Utenos Trikotazas AB - Notification on material event

Sales for the IV quarter of 2011

AB „Utenos trikotažas" sales for the IV quarter of 2011 reached LTL 10.3
million (EUR 3 million), 31.3% less than during the same period in 2010. The
company sales for the 12 months of 2011 reached LTL 51.1 million (EUR 14.8
million), 15.5 % less than during the same period in 2010. 

Consolidated Group sales for the IV quarter of 2011 reached LTL 12.8 million
(EUR 3.7 million), 28.6 % less than during the same period in 2010.
Consolidated group sales for the 12 months of 2011 reached LTL 60.9 million
(EUR 17.6 million), 13.9 % less than during the same period in 2010. 

“The sharp decrease in sales of basic products to retail clients focused on
middle - lower market segments was the key driver behind weak sales in the
second half of 2011 and the fourth quarter in particular.We believe the fears
of economy slowdown and lower consumer consumption in Europe was the main
reason. The most significant drop in sales had been to Kappahl. As reported by
the head of KappAhl “customers have been cautious” and the company itself
experienced sales decline of 11% in September to November 2011 vs.
corresponding prior year period. 

Sales to clients demanding ecological, high quality and value added products
for the IV quarter of 2011 accounted for 75 % of total sales while three years
ago this figure stood at about 20-30%. The increase of high value added
products sales is our continuous priority.We also concentrate our efforts onour
branded “Rokas”, “Gunda” and “Eko” product lines development in Lithuania and
abroad. Last December we launched “ThermoActive” underwear collection which is
designed to evaporate body sweat and keep the body warm for winter sports and
outdoor enthusiasts. 

At the end of 2011th  we introduced our branded products in Kiev and St.
Petersburg exhibitions. As a result the initial significant shipments will be
dispatched to Ukraine already in the first quarter of 2012.” - says AB “Utenos
Trikotažas” Managing DirectorGintautas Bareika. 

For more information please contact Mr. Gintautas Bareika, Managing Director of
AB „Utenos trikotažas“, phone No. +370 389 51445 or Mrs. Ernesta Dapkienė,
Public Relations Manager of Concern “SBA”, phone No. +370 611 43548. 

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

Managing Director      AB „Utenos trikotažas“     Gintautas Bareika