JSC  "Latvijas  kuģniecība"  (LASCO)  expects the drafting of the Group

strategy and budget for 2003 to be completed by beginning of April.

Considering  the  favourable  situation  in  the  tanker charter market

already  since  beginning  of December 2002 and continuing today, LASCO

management  hopes  to  improve  the  company  performance in 2003.  The

optimistic  future  outlooks  are  based also on the administrative and

vessel  operational  cost  optimisation  that  has  been started in the

company.

In  the  favourable  market  situation  nearly all LASCO vessels are in

operation  right now, including 12 ice class reefers that are in demand

because  of the cold winter, complicated navigation and shortage of ice

class   vessels.  Presently  all  the  reefers  are  operating  in  St.

Petersburg route and will be busy till the end of ice navigation in the

Gulf of Finland.