This  year JSC "Ogre" intends to expand its operations by 20-30% and to

change  company  name  to  OT.  The  change  of  name is connected with

registering the company in the Commercial Register.

JSC  "Ogre"  assesses  the 2003 sales to be on the 2002 level (LVL 14.3

million);  in  2004  the expected sales volume may be as high as LVL 18

million, mainly owing to the new clients.

Currently  the  market  breakdown  for "Ogre"is the following: USA 25%,

France  20%,  United  Kingdom  15%, Denmark 15%, Baltics 15% (increased

from  5% last year), other (including Russia and Italy) 10%. The reason

for increased demand and sales in the Baltics is manufacturing with new

technologies.

Last   year  "Ogre"  has  started  co-operation  with  several  foreign

partners,  including  from the UK and the USA, thus replacing the sales

volumes  covered  by  "Marks  & Spenser" ordered, however, subsequently

cancelled. "Ogre" has initiated litigation against "Marks & Spenser".

Last  year "Ogre", jointly with four other Latvian companies, including

"Rīgas  drēbnieks",  "Velve" and "Rīts", have set up a joint venture in

Russia for marketing and sales of the produce of these companies.

"Ogre"  is  still  operating  as a single company and has not yet split

itself up in daughter companies as planned last year. The reason is the

wish  of company creditor Unibanka. The restructuring plan provided for

retaining    "Ogre"  as  the  parent  company  engaged  in  management,

logistics,  market  research  etc., and setting up 3 daughter companies

"OT  Stils", "OT Dzija" and "OT Tekstils", expected to start operations

on  July  1,  2003.  The decision was taken to enhance the business and

increase  cost-efficiency.  Currently JSC "Ogre" is using the trademark

"OT"  (the  trademark  "Ogre"  is no longer used). Last year JSC "Ogre"

optimised  its  technologies  and  employee structure. Currently "Ogre"

employs a little over one thousand people.