April 29, Vilnius. The audited profit of Invalda AB of 2008 is 1.59 mLTL, it is 85.21 mLTL lower comparing with 2007. The consolidated loss of Invalda group‘s companies of 2008 is 92.13 mLTL (the group earned 87.56 mLTL of audited profit in 2007). The part of audited consolidated loss attributable to Invalda’s shareholders consists 90.55 mLTL in 2008 (78.96 mLTL profit in 2007).
41.5 mLTL allowances of the Invalda group and the loss of the group‘s companies made negative influence on the consolidated result of the group.
During completed valuation in order to revise the fair value of investment property in subsidiaries and associated companies about 60 mLTL loss was recognized. In addition, 9 mLTL loss from the sale of the investment asset was suffered and the planned transactions of real estate sale were not occurred. All of this has influenced more than 90 mLTL loss in the real estate sector.
The year was also difficult to the financial sector of the group – it has suffered 30 mLTL loss. Moreover, due to the significant drop of securities price and the reduced situation in the financial market sector, earnings of the companies fell from 34 mLTL in 2007 to 12 mLTL in 2008.
The furniture manufacturing sector of the group, which in the end of the year sold 25 percent of Girių bizonas UAB shares, and the road construction sector, which implements various projects in Poland and Lithuania, completed the year profitably; part of net consolidated profit attributable to Invalda was 3.1 mLTL and 18.7 mLTL accordingly.
“Economic situation in the world and the region became worse rapidly last year. In response to the changes we have taken appropriate actions – business optimization, readjustment of loan portfolio, reduction of liabilities, the part of asset was sold. Even now, it’s difficult to predict when the economy will begin to recover, or at least stabilize. However, our actions let us expect for better results. In 2009 we will continue focusing on adjustment to a changing business environment and ensuring of the stability of the group – Darius Sulnis, president of Invalda, said.
The company for the Ordinary General Shareholders Meeting, which will be held on 30th of April, 2009, will present for approval company’s and consolidated financial statements for 2008, annual report and auditor‘s report. There will be suggested to leave the profit of Invalda unallocated. As well the Shareholders Meeting will be proposed to cancel the payout to Invalda AB shareholders policy, the Group employees’ participation in Invalda AB capital policy, remuneration for Invalda AB management policy and the decision to acquire own shares. It is planned that the reserve formed for acquisition of own shares will remain unchanged.