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VEB to sell Airbus stake to fund Superjet programme

Russian president Vladimir Putin has endorsed an emergency plan aimed at keeping Sukhoi's civil aircraft division from defaulting on its obligations to creditors.

The rescue package involves Vnesheconombank (VEB) providing a new subsidy for Superjet 100 production. These funds, it is proposed, will be sourced from the sale of VEB's 5% Airbus stake, acquired in 2007.

Sukhoi Civil Aircraft has also reached an agreement with major creditors to defer credit payments until it improves liquidity and cash-flow position.

The airframer's debt stemming from borrowings to finance the Superjet 100 programme totals Rb70 billion ($2.1 billion). But Sukhoi has expressed confidence in its ability to achieve a break-even level in 2015, on revenue of $1.5 billion, and to increase sales to $2 billion by 2018.

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