Grigiskes AB - Notification on material event

GRIGISKES AB: plans for the year 2013

Vilnius, Lithuania, 2013-01-11 09:05 CET (GLOBE NEWSWIRE) -- The Board meeting
on January 10, 2013 approved budget for the year 2013. 

It is planned that the Group which consists of companies GRIGISKES AB, Baltwood
UAB, Klaipedos kartonas AB, Klaipeda Recycling UAB, Mena Pak OAO and Klaipeda
recycling UAB in the year 2013 will reach a turnover of LTL 330 Mio. (EUR 95.6
Mio), which is by LTL 40 Mio (EUR 11.6 Mio) or 13.8% over the expected turnover
of 2012. The Group's profit before taxes will reach LTL 13.4 Mio (EUR 3.9 Mio)
and will be by LTL 3% higher than it is expected for the year 2012. 

It is also planned that GRIGISKES AB in the year 2013 will reach a turnover of
LTL 148 Mio (EUR 42.8 Mio) and will be higher by LTL 37 Mio (EUR 10.7 Mio) than
it is expected for the year 2012. The company will earn a profit before taxes
of LTL 7 Mio (EUR 2 Mio) which will be by LTL 2.5 Mio (EUR 0.7 Mio) less than
it is expected for the year 2012. 

The activity of the year 2013 will be focused on the development of the
hygienic paper and corrugated cardboard and related products sales in Lithuania
and foreign markets. In planning the activities for the year 2013 tendencies of
the marked were evaluated. 

Also, there is no doubt that the achievement of approved objectives will
supported by the implementation of the program of investments to development of
the base of production. In the year 2012 the new corrugated cardboard
production plant, sheet towel and paper handkerchiefs production lines started
to work. Currently new paper processing line starts to work too. In total
investments in the mentioned objects will amount LTL 33 Mio (EUR 9.6 Mio). 

In order to expand sales and increase the competitiveness of the products in
2013 the Group will continue its investment program. As it is already mentioned
in previous reports on the material event, the Group will invest LTL 30 Mio
(EUR 8.7 Mio) to two biofuel boilers building in Vilnius and Klaipeda. LTL
11.95 Mio (EUR 3.5 Mio) of this amount will be the Cohesion Fund support. 

In addition to that in 2013 it is expected to launch a new investment project
of paper machine No. 6. 

These forecasts are not audited.


         Gintautas Pangonis
         President of GRIGISKES AB
         (+370-5) 243 58 01