EKRANAS

MATERIAL EVENT



DURING THE 1ST QUARTER OF THIS YEAR EKRANAS AB SOLD PRODUCTION BY 12% MORE



(Unofficial translation done at the NSEL)



During the first quarter of 2002, Ekranas AB of Panevėžys, the biggest

Lithuania’s electronics company, sold 955.1 thous. TV tubes. During the

corresponding period last year, the sales totaled 853.5 thous. TV tubes.

According to the plans, production sales are higher this year but, due to the

instability and unpredictability of the global markets, changed structure of

the production under sale, and a weakening US dollar, the sales value was lower

this quarter than last year and amounted to LTL 110.5 m. During the first three

months of 2002, the sales volume was LTL 126.2 m.

“Small size tubes accounted for 63% of the total sales, which was 13% more than

last year. Buyers settle for these tubes in US dollars, which has determined

negative activity results of the 1st quarter - Ekranas suffered a loss of LTL

5.9 m“, says Eimutis Žvybas, Managing Director of the company.

According to Mr. Žvybas, as of 1 April, Ekranas has boosted production volume

by  30% and maintains the reduction of production cost. In comparison with the

last quarter of the previous year, the three months of 2002 saw a reduction of

TV tubes’ cost by 8%.

“We see that on the global market prices of TV tubes go down so, accordingly,

Ekranas has been reducing costs in order to cushion the effects of this long-

running process. So far our efforts have been successful and we do not intend

to change our production plans. Though I would refrain from making any

forecasts with regard to annual profit as the market situation remains

complicated.  However, in my opinion, the company will end this year making

profit“, points out the Director.

The company keeps searching for new outlets in new markets. During 21-25 April,

 Ekranas is participating in an international fair to be held in Moscow, where

it will present the new 15” true flat tube. So far Ekranas is the only company

producing tubes of this model, therefore it envisages big possibilities in the

growing market of Russia.

The plans for this year include production of 3.9 m. units of tubes (compared

with 3.4 m. last year).





Angelija Zokaitienė

Head of the Investor and Public Relations Division

(370 45) 50 67 72