these services since the devaluation of the Russian ruble make these orders for JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" uneconomical. "Daugavpils Lokomotīvju Remonta Rūpnīca" revenues from deals with Russian enterprises decreased significantly since the devaluation of the ruble. It also affects the number of contracts in 2015 with traditional partners in the Russian Federation due to their uneconomical.
In recent years, JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" re-invested in machinery equipment and infrastructure 7 million EUR to diversify production. However, the international crisis of political relations caught JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" at a time when a lot of money invested in equipment, but this equipment is not running and do not work at full capacity.
Therefore, the priority in 2015 for JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" is the development of new markets and new products, including mechanical engineering. JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" has the material and technical basis for this including new equipment purchased for the modernization of machinery equipment, and is co-financed by ERAF.
JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" widely participates in international trade fairs, actively carries on negotiations with potential customers, contracts and communicates openly with the media, explaining to people that difficulties, which the plant has, are temporary and are caused by the international economic crisis.
JSC "Daugavpils Lokomotīvju Remonta Rūpnīca" has developed a marketing plan for 2015. According to calculations, "Daugavpils Lokomotīvju Remonta Rūpnīca" is able to compensate the drop of output volume from the traditional Russian market by contracts in other markets.
There is no mass layoff at JSC "Daugavpils Lokomotīvju Remonta Rūpnīca". There is a planned reduction in the number of employees in connection with the situational decline in production in the 1st quarter. Also to increase the economic efficiency of the production, will be carried out the plant reorganization, optimization of production processes, reducing running costs, what may affect the reduction in the number of staff.
The Chairman of the Board N.Petrova
Natālija Petrova
The Chairman of the Board
t. 65404420, petrova@dlrz.lv