(28 Sep 2002)
Moscow - September 23, 2002
1. Various of cars on Moscow streets
Togliatti - September 23, 2002
2. Exterior of GM - Avtovaz plant
3. GM flag
4. Opening ceremony
5. Various of blessing of plant
6. Close up sign "Let's go"
7. First car drives through ribbon
8. Press conference
9. SOUNDBITE: (Russian) Vladimir Kadannikov, Avtovaz chief:
"I think that building of this plant and arrival of the biggest in the world car company has a significant meaning for Russia and for all of us."
10. Various of new NIVA cars
11. Press conference
12. SOUNDBITE: (English) John F. (Jack) Smith, GM Chairman:
"We are in the beginning phases of the first stage. We only have a plant built and the first cars just came off the line. We need to finish that first stage, we need to get the car to the market. We need to establish our position in the market for affordable vehicle."
13. Cutaway of journalists
14. SOUNDBITE: (English) John F. (Jack) Smith, GM Chairman:
"We believe that we will be successful doing that. We also believe that Russia offers great opportunity for the future. We believe it will be one of the great markets of the next 10-20 years."
Moscow - September 23, 2002
15. Various of cars on Moscow streets
Moscow - September 21, 2002
16. Exterior of Russian-made car dealership
17. Various of cars, clients looking at cars
18. SOUNDBITE: (Russian) Vera, car buyer:
"(Foreign cars) are expensive, there cars are better for us in terms of price. And, it is more than enough for our needs and our roads."
19. Car drives away
STORYLINE:
In the largest joint venture yet for Russia's struggling automobile industry, General Motors Corp. and Russia's top automaker, Avtovaz, have joined forces in an ambitious project.
They've unveiled plans for a new plant capable of producing 75-thousand sports utility vehicles, both for the local and international markets.
For General Motors the venture in the city of Togliatti about 1-thousand kilometres (600 miles) southeast of Moscow, represents a bold initiative, designed to carve a greater niche in Russia's burgeoning car market.
For Avtovaz, it's the chance to attract Western money, and inject new life into its aging car production facilities.
Under the 338 (m) million dollar deal to manufacture Chevrolet Nivas, Avtovaz will provide the facilities and know-how, while GM will provide the financial backing and most of the equipment.
GM and Avtovaz will each get a 41-point-5 percent stake in the joint venture, worth 99-point-1 (m) dollars a piece.
The European Bank for Reconstruction and Development owns the remaining 17 percent of stock, worth 40 (m) million dollars.
The bank is also providing 100 (m) million dollars in loans.
The joint venture, which will employ 1,200 people, is set to reach full capacity by 2005.
For the first full year of operation, it plans to produce 35-thousand vehicles.
The Russian government hopes the project will also help direct much-needed investment to the Russian auto parts
industry, which desperately needs upgrading.
In line with Russian tradition, an Orthodox Christian priest blessed the project. He sprinkled holy water on the production line and chanted prayers before the first Chevrolet Niva rolled off the assembly line.
Later the ceremonies got more down to earth, with dancing and singing from local pop performers.
The project is seen as a major victory for Russia's struggling auto industry, which has long been clamouring for foreign investment to help modernise its aging equipment and develop new products to replace designs dating back several decades.
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