Linas Agro Group AB - Notification on material event

Linas Agro Group, AB group‘s company Dotnuvos Projektai, UAB expanding in Latvia

Dotnuvos Projektai, UAB, one of the largest sellers of agricultural machinery,
seeds and grain storage equipment in Lithuania, has founded a subsidiary in
Latvia. 

Dotnuvos Projektai, UAB, which is run by Linas Agro Group, AB on a parity basis
with the company's management, have founded a subsidiary Dotnuvos Projektai,
SIA in Jelgava city in Latvia. The company will strengthen activities launched
in Latvia five years ago and will trade combine harvesters, tractors and
agricultural implements as well as grain storage equipment and certified seeds.
The company has already signed agreements of exclusive representation in Latvia
with worldwide known agricultural machinery and equipment's producers Case IH
(the USA), Kverneland Group (Norway), Cimbria (Denmark). 

“We have been working in Latvia for several years though until now we used to
focus on the sales of certified seeds and grain storage equipment. Although we
have been cooperating with our clients through local partners, we have become a
well-known company on Latvian agricultural supply market. Having taken over
representative rights of our main partners, agricultural machinery's
manufacturers in the Baltic countries, we decided to increase our market share
in Latvia. Even despite the current financial decline, Latvia's market of
agricultural supply is promising. If we expand business we could increase
present company's sales up by 25-30 per cent because the trademarks we
represent are among the leading ones in Latvia. 

We see the biggest potential in sectors of tractor, combine harvester and farm
implements' trade, therefore, we plan to invest into construction or
acquisition of agricultural machinery's sales and service centre. We will
expand trade in entire Latvia, thus, we are creating a regional trading and
service network. We have already employed regional sales managers. The success
in uniting a team of experienced sellers and service engineers who know the
market and their product could be called the initial good fortune“- Dotnuvos
Projektai, UAB Managing Director Rimantas Dapkus says. 

Dotnuvos Projektai, SIA plans to have 14 employees in 2010. 


About Dotnuvos Projektai, UAB

Dotnuvos Projektai, UAB is one of the most rapidly expanding agricultural
service companies. The main company's activities are wholesale and retail trade
of agricultural machinery imported from the best-known Western European
producers like Case IH, Kverneland Group, Cimbria, Bogballe, Einböck, Quicke,
Joskin, Faresin, Irrimec, Fiona, Kongskilde, etc.: tractors, crop and feed
combine harvesters, ploughs, scrapers, cultivators, harrows, seeders, crop
maintenance harrows, forage processing machinery, front-end and telehandlers,
driers, grain storage, watering and manure handling equipment and other new as
well as second-hand agricultural machinery and spare parts. The company has 5
agricultural service centres: the head office is located in Akademija in
Kedainiai region, and others are in Joniskis, Pasvalys, Plunge, Vilkaviskis and
Kretinga. 

Another important company's activity is seed reproduction, processing and
trade. The company offers over 100 seed varieties to the market and sells seeds
of cereals, oilseed rape, sugar and fodder beet, forage and lawn grass,
leguminous and other agricultural plant varieties developed by the Lithuanian
Institute of Agriculture and famous international seed companies (DLF
Trifolium, Saaten Union, Rapool, DSV, Maribo Seed, Lantmanen SW Seed, RAGT, 
I.G. Planzenzucht, BayWa etc.). Dotnuvos Projektai organises seed farming in
Lithuania: seeds are grown by more than 60 farmers and agricultural companies,
and Dotnuvos Projektai, UAB seed processing factory prepares nearly 15 thousand
tons of seed varieties. The seeds are distributed in Lithuania, Latvia,
Estonia, Russia, Belarus and Ukraine. 

The company has 160 employees, its turnover stood at LTL 127 million in 2009.
The average annual sales of seeds amount to 11 thousand tons and sales of
agricultural machinery total to 700 units. Also, annually the company installs
30 grain storages of various sizes. 

About Linas Agro Group, AB

Linas Agro Group, AB is an integrated agribusiness company engaged in
international agricultural business, production and trade in agricultural
produce and raw materials. It controls companies in Lithuania, Latvia and
Denmark. The Group consists of the following companies: Linas Agro, AB, a
Lithuanian company engaged in international trade in agricultural plant
produce; Linas Agro, UAB controlling grain storages; Grūdų centras, KŪB
(controlling grain storages in Kėdainiai, Kupiškis, Joniškis, Šiauliai and
Vilkaviškis), grain trade company in Latvia - Linas Agro, SIA; international
trade company in Denmark - Rosenkrantz A/S; Landvesta, ŽŪB, a group of
companies controlling agricultural land; and Linas Agro Konsultacijos, UAB
controlling agricultural companies. Financial year of the companies starts on
the 1st of July. 
As of February 17, 2010 Linas Agro Group, AB is listed on NASDAQ OMX Vilnius
stock exchange. 



More information:

Rimantas Dapkus
Dotnuvos Projektai, UAB
Managing Director
Ph. +370 698 73 950
Email rimantas@dotpro.lt

Andrius Pranckevičius
Linas Agro Group, AB Deputy Managing Director
Ph. +370 687 71 419
Email  a.pranckevicius@linasagro.lt