On  September  3,1999  JSC  "Jekabpils  cukurfabrika"  Supervisory  and

Management Board and Minister of Agriculture A.Kalvitis decided to take

part in intervention process of sugarbeet refining.

Management  Board  informed  minister  of Agriculture that intervention

process  will  not  foresee  fulfilment  of  liabilities  towards other

creditors.

On  September  6,1999 JSC "Jekabpils cukurfabrika" received decision of

Jekabpils  region court that on no contestation basis by distrait court

will exact from JSC "Jekabpils cukurfabrika" in JSC "Latvijas Unibanka"

favour  loan  in  the amount of LVL 1 401 983,35 and court expenses LVL

100.  Exaction  will  take  place  towards JSC "Jekabpils cukurfabrika"

cash,  movable  and immovable property as well as collateral. Regarding

this State secretary of Ministry of Agriculture J.Lapše was informed.

On  September  7,1999  JSC  "Jekabpils  cukurfabrika"  Supervisory  and

Management  Board  meeting  came  to conclusion that company has become

actually  insolvent  and decided to call extraordinary Management Board

meeting were decision regarding future activities would be reached.

JSC  "Jekabpils  cukurfabrika"  continuos  to  prepare for intervention

implementation   process   and   recurrent  meeting  with  Ministry  of

Agriculture and creditors will take place on September 9.