Rusagro cancels IPO due to markets volatility319 words13 May 201004:59Interfax: Russia & CIS Business and Financial NewswireDAIBNEnglish(c) 2010 Interfax Information Services, B.V.

MOSCOW. May 13 (Interfax) - The Rusagro group has decided to put its IPO off due to the market volatility, the company said in a statement.

Rusagro joins a growing chorus of Russian issuers, such as UralChem and SMR, which have aborted initial public offerings that were in an advanced stage in recent weeks.

Rusagro had set an IPO price range of $13.5-$17 per ordinary share. Rusagro shareholder Matchzone Holdings Ltd planned to place the shares. The company planned to sell investors up to 18,188,742 shares, meaning IPO volume will run from $245.5 million to $309.2 million.

The IPO did not take place, even though one of its organizers, Sberbank (RTS: SBER), was prepared to buy $200 million worth of stock at any price within the range.

The lead-managers and bookrunners for the placement are Alfa Capital Markets, Credit Suisse, Renaissance Capital, and Sberbank.

Rusagro is a major producer of sugar, packaged margarine and mayonnaise, and has Russia's fifth largest hog complex, along with integrated businesses that grow sugar beet and other agricultural crops, and controls roughly 360,000 hectares of land. It has 35 agricultural enterprises, seven sugar plants, OJSC Zhirovoi (Fats) Combine in Yekaterinburg, and a number of trading branches. Its sugar, crop farms, and hog facilities are sited in the Belgorod, Tambov and Voronezh regions.

Vadim Moskovich and members of his family directly or indirectly own 100% of Rusagro.

Sberbank is Rusagro's biggest creditor, with 90% of the group's loan portfolio as of April 1. The bank holds a 50%-stake in LLC GK Rusagro, the parent company, and shares, real estate and production capacity in seven of the group's sugar refineries and the Belgorod Bacon pig farm as security, says a memorandum for the IPO.

Pr

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Document DAIBN00020100514e65d0005n

AgricultureCompany Factsheet - Rusagro Group1241 words7 December 2009SKRIN Company ProfilesSKRCPEnglishCopyright 2009. SKRIN. All rights reserved.

Short profile

Full name Rusagro Group limited liability companyShort name Rusagro GroupINN 7728278043Russian region Moscovskaya OblastLegal address 49a, st. Pushkina, Belgorod, 308015Postal address Derevoobrabatyvayushchiy Complex, p. Kommunarka, Moscow region, 142770State registration number 1037728005028State registration date 03.02.2003State registration authority Russian Tax Ministry Inspectorate N 28 for Yugo-Zapadnomu administrative district of MoscowNumber of employees 34Number of shareholders 4FCSM code 36077-RSKRIN code rusaTelephone (495) 777-65-24Fax (495) 777-65-24E-mail rusagro@rafinad.ruWeb http://www.rusagrogroup.ru/Industry Agriculture

Principal officer

Name Gromov Vladimir SergeyevichPosition General Director

Stock issues

4-01-36077-R issue as of 25.01.2005 bearer bondsNominal value, RUR 1000

Stocks announced 1000000Stocks placed 1000000Method of placement open subscriptionDate of the beginning of placement 20.07.2005Date of the end of placement 20.07.2005Report registration date 23.08.2005Status securities issue report registeredRegistration authority Federal Service for Financial Markets

Companies in which issuer holds more than 5% of stock

Belgorodskiy Bekon Open Joint-Stock Company Share of company in authorized capital of issuer 100%Mail address: D 49-a, ul Pushkina, g Belgorod Fats and Oil Integrated Works Open Joint-stock Company Share of company in authorized capital of issuer 97,04%Mail address: 27, ul.Titova, Yekaterinburg, Sverdlovsk region, 620085 Infocredit Bureau of Credit Histories Joint-Stock Company Share of company in authorized capital of issuer 15%Mail address: 119049, Moscow, ul Bolshaya Yakimanka, d 42, Str 3 Oskolskiye Prostory Open Joint-Stock Company Share of company in authorized capital of issuer 90,7%Mail address: S. Kazinka, Valuyskiy r-n, Belgorodskaya obl., 309716 RusAgro-Novopetrovka Joint Stock Company Share of company in authorized capital of issuer 100%Mail address: 309973, Russia, Belgorod region, Valuyskiy r-n, S. Novopetrovka Rusagro Agrarian Company Limited Liability Company Share of company in authorized capital of issuer 100%Mail address: 142770, Moscow region, Leninskiy district Kommunarka, Derevoobrabatyvayushchiy Complex Shugar Limited Liability Company Share of company in authorized capital of issuer 100%Mail address: 121019, Moscow, st. Znamenka, 9/12 Status Registrar Joint-Stock Company Share of company in authorized capital of issuer 14,5%

Mail address: D 1/64, ul Dobrovolcheskaya, Moscow, 109544 Znamenskiy Sugar Mill Open Joint-Stock Company Share of company in authorized capital of issuer 83,4%Mail address: R/p. Znamenka, Znamenskiy r-n, Tambovskaya obl., 393402

Companies with interest of over 5%

Moshkovich Vadim Nikolayevich Type of registered entity: Owner. Share of company in authorized capital of issuer: 62,353%Mail address: Kirilenko Sergey Anatolyevich Type of registered entity: Owner. Share of company in authorized capital of issuer: 19%Mail address: Invest-Center Joint Stock Company Type of registered entity: Owner. Share of company in authorized capital of issuer: 18,5%Mail address: Str 1, d 10, ul Tverskaya, Moscow

Major shareholders

Financial highlights, RUR

Year: 2007Non-current assets 1697550000Current assets 2802858000Equity capital 2677138000Assets, total 4500408000Revenue 2961017Sales profit 2290725Book profit 684284579Net profit 594410863 Year: 2006Non-current assets 1552458000Current assets 5629990000Equity capital 2487132000Assets, total 7182448000Revenue 33840000Sales profit -158321000Book profit 1827563000Net profit 14340018000

Year: 2005Non-current assets 3064812000Current assets 2447653000Equity capital 1805356000Assets, total 5512465000Revenue 27681000Sales profit -113083000Book profit 221745000Net profit 163382000 Year: 2004Non-current assets 2774463000Current assets 1394130000Equity capital 1641973000Assets, total 4168593000Revenue 12681000Sales profit -92830000Book profit -56712000Net profit -55568000

Financial highlights, USD

Year: 2007Non-current assets 43381939582,3186Current assets 71628768763,1105Equity capital 68415916449,9008Assets, total 115010708345,429Revenue 75670619,773331Sales profit 58540893,375575Book profit 17487315403,5465Net profit 15190537036,1638 Year: 2006Non-current assets 42136943472,2843Current assets 152809654354,273Equity capital 67505942506,7277Assets, total 194946597826,557Revenue 918488079,614458Sales profit -4297161680,04257Book profit 49603866141,9751Net profit 389217954918,935 Year: 2005Non-current assets 86765302271,5355Current assets 69293435421,4323Equity capital 51109907898,9936

Assets, total 156058737692,968Revenue 783653396,090323Sales profit -3201397239,62581Book profit 6277635284,70968Net profit 4625369717,85807 Year: 2004Non-current assets 79926831797,4645Current assets 40162148139,5856Equity capital 47302018367,8709Assets, total 120088979937,05Revenue 365314712,801593Sales profit -2674250042,53386Book profit -1633761374,68685Net profit -1600804980,75538

Accounts payable and receivable, RUR

Year: 2007Long-term receivables 0Short-term receivables 140238000Long-term payables 0Short-term payables 449945000Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 8436000Debt to budget and extra-budget funds 50632000 Year: 2006Long-term receivables 0Short-term receivables 370551000Long-term payables 0Short-term payables 322584000Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 13332000Debt to budget and extra-budget funds 114684000 Year: 2005Long-term receivables 15234000Short-term receivables 122734000Long-term payables 0Short-term payables 37757000Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 22843000

Debt to budget and extra-budget funds 7578000 Year: 2004Long-term receivables 7907000Short-term receivables 705023000Long-term payables 0Short-term payables 21710000Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 19545000Debt to budget and extra-budget funds 130000

Accounts payable and receivable, USD

Year: 2007Long-term receivables 0Short-term receivables 3583868777,44113Long-term payables 0Short-term payables 11498622606,3246Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 215587194,672581Debt to budget and extra-budget funds 1293932057,92581 Year: 2006Long-term receivables 0Short-term receivables 10057525898,0265Long-term payables 0Short-term payables 8755601615,67229Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 361858246,968675Debt to budget and extra-budget funds 3112762615,91325 Year: 2005Long-term receivables 431276898,812903Short-term receivables 3474618543,97419Long-term payables 0Short-term payables 1068906516,24516Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 646688866,980645Debt to budget and extra-budget funds 214534353,367742 Year: 2004Long-term receivables 227785145,818327

Short-term receivables 20310328425,4805Long-term payables 0Short-term payables 625422475,74502Promissory notes issued 0Promissory notes received 0Debt to suppliers and contractors 563053076,390438Debt to budget and extra-budget funds 3745044,76494

Auditor(s)

Name Business Systems Development Audit and Consulting GroupLegal address str. 2, 5/28, Myasnitskiy pr., 107078Telephone (495) 967-68-38Fax (495) 967-68-43E-mail: common@rbsys.ruWeb: http://www.rbsys.ru/ Name Business Systems Development Audit and Consulting GroupLegal address str. 2, 5/28, Myasnitskiy pr., 107078Telephone (495) 967-68-38Fax (495) 967-68-43E-mail: common@rbsys.ruWeb: http://www.rbsys.ru/ Name Business Systems Development Audit and Consulting GroupLegal address str. 2, 5/28, Myasnitskiy pr., 107078Telephone (495) 967-68-38Fax (495) 967-68-43E-mail: common@rbsys.ruWeb: http://www.rbsys.ru/ Name Business Systems Development Audit and Consulting GroupLegal address str. 2, 5/28, Myasnitskiy pr., 107078Telephone (495) 967-68-38Fax (495) 967-68-43E-mail: common@rbsys.ruWeb: http://www.rbsys.ru/

Document SKRCP00020091207e5c7000fk

Rusagro Group buys 100% stake in Yuzhnyye Gorizonty33 words26 November 2009

05:06SKRIN NewswireSKRNWSEnglishCopyright 2009. SKRIN. All rights reserved.

Rusagro Group has announced an acquisition of a 100% stake in Yuzhnyye Gorizonty (Southern Horizons) in a RUB137mln deal in June 2009. / Kommersant-Chernozemye

Rusagro buys Russian Sugar for '$19m'78 words25 November 200910:45SKRIN NewswireSKRNWSEnglishCopyright 2009. SKRIN. All rights reserved.

Belgorod region agricultural company Rusagro has purchased Russky Sakhar (Russian Sugar), the owner of 75% shares in Nikiforovsky Sugar Plant and firm Agronic in Tambov region, Kommersant reports. The deal price has yet to be disclosed but is estimated by experts at $17.4-$19.1m. 25% shares in Nikiforovsky Sugar Plant are managed by transnational corporation Cargill. Agronic owns 10,000 hectares of land in Tambov region. / http://www.marchmontnews.com

Document SKRNWS0020091125e5bp003eg

Rusagro loans $21m to subsidiary Zhirovoy Kombinat57 words11 June 200907:06SKRIN NewswireSKRNWSEnglishCopyright 2009. SKRIN. All rights reserved.

Ekaterinburg-based oil factory Zhirovoy Kombinat has announced plans to take out a $12.2m loan with its mother company Rusagro, based in Moscow, the factory

reports. The loan is to be repaid by January 31, 2010. The loan interest rate has yet to be disclosed. / http://www.marchmontnews.com

Document SKRNWS0020090611e56b0018m

Rusagro’s Yekaterinburg oil plant secures Sberbank loan166 words18 February 200803:55Russia & CIS Business and Financial NewswireDAIBNEnglish(c) 2008 Interfax Information Services, B.V.

YEKATERINBURG. Feb 18 (Interfax) - The Rusagro group's Zhirovoi Kombinat, one of Russia's largest oil and fats companies, signed a contract with Sberbank (RTS: SBER) for a non-renewable credit line of 535 million rubles.

The credit line is payable on July 31, 2008, Zhirovoi Kombinat said. The deal amounts to 42.2% of the plant's assets.

The decision to obtain the credit line was approved by the plant's board of directors on January 24.

Zhirovoi Kombinat increased production in volume by 0.4% to 84,658 tonnes in 2007. The company closed 2007 with net profit to Russian Accounting Standards down 30.8% to 322.058 million rubles. Sales edged up 1.2% to 2.958 billion rubles, but operating profit fell 22.5% to 465.394 million rubles.

The Rusagro group owns 97.04% of Zhirovoi Kombinat.

RTS$#&: SBER

vp

(Our editorial staff can be reached at eng.editors@interfax.ru)

Document DAIBN00020080219e42i0008j

One of Russia's largest agricultural holdings, Rusagro group, received a new...668 words8 July 2005WPS: The Russian Business MonitorRUSBUSEnglish(c) 2005 WPS Russian Media Monitoring Agency. All Rights Reserved.

One of Russia's largest agricultural holdings, Rusagro group, received a new co-owner in the form of Montblanc Properties registered in Gibraltar. Analysts are convinced that transfer of a part of shares of Rusagro to this offshore company will be followed up by their sale to a strategic investor in the form of one of the Western agricultural corporations.

Rusagro group established in 1995, includes seven sugar refineries, four elevators, an animal feed plant, a port elevator, two edible oils plants and four vegetable oil extraction plants in the Belgorod, Tambov, Rostov and Voronezh regions and Krasnodar Territory. In 2004, turnover of the group totaled 18.79 billion roubles.

The agricultural holding with a ten-year history disclosed its owners for the first time only at the beginning of 2005. The prospectus of the debut issue of bonds worth 1 billion roubles named founder and head of Rusagro Vadim Moshkovich (81%) and CEO and shareholder of Sobinbank Sergei Kirilenko (19%) the main owners of the company. Kirilenko became a co-owner of Rusagro only two years ago and before that, Moshkovich was the only owner of the agricultural holding.

Between the end of 2004, and beginning of 2005, Rusagro received the third large co-owner, that is Montblanc Properties registered in Gibraltar. In its quarterly report, Rusagro reported that this company owned an 18.5% stake in Rusagro and the interest of Moshkovich decreased to 62.35%. Moshkovich refused to comment on the deal. Kirilenko was not available for comments.

Analysts are convinced that Rusagro is preparing for sale of a 19% stake to a strategic investor and call such deal with use of an offshore entity "typical for the Russian market." According to analyst Marat Ibragimov, of financial corporation UralSib, this mechanism of sale allows minimization of taxes. Vladislav Kochetkov, of FINAM investment company explains, "In case of use of an offshore company it is technologically simpler to strike a deal and economy from transaction reaches a few hundred thousand of dollars." Kochetkov believes that an 18.5% stake in Rusagro may cost $70-80 million. The estimate of Alfa-bank is twice that. At the beginning of 2005, analyst of Alfa-bank Alexander Svinov estimated Rusagro at $850 million and the stake of Kirilenko comparable to the stake of Montblanc Properties at $150 million.

Among the investors for whom participation in Rusagro may be interesting, participants of the edible oils market mention Bunge, Cargill and Louis Dreyfus. A top manager of the Russian representative office of a large Western agricultural corporation agrees with

analysts, "This really reminds of preparation for sale of shares to an outside investor. However, it is unlikely that the partner of Rusagro is Louis Dreyfus, Bunge or Cargill. Two of these companies already have their partners in Russia, that is Agros and EFCO, and Cargill prefers independent development of its business," explains the source. Representatives of Louis Dreyfus and Bunge refused to comment and Francis De Rosa, press officer of Cargill, announced that the company "is considering all opportunities for running of business and reports about the decisions on them if it considers this expedient."

Razgulyay-UKRROS has been seeking a strategic investor for the last two years too. President of Razgulyay-UKRROS Igor Potapenko, wanted to sell 25% of shares of his company but finally decided to give up direct sale in favor of an IPO. According to Potapenko, Western companies including Cargill wanted to buy not a stake in the company but separate assets or business lines of the company. Shareholders of Razgulyay-UKRROS disagreed with this proposal. In any case, Alexei Kolomin, head of Trading House W.J., is convinced that it is impossible to expect a quick sale of shares of Rusagro to Western companies. Kolomin refers to the incomplete continuing conflict of Rusagro at the Labinsky and Kropotkinsky oil extraction plants. Kolomin explains, "Western investors do not like such scandals."

Vedomosti, July 06, 2005

Document RUSBUS0020050708e1780000b

Rusagro Company Group Targets for 30% of Russian Sugar Market and 20% of Bottled Oil Market (Press Release).413 words28 February 2006PRRussiaPRRUSEnglish© 2006 Joint product of Info-Nova and Ima-Press agencies. All Rights Reserved

MOSCOW, February 28 /PRRussia/ - The Rusagro Company Group has reviewed last year's performance.

In 2005, its seven sugar mills of the Belgorod and Voronezh regions and the Krasnodar Territory processed 2.146 million tonnes of sugar beets, a 13% boost year-on- year, and 548,400 tonnes of crude sugar, a 48% boost Y/Y. Commercial beet sugar output was up 20% Y/Y to 315,500 tonnes and that of crude sugar up 48% Y/Y to 541,600 tonnes. Within the next two or three years Rusagro intends to account for 30% of the Russian sugar market.

Rusagro's Krasnodarsky oil and fats mill, the Vegetable Oil Extraction Mill, the Anninsky Oil Extraction Mill, the Labinsky Oil Extraction Mill and the Fats Mill Company made a total of 72,700 tonnes of bottled oil in 2005, a 200% boost Y/Y. By the year-end Rusagro plans to account for 20% of the local bottled oil market.

Stable growth rates were registered in the output of mayonnaise, unrefined oil, laundry soap and oil-seed meal. Compared to 2004, mayonnaise output was up 12% to 51,400 tonnes, that of unrefined oil up 6% to 168,500 tonnes, laundry soap up 150% to 12,000 tonnes and oil- seed meal up 7% to 225,600 tonnes.

The Rusagro Invest holding company is in charge of the group's agribusiness. In 2005, Rusagro Invest harvested 200,700 tonnes of grain, a 43% boost Y/Y, and 414,400 tonnes of sugar beets, a 49% boost Y/Y. Last year's gross farm produce was estimated at 1.745 billion roubles ($62m/E52m), a 31% rise Y/Y.

Source: Rusagro press service

About the Rusagro Company Group

The Rusagro Company Group is Russia's largest agro- industrial holding company with 100% Russian capital. Founded in 1995, Rusagro unifies 16 food processing businesses, more than 20 agricultural enterprises, 10 regional trading units and a Moscow-based management company. The group is a top name on the Russian sugar market, a major grain trader and an agriculture and fat- and-oil producer. The group has 11,000 employees.

Director General: Vadim Moshkovich

Contact

Address: 18 Ul. Krzhizhanovskogo, Moscow, 117218, Russia

Tel/Fax: (+7 495) 777 6699

http://www.rusagrogroup.ru

Issuers of news releases and not PRRussia are solely responsible for the accuracy of the content.

Document PRRUS00020060228e22s00009

RUSAGRO EXPANDING FARM OUTPUT280 words15 June 200514:13Interfax: Food & Agriculture ReportFOAGREnglish(c) 2005 Interfax Information Services, B.V.

The Rusagro group of companies, one of the leading operators on the Russian food product market, is expanding agricultural output.

The company has decided to organize agricultural production in Tambov region where it has two sugar plants, the group said in a press release. "Agreement has been reached with the regional authorities on including three farms in Zherdevsk and four in Znamensky regions into the group," the release says. Rusagro will rent these farms that have a total area of 30,000 hectares.

"The new farms, along with other sugar beet producers, will completely load capacity at Rusagro sugar plants in Tambov region," the release cites Yury Kostyuk, head of the group's agricultural department, as saying.

Rusagro includes 21 agricultural organizations located in the beat planting area of the company's sugar plants in Belgorod and Tambov regions. OOO Rusagro-Invest manages the farms.

The company has a total 120,000 hectares of farmland. ZAO Rusagro Texservice was set up to repair the company's farm machinery and store and service new equipment.

Rusagro is planning to invest more than $17 million in refurbishing sugar plants in 2005. The company plans to implement projects to make granulated pulp in Baluisk, Belgorod region, and in Znamensk, Tambov region. Rusagro plans to invest a respective $4.6 million and $4.8 million in these projects. The company is planning to increase processing capacity to 4,000 tonnes a day at the Volokonovsk plant, in Belgorod region, and the Zherdevsk plant, in Tambov region.

Rusagro has finished planting grain crops, sugar beets and sunflowers, the release says. Sugar beets have been planted over more than 17,500 hectares.

Document FOAGR00020050629e16f0000j

Sberbank looks to get Rusagro shares for $200 mln in IPO – paper

393 words4 May 201006:45Interfax: Russia & CIS Business and Financial NewswireDAIBNEnglish(c) 2010 Interfax Information Services, B.V.

MOSCOW. May 4 (Interfax) - Sberbank of Russia (RTS: SBER) has bid for $200 million worth of Rusagro shares in company IPO that could run from $245.5 million to $309.2 million total.

Renaissance Capital informed its clients about Sberbank's bid. It, Sberbank, Credit Suisse and Alfa Bank (RTS: ALFB) are the IPO organizers, the Vedomosti business daily writes. Sberbank is prepared to buy Rusagro shares "at any price within the price range," an employee at one of the organizers told the paper.

The holding set the price range for the IPO placement of common at $13.5-$17 per share. The price will be determined May 13.

Whether Sberbank's bid will be met "will depend on the distribution of shares after all bids are received," because "there can be no certainty the bank will receive paper for the entire indicated amount," Vedomosti cites a Renaissance Capital statement as saying.

Sberbank of Russia (RTS: SBER) is by far Rusagro's biggest creditor, accounting for 90% of the agricultural holding's credits as of April 1. The bank holds 50% of LLC GK Rusagro, which controls the group's assets, shares, the real estate and production capacity of five of seven of the group's sugar plants and the hog complex Belgorod Bacon, a memorandum to the IPO says.

Rusagro found Vadim Moshkovich was a minority shareholder in Sberbank.

Rusagro shareholder Matchzone Holdings Ltd will place the shares. The company plans to sell investors up to 18,188,742 shares, meaning IPO volume will run from $245.5 million to $309.2 million.

Matchzone will use some of the proceeds to subscribe to 11,377,909 additional Rusagro shares. Thus, the company will reap $153.6-$193.4 million from the IPO.

Rusagro is a major producer of sugar, packaged margarine and mayonnaise, and has Russia's fifth largest hog complex, along with integrated businesses that grow sugar beet and other agricultural crops, and controls roughly 360,000 hectares of land. It has 35 agricultural enterprises, seven sugar plants, OJSC Zhirovoi (Fats) Combine in Yekaterinburg, and a number of trading branches. Its sugar, crop farms, and hog facilities are sited in the Belgorod, Tambov and Voronezh regions.

Cf

(Our editorial staff can be reached at eng.editors@interfax.ru)

Rusagro to invest $38 mln in sugar plant upgrade351 words31 July 200610:47Reuters NewsLBAEnglish(c) 2006 Reuters Limited

MOSCOW, July 31 (Reuters) - Rusagro Group, which produces an eighth of the sugar Russia consumes, will invest $38 million by 2009 doubling capacity at its Znamensky Sugar Plant to process more beet and cut costs, the company said on Monday.

The expansion would allow Znamensky to process 8,000 tonnes a day of sugar beet, up from 4,000 tonnes currently, and would cut energy costs at the plant in the Tambov region of central Russia, Rusagro said in a statement.

The company said that this year it would start similar upgrades at two more plants and consider acquiring new assets that would be able to process 8,000 tonnes of beet daily.

Russia, which produced only 45 percent of the sugar it consumed last year, is expecting a record-high beet crop of about 3 million tonnes in 2006 as farmers grow more to profit from soaring prices.

Alexei Knyazev, general director of Rusagro-Sakhar, the group's sugar division, said Rusagro had sown sugar beet on 30 percent more land in Tambov province this year than last, and had plans to increase beet cultivation further.

He added sugar producers needed to cut production costs.

"The biggest production expense is energy resources, the cost of which is continually rising. Therefore sugar enterprises need to seek ways to lower these expenses and raise efficiency," Knyazev said.

Rusagro said state-controlled Sberbank , Russia's largest bank, would be the main source of credit for the plant upgrade and that the Tambov regional administration might also provide some finance.

Rusagro operates six sugar plants in Russia and recently sold another, Ust-Labinsky, to a company owned by metals tycoon Oleg Deripaska.

Knyazev told Reuters in March Rusagro-Sakhar planned to invest up to $100 million in the next three years to boost output at four plants -- Znamensky and Zherdevsky in Tambov and Volokonovsky and Valuikisakhar in Belgorod region.

Russia's other main sugar producers include Prodimex, Razgulay and French-owned merchant Sucden.

MINERALS-RUSSIA-SUGAR|LANGEN|ABN|C|SOF|GRO|MTL

Document LBA0000020060731e27v001ue

Rusagro harvest 28% more sugarbeet in 2007100 words16 November 200712:12Russia & CIS Business and Financial NewswireDAIBNEnglish(c) 2007 Interfax Information Services, B.V.

MOSCOW. Nov 16 (Interfax) - The Rusagro group increased production of sugarbeets by 28% this year.

Rusagro-Invest in Belgorod and Rusagro-Tambov harvested 1.14 million tonnes of sugarbeet this year, compared to 890,000 tonnes in 2006, as the crop area expanded to 32,800 hectares from 23,100 hectares.

Rusagro-Invest alone harvested 1 million tonnes, up from 820,000 tonnes in 2006.

The Rusagro group includes more than 35 farms, six food processing plants, eight regional trade branches, operating and management companies. Rusagro also has dairy and pig farming assets.

Document DAIBN00020071117e3bg001ex