APRANGA

MATERIAL EVENT



COOPERATION AGREEMENT WITH THE INDITEX  GROUP CONCERNING EXPANSION OF THE ZARA

SALES NETWORK SIGNED



(Unofficial Translation Done at the NSEL)



Apranga, a well-known trading company in the Baltic States, and the Inditex

Group, managing the world-wide clothes sales network ZARA, signed a cooperation

agreement concerning development of Zara shopping centres in Estonia, Latvia

and Lithuania. Shopping areas will be opened in Tallinn, Riga and Vilnius by

the end of the year already. The ZARA shops have been opened in the best

shopping areas on central streets and shopping centres in Europe, America,

Asia and Central Europe. In 2003, the turnover of one of the largest cloth

manufacturing and trading companies,

Inditex Group, reached  EUR 4 599m, and net profit amounted to EUR 447m.

The Inditex Group owns 8 different cloth trading networks (ZARA,  Kiddy,s

Class, Pull & Bear, Massimo Dutti, Bershka, Stradivarius, Oysho and Zara Home)

and has opened 2000 shops in 50 countries, which employ 40 000 people.

The public trading company Apranga is the largest clothing retailer in

Lithuania. In 2003, the company’s turnover  constituted EUR 27.44m, net profit

was EUR 1.72m. In 2003, the company grew at the rate of  26%, in 2002 the

growth rate was 21%. Currently Apranga AB runs 33 shops, 28 of which work in

Lithuania and 5 in the neighbouring Latvia. The company is expanding 4 types of

shopping systems or separate shops selling cloths for the  family, business

people and luxury clothes. According to franchise agreements, Apranga AB works

with  Hugo Boss, Max Mara, Emporio Armani, Mango, Mexx and Betty Barclay.

Shares of Apranga AB are quoted on the National Stock Exchange of Lithuania.

The company belongs to the concern MG Baltic, the consolidated sales of which

in 2003 amounted to EUR 215 million.





Rimantas Perveneckas

Director General

(+370-698) 33 308