AS ESTIKO

ANNOUNCEMENT

29.12.98

 

 

PRESUMPTIONS OF THE 1999 FINANCIAL FORECAST OF AS ESTIKO 

 

 

On its 28.12.98 meeting, the Supervisory Board of AS Estiko 

affiliated group approved the amount of 7.0 million EEK as the 

1999 net profit forecast of AS Estiko affiliated group, and did 

not approve the net turnover forecast due to the adoption of 

principle strategic resolutions in March 1999.

 

The presumption for the 7.0 million EEK consolidated gross 

profit forecast of AS Estiko group are the results of AS Estiko 

affiliated group’s production and real estate sectors. In 

accordance with the plans, the production sector of AS Estiko 

group will make in 1999 5.5 million EEK gross profit, of which 

the main part is earned from the production and marketing of 

the plastic bags on Estonian and foreign markets. The gross 

profit of the real estate sector of AS Estiko affiliated group 

is forecasted to amount to 1.5 million EEK, which is based on 

the evaluations of the analysts, according to which there will 

be no increase in the activities in the field of real estate at 

least during the first half year.

 

Supervisory Board of AS Estiko affiliated group obliged the 

Management Board to present in February 1999 the strategic 

development plan until the year 2003, which foresees the 

renouncement of the trading activities. The profit/loss 

proceeding from the renouncement of the trading activities was 

not discussed on the Supervisory Board’s meeting yesterday, it 

will be posted to the agenda when the sales terms of the 

subsidiaries involved in the field of trading have been 

settled.

 

In accordance with the yesterday’s decision of the Supervisory 

Board, the strategy of AS Estiko affiliated group anticipates 

the concentration on the preferential development of production 

and the real estate development connected to that.

 

 

Ilona Leib

Information manager of the affiliated group

Tel. +372 747 3649