Utenos Trikotazas - Interim information

1st Half Year Results of 2015 of AB Utenos Trikotažas

During the first half year of 2015, the sales of AB Utenos Trikotažas amounted
to 7 million EUR and were 2.0% higher compared to the same period of 2014. 

During the first half year of 2015, the consolidated sales of AB Utenos
Trikotažas group amounted to 8.5 million EUR and were 4.8% lower compared to
the same period of 2014. 

During the first half year of 2015 AB Utenos Trikotažas incurred the loss from
activities of 393,000 EUR, whereas in 2014 the profit of  59,000 EUR was made. 

During the first half year of 2015 AB Utenos Trikotažas group incurred the loss
from activities of 205,000 EUR, whereas in 2014 the profit of  354,000 EUR was
made. 

“After the shrinkage of the Russian retail market, a lot of our partners,
European distributors of clothes, completely withdrew from the market, and the
remaining European customers significantly decreased the orders of fashion and
special clothing for the Russian market,” says Gintautas Bareika, Director
General of AB Utenos Trikotažas. “However, even in such market situation Utenos
Trikotažas managed to increase sales by focusing on more expensive production
with a higher added value. We are implementing a long-term strategy with the
most important aspects on implementation and creation of innovations,
manufacture of products with a higher added value and development of our
brands. This strategy allows an earlier reaction to change in different markets
and at the same time demands investments both in production capacities and in a
long-term marketing”. 

The developed brands of AB Utenos Trikotažas have rapidly increased their sales
during the 1st half year of 2015. The half-year sales of brands ABOUT and
Utenos Trikotažas increased by almost 30% amounting to 0.9 million EUR,
compared to the 1st half year of 2014. 

Reacting to the changing customer demands and the market situation, Utenos
Trikotažas began a modernisation programme, dedicated to the increase of
production capacities and assortment of innovative materials. 

It is expected that, after the implementation of this programme, in the second
half year of 2015 the company will be able to offer materials with new digital
decoration printing and materials enriched with additional functions with linen
and elastane. 

The value of the purchase of new equipment signed in June reaches 620,000 EUR.
These investments will be funded with both company money and the money from an
additionally granted long-term funding of the DNB Bank. 

For more information please contact Mr. Gintautas Bareika, Managing Director of
AB "Utenos trikotažas", tel. No. 370 389 51445. 

I, the undersigned, confirm that the above information is complete and true.

Managing Director AB “Utenos trikotažas” Gintautas Bareika

Attachments:

Consolidated interim report.pdf

Consolidated interim financial statements.pdf

Confirmation of responsible persons.pdf