Russian car producer AvtoVAZ chalked up a net loss of 1.117 billion roubles in the first nine months of the year. That compares with 1.191 billion roubles of net profit in the same period of 2012.
The company also reported that revenue fell 1.9% to 131.146 billion roubles in this period.
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AvtoVAZ attributed the worsening of its financial results mainly to investment spending on the “modernisation and launch of new car products”.
The company’s total sales decreased 12% to 397,533 cars in January–September, including 343,368 cars sold in Russia, a 14% decline.
Swedish car executive Bo Andersson, currently CEO of GAZ and formerly of General Motors, is expected to shortly take the post of CEO at AvtoVAZ. He would be the first non-Russian to get the job of head of Russia’s largest carmaker.
