Vilniaus Degtine AB - Interim information

Joint stock company „Vilniaus degtinė“ has remained stable in the market in 2009

One of the biggest alcohol drinks producers „Vilniaus degtinė“, managing such
brands as „Sobieski“, „Bajorų“, „Karvedys“, „Renaissance“, etc. remains stable
in the market, despite the fact that strong drinks market has shrunk almost by
one third. 

JSC “Vilniaus degtinė” sales revenue during the period of January-December,
2009 was 23.3 percent less than previous year. Sales revenue was 53 199 628 Lt
(15 407 677 Eur), while in 2008 it was 69 368 517 Lt (20 090 511 Eur). 

During the period January-December, 2009,  the company has earned  543 409 Lt
(157 382 Eur) profit before taxes ( at 2008 it was 1 820 828 Lt (527 348 Eur). 

During the twelve months period (January-December), 2009 „Vilniaus degtinė“ AB
has sold 6 734,2 thousand liters of alcohol drinks, which  is 29.4 percent less
than during the same period in 2008,  when 9 543,6 thousand liters of drinks
were sold. 

In comparison with the year 2008, the market of strong alcohol drinks measuring
by liters,  has shrunk by 32 percent in 2009.  Present bad economic situation
and increased excise tax has pushed part of the market to the shadow sector. 
It is especially dominant in smaller cities and villages where sales have
decreased drastically. 

Sales revenue of  JSC „Vilniaus degtinė“ decreased at a smaller rate than the
overall market. According to „ AC Nielsen Baltics“ information,  „Vilniaus
degtinė“ gained 24,1 percent of vodka market share during the year  2009. It is
almost 2 percentage points more than at the same period of year 2008.
„Sobieski“ brand had the biggest growth in market share. 

About „Vilniaus degtinė“ AB

Joint stock company „Vilniaus degtinė“ is  one of the oldest and biggest
producers of alcohol drinks in Lithuania. It started in 1907 when Obelių Spirit
Distillery was opened in the region of Rokiškis. 
In 1995  “Vilniaus degtinė” was reorganized into a special purpose joint stock
company. In November of 2003, more than 80% of the company's stock was
purchased by the French company - BELVEDERE SA, which owns conjoin or
daughter-enterprises in more than 25 countries worldwide. At the present,
BELVEDERE SA owns 150 recognized alkohol drink brands world-wide. 
The biggest part of „Vilniaus degtinė“ production consists of vodka.. 
„Bajorų“, „Sobieski“ and „Karvedys“ are the most popular.  The company also
produces fine bitters, as well as liqueurs. The company's production is made
from natural ingredients including nuts, berries, fruits, juices, herbs and
honey. 
The company maintains old Lithuanian traditions; its products have won numerous
awards for quality and exceptional recipes. The products were rewarded with
“Lithuanian product of the year” gold medal several times. 
In 2009, alkohol drinks „Sobieski“ with coffee and „Bajorų Premium“ were
rewarded “Lithuanian product of the year” gold medal. In 2009  „Bajorų Premium“
was the only non-flavored Lithuanian vodka that was rewarded „Lithuanian
product of the year“ gold medal. 
„Vilniaus degtinė“ products are exported to Latvia, Estonia, Poland, France,
Denmark, Spain and UK. 

Remark: market share information provided by „ AC Nielsen Baltics“. 2009 period
is compared with the year 2008. Market is measured by quantity (liters). 

More info:
Juozas Daunys
Chief Executive officer of Marketing department
+370 5 2335638
E juozas.daunys@degtine.lt
W www.degtine.lt

Attachments:

en.jpg

vd_interimstatement_ifrs_2009.pdf