JSC "Liepājas metalurgs" management report on operations in 6 month of

2002

During  first  6  month  of  2002  company  was  positively affected by

increase  of  sale prices by 2.5% compare to last year. LVL 0.8 million

profits  came  from  revenues from other operational activities such as

currency fluctuation etc.

During   first  6  month  of  2002  company  implemented  measures  for

modernisation  of  rolling  mill  that  will save fuel and will elevate

operation of furnaces as well as improve economy of energy resources.

During  next  6  month  company  has  plans to improve quality of steel

reinforcements  and  endurance of rolled metals and to intensify fusion

of steel and productiveness.