A big issue in the news in Russia is Renault – a car company that has a 25% stake in AvtoVaz. Needs to share 25% in the needed capital to keep AvtoVaz afloat. Renault already has received €3 billion in its state support to keep its head above water. But now Putin has said, What percent you own is what percent you must give. In Renault’s case this is 25% of needed capital…
Putin said:“I’d very much like to see all shareholders (of AvtoVaz) contribute on an equal footing. All of them can be assured that the Russian government will do everything it can to uphold the interests of all shareholders.”
The Western press is slamming Putin and Russia over this thinking, but I really think it is correct to think this way. If you own 25% of a company then you need to help 25% of what is needed. (Not just take 25% of the profits during good times…)
I have not purchased a new car for 25 years and will most likely never again! (I buy used)
What about you? What do you think?
Windows to Russia!
comments always welcome.
- Russia: Big Automobile Business Likes Russia! (windowstorussia.com)
- Report: Russia’s AvtoVAZ finally turns a profit after many years (autoblog.com)
- UPDATE 1-Russia to raise import tariffs on cars – Putin (reuters.com)
- AvtoVAZ carmaker in black first time in years (inautonews.com)