LIFOSA

MATERIAL EVENT



RESULTS OF PERFORMANCE IN QI, 2002



In the first quarter of 2002, AB Lifosa suffered a loss of LTL 5205thou

(according to IAS), and the EBITA ratio of the first quarter was positive,

whereas the loss incurred in the first quarter of 2001 was LTL 21967thou.The

loss decreased 4 times basically due to larger production volumes. This

quarter, the company manufactured 102,24thou tons of DAP, whereas at then end

of the year the company manufactured 32.09thou tons of DAP. At the beginning of

the previous year, due to unfavorable market prices and high cost prices of

major raw materials, AB Lifosa was forced to slow down production in order to

minimize losses.

In the first quarter, the company’s revenue reached LTL 71520thou (cf LTL

47397thou in the first quarter of 2001). Due to the prolonged crisis on the

market of phosphorus fertilizers in 2001, the company manufactured 352thou tons

of fertilizers, which is b 41% less than in 2000.





Mindaugas Gedvilas

Finance Director

(347) 66 595