News Parkiet

Privatization

Treasury Minister dismissed,

Jerzy Hausner gets new portfolio

Polish Treasury Minister Piotr Czyżewski was dismissed yesterday because of privatization delays. Wednesday's announcement made by prime minister Leszek Miller in a televised statement after meeting with president Aleksander Kwaśniewski came after several Polish media outlets said Czyżewski would be fired for poor performance. Ruling Democratic Left Alliance (SLD) coalition gave the job to Economy Minister Jerzy Hausner, who received Czyżewski's portfolio until a permanent replacement can be found.

Czyżewski was widely criticized since taking office in April 2003 after he failed to meet last year's privatization target of 4.14 billion zloty. The delay forced Leszek Miller's government to implement highly unpopular austerity program, including deep cuts in social spending.

Building materials

PBS sales down due to construction

industry slump

Last year's sales of PSB building materials distributor fell by 300 million zloty to PLN 2.45 billion ($660 million). The wholesaler, founded in 1998 by 222 local distributors has 15 share of the Polish market.

Power industry

Rafako up on news of possible dividend

Shares of Rafako power plant supplier rose 3.6 percent to close at 10.15 zloty, the highest in six years after its CEO said the company expects new contracts plus another dividend this year. 'The company will consider dividend payment', Ryszard Kapluk said at a news conference on Wednesday. Rafako paid 0.11 zloty per share last year.

Elektrim subsidiary sees more signs of recovery on the Polish market and higher export sales, Kapluk added.

Seafood

Wilbo to receive EU subsidies

Wilbo S.A. seafood maker said it expects 4.5 million zloty in EU subsidies to pay for new production lines. Publicly traded firm will match the amount received as part of European Union's SAPARD assistance program.

Banking and finances

AIG's Polish unit posts record earnings

for 2004

American International Group's AIG Bank announced on Wednesday its earnings for 2003 have almost tripled to 62.7 million zloty. The bank, which specializes in high-interest cash and installment loans achieved Return On Equity of 42.7 percent.

Information technology

Betacom IPO may raise several million zloty

Betacom S.A. estimates that its Initial Public Offering will raise 'several' million zloty, its CEO Mirosław Załęski said on Wednesday. E-learning solutions provider plans to sell 700.000 shares priced at more than 20 zloty each according to initial prospectus filed with the Polish SEC. Proceeds from the IPO, to be held in early February will be used for acquisitions of even smaller, niche IT firms.

Betacom has annual sales of approximately 54 million zloty. Its main customers include Telekomunikacja Polska, Poland's national phone company and other large corporate clients.

Information Technology

JTT may survive after winning tax dispute

JTT computer maker may emerge from bankruptcy after receiving 21 million zloty in tax refunds from Wrocław tax office. Local bankruptcy court in Wrocław said yesterday its creditors may be better off if the company continues its operations instead of selling its remaining assets.

JTT used to be Poland's second-largest computer maker sold under popular Adax brand. The company was forced to declare bankruptcy after Polish tax authorities accused its managers of tax evasion in a transaction with Education Ministry. The firm fought back in courts, winning all appeals up to a recent ruling by the Supreme Administrative Court.