Euroset Says Has Troubles with Vertu Handset Supplies

MOSCOW, Sep 14 (Prime-Tass) -- Russia's largest mobile handset retailer Euroset is facing problems with receiving supplies of Vertu mobile handsets, the retailer said in a press release Thursday.

Euroset has not received the ordered amount of Vertu handsets for its newly opened Vertu-brand store in the center of Moscow, the company said.

Euroset recently got into a conflict with Finnish mobile handset producer Nokia. Vertu is a Nokia subsidiary producing luxury mobile handsets, prices of which start at several thousand US dollars.

Vertu failed to supply the ordered handsets "due to formal delays," Euroset said, adding that it had ordered over 20 Vertu models worth a total of about 7 million euros.

Euroset opened its Vertu-brand store Thursday with no handsets on the shelves, while customers were offered sparkling wine and sweets, the retailer said.

Euroset shareholder and company Chairman Yevgeny Chichvarkin said that some people in Vertu "are not interested in increasing Russia's share in the company's world sales." Chichvarkin estimated that over 50% of Vertu's world sales were made in Russia. Chichvarkin also said that he hoped customers would be able to purchase Vertu handsets ahead of the New Year holidays.

Euroset's store opened on Tverskaya Street, a kilometer away from the Kremlin.

Euroset had 3,861 outlets as of July 1. The company's revenue in 2005 amounted to U.S. $2.574 billion. Euroset operates in Russia, Belarus, Ukraine, Kazakhstan and Kyrgyzstan.

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Posted to the site on 14th September 2006