English Lithuanian
Published: 2010-02-26 15:29:20 CET
Stumbras
Interim information
CORRECTION: Preliminary unaudited result and interim financial report for 12 months of the year 2009
Correction: second paragraph, percentage of sales decrease

Preliminary
unaudited Stumbras AB profit before taxes in the year 2009 subsided
to LTL
27.6 million (EUR 8.0 million). Profit before taxes decreased by 18.3
%
compared to LTL 33.8 million (EUR 9.8 million) in pre-tax profit during
the
year of 2008. 

Stumbras AB sales in the year of 2009 amounted to LTL
119.1 million (EUR 34.5
million). Production sales decreased by 26.2 %
compared to LTL 161.3 million
(EUR 46.7 million) in sales during the year of
2008. 

During 2009, Stumbras AB paid LTL 255 million in taxes to the
Lithuanian state
budget (LTL 318 million in 2008). 

„Such results are the
outcome of the generally poor state of Lithuanian
economy, unfavorable taxes
legislation and rapid growth of the illegal alcohol
market. Based on our
calculations, around 30 per cent of the strong alcohol
market in Lithuania is
already controlled by moon shiners. Unfortunately, black
market is still on
the rise“ - General manager Česlovas Matulevičius. 

According to Mr.
Matulevičius, “despite of the economic hardship, Stumbras AB
is determined to
pursue its long-term strategy of producing only the best
quality higher class
strong alcoholic drinks. Retainment of the current
consumers and active growth
in the foreign markets are two of our Company's top
priorities”. 

During
the year of 2009, Stumbras AB invested around LTL 8,8 million
into
modernisation and renewment of its production base, material equipment
and main
product lines. 

„With these ongoing investments we seek that the
products of our company become
more competetive with the worldwide konwn
strong alcohol brands. Given the
current economy, it is of the utmost
importance not to give up and to actively
look for ways to overcome this
market downturn. One of these possible ways is
increasing our Company‘s export
to foreign markets“, says Mr. Matulevičius. 

In order to increase
production‘s appeal to foreign consumer, during last year,
Company started to
refresh and renew the product lines of its most important
brands. At the end
of 2009, the product line of the most popular vodka in
Lithuania, the
“Lithuanian vodka” was renewed. Investments into its production
technology and
bottle design amounted to LTL 2,5 million. 

In the autumn of 2009,
refreshments to the „Stumbras vodka“ product line were
also made. Total
investments reached LTL 340 thousand. Also, around LTL 250
thousand
investments were made to the Gloria brandy brand. 

Enclosed: 
- company's
preliminary unaudited financial statements for 12 months of 2009; 
-
confirmation of persons responsible for the financial statements

Justas
Rameika
Investor relations
+370 5 2786 218