Federal<br/>Passenger Company Annual Report

Priority Investments

Investment in quality and safety

Investment in safety and quality of service amounted to RUB 1.3 billion in 2013.

The following key projects were funded:

  • RUB 0.7 billion on replacement of retiring equipment
  • RUB 0.3 billion on ensuring that JSC FPC’s facilities comply with fire safety requirements
  • RUB 0.2 billion on construction and renovation
  • RUB 0.1 billing on installation of GLONASS/GPS satellite navigation systems

Client-Focused Investment

Further improving its client-focused approach, JSC FPC spent RUB 24.6 billion as follows:

  • RUB 24.1 billion was spent to buy 395 new comfortable cars with improved security features for national and international service
  • RUB 0.1 billion was spent on the overhaul and renovation of 9 passenger cars
  • RUB 0.4. billion was spent on the deployment of new IT systems

Modernisation and Innovation

In 2013, JSC FPC spent RUB 1.4 billion on the maintenance of existing production facilities and innovations, including the installation of air decontamination systems at a cost of RUB 0.1 billion.

In 2013, the passenger car repair and maintenance technology was improved substantially through the use of lasting wear-resistant mechanisms and parts, which helped reduce the amount of repair and maintenance work needed and lead to a RUB 2.1 billion reduction of the annual cost of such work.

Investment in Energy Efficiency

RUB 0.2 billion was spent in 2013 to encourage energy saving and energy efficiency improvement; among other projects, the funds were used to install pellet-fired boilers in passenger cars.

The size of the investment programme of JSC FPC depends on the amount of subsidies provided by federal governmental bodies as compensation of revenue losses due to regulation by the state of the rates for national passenger service in second-class sleepers and standard cars. For example, additional subsidies were approved and allocated in 2013, resulting in an increase of JSC FPC’s investment programme RUB 22.6 billion to RUB 28.1 billion, i.e. by RUB 5.5 billion.