June, 2nd, 2007
YIT to start up residential construction in Rostov-na-Don, Russia
On this day, June 1, 2007, YIT has signed agreements to establish a joint venture called YIT DON in Rostov-na-Don. The company will focus on residential construction.
The joint venture is being set up with five private individuals who have long experience in the construction industry. These individuals will also serve in key positions in the new company.
YITs initial holding in the joint venture will be 60 per cent, with the remaining 40 per cent being divided amongst the private shareholders.
Under the agreements that have now been signed, the investment rights to two plots will be transferred to the new joint venture. The aim is to start up construction on the first site comprising 270 residential units by the end of 2007.
About 1.1 million people live in the city of Rostov-na-Don. It is estimated that about 7,900 residential units will be developer-contracted in the city in 2007. Annual growth of about 15-20 per cent is forecast in the market for housing construction.
YIT has set itself the goal of increasing its revenue in Russia by an average of 50 per cent annually during the 2006-2009 period. In Russia, YIT currently builds housing in St Petersburg, Moscow, the Moscow Oblast, Yaroslavl and Yekaterinburg. YIT also intends to start up residential construction in Kazan during 2007. At the end of March 2007, YIT had a total of over 9,000 residential units under construction in Russia.
For additional information, contact:
Timo Lehmus, Head of international operations, YIT Construction Ltd, tel. +358 400 409 181, email@example.com
Petra Thorén, Vice President, Investor Relations, YIT Corporation, tel. +358 40 764 5462, firstname.lastname@example.org
Vice President, Corporate Communications
Distribution: Helsinki Stock Exchange, principal media, www.yitgroup.com
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