Federal stake transfer planned after 1999 cancellation

Published: 4/10/2000

The governor of the Novosibirsk region Victor Tolokonsky has created a working group on the transfer of the controlling interest in Tolmachevo Airport from federal hands to the regional property fund. The group"s remit in addition to organizing the transfer, is to make recommendations for the airport"s development. A plan of the development of an international airport at Tolmachevo has been around for some time, with the original proposal developed by Boeing in the early 1990s at a cost of $1.2 bn. In late 1994, the Boeing plan was approved in Moscow, on the understanding that the airport would finance the development itself and without the help of state guarantees. The airport however, did not have the funds and was forced to transfer the partially completed international terminal to another entity Transsibavia in 1995, to complete the terminal by 1996. The new entity however, experienced the same problems with funding. During his election tour of Novosibirsk in 1995, Yeltsin transferred 51% of Tolmachevo"s stock to the region. The construction was restarted and the terminal was completed in 1997, at a cost of 200 m rubles. Despite the transfer of the stock by the president, the regional authorities and the Ministry of Finance could not come to agreement regarding the basis of the transfer. On the 19th January 1999, Yeltsin rescinded his previous decision on the stock transfer. In February 2000, Victor Tolokonsky requested that Vladimir Putin transfer the state"s holding again to the region and presented a proposal to the Ministry of the State Property. The basis of the report is that the Federal authorities will continue to be paid dividends on the common stock that they transfer, with ownership lying with the Novosibirsk region.

Article ID: 1597