Today in Russian Business – June 18, 2008

President Dmitry Medvedev has approved a riskier investment strategy for the country’s first sovereign wealth fund. Finance Minister Alexei Kudrin “is fighting an uphill struggle to limit spending.” Property management services firm Jones Lang LaSalle will double its staff in Russia by the end of 2010. Severstal has written an open letter to its competitor, American steel-maker Esmark, accusing it of unfair practices for accepting a takeover offer from India’s Essar. France’s auto-parts maker Valeo will create a joint venture in Russia with local supplier Itelma. Highland Gold Mining, part-owned by billionaire Roman Abramovich, will spend $500-550 million launching output at its Mayskoye field by 2010. United Company RusAl rejected a proposal by Norilsk Nickel to discuss a full merger. 34% of RusAl’s sales will be in China by 2015 as the company shifts its focus to the East.