Earnings of the Baltic List companies

As a result of the new income tax law, Hansapank will re-enter into
its profit report 112.6 million kroons ($7.3 million) which had been
allocated in earlier periods as potential income tax. Toomas
Reisenbuk, analyst at Trigon Capital, who commented on the report to
BNS, said that in substance it is through extraordinary profit which
will increase Hansapank group's reported profit. Reisenbuk's
forecast for Hansapank group's 1999 profit, including extraordinary
profit, is 867 million kroons.

Latvia

Latvijas Gaze (Latvian Gas, LG) company expects its annual profit
in 1999 to reach some 6 million lats ($10.34 million) on a net
turnover of 83 million lats, spokeswoman Sandra Adamsone told BNS
Wednesday. "It is premature to speak about accurate financial
estimates because first provisional results of this year will be
known only late January 2000.

Ventspils Nafta (VN) oil terminal reloaded 18.4 million tons of oil
and oil products last year, the company's spokeswoman Gundega Varpa
told BNS Tuesday. The cargo turnover in 1999 was below the annual
figure of 1998 but exceeded previous estimates for last year.
Breakdown of the total amount reloaded by VN in 1999 includes just
over 70 percent, or 13 million tons, of crude oil, nearly 25
percent, or 4.5 million tons, of diesel fuel, with other oil
products accounting for the remaining 5 percent. The company's
spokeswoman noted that the oil terminal's cargo turnover last year
was 2 million tons short of the turnover in 1998. At the same time,
the actual cargo turnover in 1999 exceeded by almost 2 million tons
the official estimates by VN that set the annual cargo turnover in
1999 at 1.6 million tons. "The pessimistic estimates by the VN
managements as regards results of the company's performance in 1999
were based both on the oil price crisis on the world market that
began in 1998 and the unfavorable financial and economic situation
in Russia, as well as increased activities by VN competitors in the
Baltic Sea region,"Varpa explained. Although the oil price crisis
did not last long, contrary to predictions by experts, as prices
started climbing slowly already in the second quarter of 1999, other
negative outside factors, left a considerable impact on VN+s
performance. Decisions from Russia to restrict oil exports through
Latvia demonstrated their effect on the oil terminal's performance
in October and November last year. "The topping of cargo turnover
estimates in 1999 show, however, that the Latvian oil transit
corridor has been able to maintain its competitive ability in the
current complicated situation in this business,"Varpa stressed. She
pointed out that last year VN had been able to improve its
competitive ability through the implementation of a modernization
program that included construction of ten new reservoirs and the
flexible tariff policy of the company. Last year VN lowered its rate
for reloading of crude oil by a total of 0.20 US dollars per ton,
with the rate now at $4.70 per ton. VN subsidiary, oil pipeline
owner LatRosTrans, also lowered its crude oil transportation rate to
$2.10 per ton at the same time. This year VN expects increased
competition and the political and economic situation in Russia to
continue to influence oil export through Latvia. Commenting on VN
plans for 2000, the company's president Igors Skoks said that this
year is not going to be easy for the oil terminal. "Nevertheless, VN
hopes to ensure stable development of the company this year and will
continue to implement the modernization projects,"he added.

Lithuania

Kalnapilis, a leading Lithuanian brewery, saw a 8.8 percent drop in
turnover in 1999 against the previous year, the company's chief
financial officer said. Kalnapilis sold production and provided
services worth 96.787 million litas (USD 24.197 mln) in 1999, down
from 109.19 million litas reported for 1998, Lina Markeviciute told
BNS. The Panevezys-based company has not released its annual net
profit data for 1999 yet. Its January-November profit was 10.94
million litas last year, down from 24.98 million litas posted for
the same 1998 period. Kalnapilis reported a net profit of 25.287
million litas for the whole year 1998. The company sold 4.059
million decaliters of beer last year. Its share of the domestic beer
market amounted to 23 percent.

Rokiskio Suris, Lithuania's largest and most profitable dairy
producer, reported a net profit of around 28 million litas ($7
million) on 191 million litas turnover for the year 1999. The
company posted a net profit of 27.28 million litas on 205.77 million
litas turnover of 1998. In 1999, Rokiskio Suris exported some 76
percent of milk products, mostly to western countries, the company's
economist, Valerija Simeniene, told BNS. The milk processor aims to
boost fermented cheese production by 10 percent this year and by
another 20 percent in 2001. Rokiskio Suris plans to invest 20
million litas in cheese production and equipment this year, with
another 6 million litas to be allotted to support modern milk farms
meeting EU standards.

Utenos Trikotazas, Lithuania's leading knitwear producer, boosted
its sales last year, thanks to growing exports to the West. The
company's annual turnover totalled 109.1 million litas ($27.28
million) last year, a rise of 8.1 percent from 100.97 million litas
reported for 1998. Utenos Trikotazas managers say the company's
consistent orientation towards western markets has helped to
maintain growth. Exports to west European countries accounted for 85
percent of the company's total production last year. The volume of
export rose by 12 million litas compared with 1998. Utenos
Trikotazas' investments topped 10 million litas in 1999, with the
bulk of the money spent to renew fabric production technologies.