Grigiskes AB - Other information

Investments by GRIGISKES AB resulted in the turnover growth by one third

Vilnius, Lithuania, 2013-10-23 08:36 CEST (GLOBE NEWSWIRE) -- The Company
informed, that according to the unaudited data, during nine months of 2013, the
Group consisting of GRIGISKES AB, Baltwood UAB, Klaipedos kortonas AB, Mena Pak
PAT, and Klaipeda recycling UAB achieved the consolidate sales turnover of LTL
244.5 million (EUR 70.8 million). It is LTL 25.7 million (EUR 7.5 million) or
11.8% bigger than during the same period in 2012. 

During the above-mentioned period, the Company's sales amounted to LTL 108.5
million (EUR 31.4 million), which is LTL 27.2 million (EUR 7.9 million) or
33.5% more than during the same period last year. 

The growth was achieved at the result of the investments made in 2012 and sales
development in 2013. 

Following the acquisition of new lines for paper handkerchiefs and household
products production in 2012, the Company has been rapidly increasing its sale
volumes in 2013. GRIGISKES AB experienced 36.9% growth of hygienic tissue sales
during nine months of this year. The latter result was achieved following
active sale promotion of GRITE trademark household products on both domestic
and export markets: the products are sold in Denmark, Poland, Lithuania,
Latvia, Estonia. The sales of GRITE PROFESSIONAL increased by 22.9% during the
same period. 

At present, the Company has a paper production machine of LTL 53 million value
under construction, which upon completion will produce raw material for the
paper converting lines available in the Company, which manufacture consumer
products. Furthermore, with the help from the Cohesion Fund, the Company has a
new 10 MW capacity bio boiler house costing LTL 12 million (Project No.
VP3-3.4-ŪM-02-K-02-020) under construction, which will supply thermal energy to
the new paper production machine and also cheaper heating for Grigiskes
residents. 

Corrugated cardboard unit of the Company is enjoying similar success, planning
to manufacture approximately 70% more packaging products in 2013 than in 2012.
This result is feasible due to the investments made in 2011-2012. The last year
witnessed the absorption of new technologies, while the current year will
represent the year of the development of the range of products manufactured by
new production lines. Substantial attention is focused on products quality
improvement, processes optimisation, productivity increase by applying LEAN
methods. Continuous staff qualification improvement motivates fulfilment of
this year's plans and pursue of no less ambitious goals in the future. Personal
attention to individual customer's needs allows offering the optimum solutions. 

Subsidiary company Klaipedos kartonas AB boasting same successful operations is
making investments into the machinery. Having secured support from the Cohesion
Fund, the company already has a new modern 17.5 MW capacity bio boiler house of
LTL 18 million value (project No. VP3-3.4-ŪM-02-K-02-003) under construction.
This project is expected as early as in 2014 to provide the company with up to
100% green energy to be generated through incineration of wood waste purchased.
Furthermore, additional machinery modernisation projects planned to be
implemented in the next few years will allow reduction of thermal energy costs
by 10% each year. This will make the company based in the seaport town to work
even more efficiently and profitably. "All companies of the Group are successfully improving their production and
management processes, making ambitious investments, increasing profitability.
All these actions will allow us to offer higher dividends per share to the
shareholders in the nearest future", the President of the Company Gintautas
Pangonis shared his joy about the Group's performance. 


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