Stumbras AB - Notification on material event

Concerning mutual Stumbras AB and Kaunas University of Technology project

Today, largest strong alcoholic drinks producer Stumbras AB and Kaunas
University of Technology (KTU) begin new long - term and broad scaled mutual
cooperation project, aim of which is to create innovative products. It is
planned, that successfull project results will let Company win over new export
markets in Europe and the world in the period of 2 to 3 years. Investments of 3
LTL million are buddgeted for the first stage of the project. 

In the first stage of the project, advanced technologies of KTU, manufacturing
traditions of Stumbas, authentic product recipes combined with modern
technologies and financial resources will be used to create new product line
NATURE, distinctive in its innovation, concept and quality. 

According to Stumbras AB marketing director Mr. Algirdas Čiburys, judging by
its scale and planned results, this project is unprecedented in Lithuania. 

“We see investments in this project as the opportunity to raise the level of
uniqness of our products, therefore, giving oursevles a better weapon to combat
in export markets. With this product, we start the search for the new export
markets, with the aim for exceptional, not mass - made product niches. We hope,
that the combination of modern KTU technologies and our potential will provide
for a substantial increase of Stumbras exports in a few years time” - Mr. A.
Čiburys. 

The new product line NATURE will distinquish with its sense of naturality,
safety, nutrition value, conformity with high - standard consumer preferences
and eco - friendly manufacturing solutions. 

According to KTU prorector professor Mr. Rymantas Jonas Kažys, such business
and science cooperation is a great opportunity to explore the potential of
Lithuanian science. “Our technological base provides great opportunities to
strive for innovative solutions on a whole world scale. This project is long -
term and broad based, that is why it is not only a challenge for us, but also a
chance to demonstrate the uniqueness and potential of Lithuanian science” -
prof. R. J. Kažys. 

According to prof. Kažys, scale, term, and uniqueness of the project will
require strong effort from KTU, that is why two University divisions - Food
products technology division and Packaging research centre - will participate
in the project. Also, in June 2010, KTU will complete the establishment of Food
science and Technology competences centre. This facility will have the latest
laboratory and experimental manufacturing equipment, which will provide for a
more efficient business - science cooperation. 

It is planned, that the first stage of the project will take up to 2 years,
during which, new technological platform for the birth of ner product line
NATURE will be created. 

Currently, one of the oldest Lithuanian companies, Stumbras AB, is exporting
its production to 5 of 7 continents of the world. Around 12% of Company's
production is realised in the foreign markets. 

Algirdas Čiburys
Marketing director
+370 685 31884