Russian Railways forms logistics unit
The Russian Railways board has approved a plan to form Russian Railways Logistics, a logistics services subsidiary.
'The main aim in setting up the logistics company is to improve the attractiveness of rail freight services and gain additional revenue from developing an integrated transport and logistics product (a door-to-door service) by uniting the existing services of the Russian Railways holding into a single chain,' the railroad said in a statement.
Russian Railways Logistics will provide freight forwarding, warehouse/terminal services, and customs brokerage, and will also manage delivery chains acquired from both domestic and external service providers.
The authorized capital needed to create the logistics unit was set on the basis of demand for investment and working capital in 2011, and totals 125.3 million rubles (about $4.2 million), the railroad said.