On  August  17,  2001  annual  general meeting of shareholders convened

repeatedly.

Under  agenda  item  "other  business",  the  creation  of reserves was

discussed. It was resolved to set aside, in the procedure stipulated by

effective  legal  acts  of  Latvia, a reserve equal to the amount under

item "revenues from participation in company "Olainfarm USA Ltd."".

Due to lack of materials that are necessary for discussion of different

agenda  items, it was decided to break up the meeting till September 7,

2001, 13:00.