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Metinvest Reorganizes Sales Channels in Ukraine

2015-03-13

Metinvest Group, a vertically integrated metals and mining company, started to reorganize its sales channels in Ukraine on Feb. 1st, 2015, in order to create a single sales channel for its buyers. As part of the reorganization, the core seller of steel products will be Metinvest-SMC, LLC. Metinvest Ukraine, LLC, which previously managed the wholesale deliveries to end customers, will focus on niche products. Metinvest-SMC will realize a “one face to the customer” approach, a single effective partnership channel, with improved and more rapid response service, based on systemic principles for placing, processing and fulfilling customer orders. Via Metinvest-SMC’s regional sales network, Metinvest’s retail and wholesale customers will be able to purchase steel products via their nearest outlet regardless of the volumes or products. The company will place a special focus on developing relationships with wholesale customers, including enterprises in heavy machine, shipbuilding, railcar manufacturing, metals and mining, hardware metal products, coal, and railway sectors in Ukraine and the CIS. The reorganization process will merge the expertise from both Metinvest’s trading companies. Some employees from Metinvest-Ukraine, LLC will be relocated to respective business units in Metinvest-SMC, LLC. The change will be completed within two months and sales will commence in the new format in Ukraine in April. “The focus of customers is a key vector for Metinvest’s development. Our customers’ dynamically changing needs require new and effective partnership arrangements. The merger of Metinvest’s sales channels in Ukraine into a single channel will optimize processes and provide buyers with the best service both for wholesale and retail customers,” commented General Director Dmytro Lyppa of Metinvest-SMC, LLC. Metinvest-SMC, LLC is Metinvest’s wholesale and retail sales channel in Ukraine. The company sells products from Metinvest’s enterprises and other steel producers in Ukraine and the CIS. Due to Metinvest’s vertical integration, the company provides favorable terms from its largest manufacturers. Metinvest-SMC possesses a network of metal service centers with a total inventory of steel products of over 100,000 tons and a broad range of over 1,000 products.