JSC

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JSC Concern AVEC and Co General information

• JSC Concern AVEC and Co was found in 1994 and
  currently it is one of the largest and stable
  companies in Ukraine
• JSC Concern AVEC and Co holds leading
  positions in various branches of economy and is
  constantly mastering new markets and businesses
• The total number of employees is over 3 000
• Yearly volume of commercial operations is 150
  mln

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Honorary president
Alexander Feldman
1991 - private production and commercial company
AVEC was found 1994 - President of JSC Concern
AVEC and Co, a dynamically developing production
and commercial company 1997 - creation and
running one of the largest charity organizations
in Kharkiv Kharkiv municipal charity foundation
AVEC 1998 - 2002 - member of Kharkiv city
Parliament 1999 - honored with golden order of
Nicolas the Miracle maker for multiplication of
good on Earth ? 1999 The president of Alliance
of national and cultural associations of
Ukraine 2000 awarded with Christmas 2000
award, prize winner of rating contest Kharkiv
citizen of the century ? 2001 President of
Kharkiv united Jewish community 2002 - Member of
Parliament of Ukraine, member of Parliament
committee on problems of retired, veterans and
handicapped 2003 awarded with special medal of
French republic For fidelity in human rights
protection 2005 owner of the premium "Person
of year 2004 " in nomination the Charity program
of the Year"
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Main Businesses of AVEC
AVEC
Investment projects in commercial real estate
Markets and shopping centers management
Agricultural and production projects
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JSC Concern AVEC and Co

• JSC Concern AVEC and Co
• Large amount of trading space in Kharkiv region
• 7,6 of retail trade turnover of all large
• non-grocery markets in Ukraine
• 2,9 of all retail traders in Ukraine are
  tenants
• of AVEC

• Other Businesses of AVEC
• Various investment projects
• Regional development
• Logistics and transportation AVEC-Sonora
  company
• Media-business
• Finance
• Charity

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JSC Concern AVEC and Co Shopping centers
management
AVEC
Shopping centers and markets
Konniy
Novosaltovskiy
The Central
Sumskoy
Barabashova
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Markets management Example of Barabashova trade
center
Whole-sale and retail Barabashova trade center
is the Europe largest trade object. It is a
unique city inside the city with its own
streets, blocks, buildings, districts and
infrastructure.

• Barabashova trade center
• Total area over 600 000 sq.m.
• Over 28 000 shops and kiosks
• Over 100 000 visitors on weekdays and over
• 200 000 visitors on weekends
• Proposition of non-agricultural goods
  Everything
• from a needle up to a car
• Wide proposition of the goods of local
• producers
• Operates 6 days a week 2 whole-sale
• night trade sessions each week
• Constant development

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Markets management Markets of AVEC
The Central Market

• Total area 60 000 sq.m.
• Is located 5 minutes from downtown Kharkiv
• Main groups of goods groceries, clothes and
  shoes, household chemicals, goods for sport and
  recreation, animal market
• 35-40 thousand visitors on weekends

Konniy market

• Total area 44 600 sq.m.
• Main wholesale agricultural market in the city
• Up to 36 thousand visitors on weekends

Novosaltovskiy market

• Total area 20 900 sq.m.
• Is located in the largest residential district
  of the city
• Main groups of goods foodstuff, building
  materials, clothes
• 10-18 thousand visitors per day

Sumskoy market

• Total area 7 600 sq.m.,
• Is located in historic downtown Kharkiv
• Main groups of goods agricultural products,
  flowers

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International thoroughfares in Ukraine and
Kharkiv
Kharkiv region
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Regional location
Kharkiv region is located on the intersection of
a number of important international and national
transportation arteries. The region stands on the
lines that connect West and East (Europe and
Russia, Eastern countries) and North and South
(Moscow and Crimea). A number of automobile and
rail roads connect the region to Donbass, Crimea,
Caucasus, ports of Black and Azov seas. Kharkiv
region is the largest and best developed region
among its neighbors. It is a traditional trade
and terminal region. This is one of the reasons
why Kharkiv is a traditional trade city.
A powerful production and trade system of
agricultural products needs a powerful
professional logistic base. However it is
missing Wholesale distribution of agricultural
products in Kharkiv region is chaotic, consists
of a large number of small-size old warehouses
whose location is random. The distribution
system is far from being on the up-to-date level
while the demand for professional agricultural
terminal is more than high.
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Resume
It is obvious that there is a serious need for
professional distribution system for agricultural
products in Kharkiv region. When created, such
system will efficiently integrate into economy of
Kharkiv region and the regions of Eastern Ukraine
thus becoming the main terminal in the East of
the country

• JSC Concern AVEC and Co has two large size land
  lots on the circular road of Kharkiv that have
  perfect transportation accessibility and fit to
  be used for creation of logistic terminals of
  inter-regional scale
• Object 1 with the overall area of 2 800 000
  sq.m. consists of 3 land lots that are located on
  the circular road on the North-East of Kharkiv
  near Kharkiv biggest Saltovka district
• Object 2 with the total area of 18 193 600 sq.m.
  stands on the intersection of Moskovskiy ave. and
  the circular road near Rogan industrial district
  on the South-East of Kharkiv

An important point is that AVEC has both
experience and the potential to realize the
agricultural terminal project of such size In
perspective, the model of the distribution center
in Kharkiv may be used to create a few other
objects of such type in other regions of the
country so that it becomes a national-level
efficient unified system of agricultural products
distribution
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• Headline FINANCIALS
• Expected investment
• 25 ha 40 ha 1ST Phase
• 2nd phase - 15-20 ha reserve
• for logistics / distribution
• Trading space
• Halls ca. 40,000 m2
• Truck sales - 50,000 75,000 m2
• TOTAL INVESTMENT around 30 mln.

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Ownership

• Need strong private investor
• Have very good relations with Town and Oblast
• Need to develop a model where oblast or town
  could be part owner of site or infrastructure
• The operator should be private
• Access for Farmers
• Some space or boxes could be reserved for
  farmers
• (this already happens at existing bazaars
  operated by AVEC)
• Can consider some participation by traders /
  farmers

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