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Mechel-Ferroalloys Management OOO's Chief Executive Officer Gennady Ovchinnikov noted: " We expected to see a certain growth in ferrosilicon production costs in the fourth quarter, due to the reconstruction of Bratsk Ferroalloy Plant's furnace # 4, which was launched into production in the first quarter of 2012 as planned. At the same time the degressive price dynamics for the division's finished products continued to affect the division's financial parameters. We see further ways to optimize costs at Bratsk Ferroalloy Plant, where a modernized furnace was launched, as well as works are underway to transfer the plant fully to its own resource base at the Uvatsk quartzite deposit."