11.09.1998, Ditton pievadķēžu rūpnīca, RIG

Daugavpils  pievadķēžu  rūpnīca  Management Board, with the approval of

Supervisory  Board,  has  passed  a  resolution  regarding  a temporary

suspension  of  deliveries  to  customers  in  Russia,  unless  advance

payments have been received.

The  company  is  taking  measures  to ensure that production and sales

costs to Western, Baltic, and partly also to Ukrainian and Byelorussian

markets  do  not exceed proceeds from sales. The company has introduced

strict limits to expenditure items in all divisions; the number of jobs

is  reduced;  the  employees,  with  their consent, are offered to take

their annual paid holidays, or unpaid holidays.

It is expected that the difficulties with trade debtors from Russia and

decrease  of  sales  volumes might lead to reduction of the anticipated

1998 profits.