Changi Airports signed an agreement to form a JW to manage and operate a 520,000 square feet, Passenger Terminal Building (Terminal 1) which is currently under construction at the Sheremetyevo International Airport in Moscow.

The newly constructed Terminal 1 will be leased by Sheremetyevo International Airport Joint Stock Company, which owns Sheremetyevo International Airport's Terminals 1 and 2, to the JVCo. Terminal 1, which is scheduled for completion in early 2007, is designed to handle 5 million passengers per year and expected to generate about S$110 million in revenue annually.

The scope of the JVCo will extend beyond the management and operation of Terminal 1. The JVCo will also bid for the management and operation of Terminal 3 of the same airport which is owned by Terminal OAO, a subsidiary of Aeroflot Russian Airlines. In addition, there are also plans for the JVCo to eventually manage and operate Sheremetyevo Airport's Terminal 2 which is currently undergoing expansion and refurbishment. These works are expected to be completed by 2008.

The GA was signed in Singapore today by Mr Chow Kok Fong, Chief Executive Officer of Changi Airports International and Mr Mikhail Vasilenko, General Director of Sheremetyevo International Airport Joint Stock Company. The ceremony was witnessed by Mr Evdokimov Igor, Chargé d' Affaire of the Russian Embassy of Singapore, as well as other officials from IE Singapore.

Mr Chow said, "The signing of this General Agreement signifies the beginning of an exciting relationship between Singapore and the Russian Federation. Changi Airports International is honoured to play a part in strengthening the bilateral economic relationship, particularly on the aviation front, between our two countries. Moscow has seen consistent passenger growth in the order of 12 to 15 per cent per annum. This partnership is timely and its crystallisation will be fruitful and rewarding for both our countries and airports."

"Singapore Changi Airport is recognised as one of the best airports in the world. We have been impressed by the professional and constructive approach taken by the Changi team in developing the structure for this Joint Venture Company. We believe that this cooperation will accelerate the pace of development of civil aviation in the Russian Federation," added Mr Vasilenko.