JSC  "Latvijas  balzams"  initiated  investment projects last year and

proceeded  this  year.  The total investment value amounts to LVL 2.643

million:  a  new building has been built at the production area located

at Čaka Street, and a new export storage facility has been built at 18a

Sporta Street.

Together  with  the  new storage facilities, "Latvijas balzams" storage

floor  space totals to 24 thousand sq. metres. This is a visible cut on

storage  space  rentals  and  allows handling of large export contracts

with  full service. This is a major contribution towards increasing the

company competitiveness, since it enhances a smoother functioning. This

year "Latvijas balzams" expects to have export contracts from owners of

other brands for about 2.3 million decalitres. The company also expects

to attain a 30% sales increase of own brands.

This  year  the  company  expects  to  finalise  the  reconstruction of

production  facilities  at  Briāna  Street  and  to purchase a new soft

drinks bottling line in the second quarter of the year. The total value

of  the  project  is  LVL 2.175 million. Thus, the total investments in

three  projects  will  amount  to  LVL 4.818 million, invested over the

period  of  half  a year. According to the budget, the total investment

amount for 2003 is LVL 4.454 million.