LIFOSA

MATERIAL EVENT



SEMI-ANNUAL RESULTS FOR 2003



According to the International Accounting Standards, Lifosa AB earned LTL 2.975

thousand of profit during the first half of 2003, while during the same period

of 2002, the company incurred LTL 11.059 thousand of loss.

The positive result was achieved due to a considerable production volume and an

increased price of diammonium phosphate. A steep jump in the price of raw

materials this year prevented the company from demonstrating even better

results.

Revenue of the first half of 2003 reached LTL 207 million, which is by 37

percent more than during the same period of last year.

During the first half of this year, production of the diammonium phosphate

amounted to 341 thousand tones, which is by 43.6 percent more than during the

same period last year.

Currently Lifosa AB operates in its full capacity and is accomplishing goals

foreseen in the restructuring plan.





Zigmas Ežerskis

Finance Director, at interim

(370 347) 66 262