Wood harvesting

Ilim Group Chooses a Supplier for Timber Trucks As A Part Of Own Forest Strategy Implementation


Ilim Group has signed a contract with a world leading producer of specialized forest equipment SISU Auto for the delivery of 91 timber trucks combinations to Ilim Group logging companies. Tracks deliveries for Ust-Ilimsk logging companies of Ilim in Irkutsk Region will be done during autumn 2008.

This is a second contract that Ilim Group signed with forest equipment supplier under Company's Forest strategy implementation. Recently, as the result of an international tendering process Ilim Group selected John Deere as the supplier for the initial package of high technology harvesting and handling equipment. Equipment deliveries to Ilim Group's Koryazhma and Siberian regions will begin this summer and extend into 2009.

Modernizing operations in its forests is the new step of implementation of Ilim Group over $1.6 Billion investment program that was announced last year.

Ilim Group forest strategy includes the purchase and deployment of latest technology logging, road construction and wood transportation equipment.

This investment is certainly one of the most focused and significant investments in Russia's forests, and it's main objectives is to reduce harvesting and transportation costs, while raising forest productivity and improving safety and working conditions for Ilim Group forest employees. Most of the wood produced from Ilim's harvesting operations is used in its own facilities for the manufacturing of value added paper and packaging products for the domestic markets, and high quality pulps and containerboards for export.