LUKA KOPER, d.d., Koper
Response to media reporting
In Luka Koper we deny the affirmations of some media who stated that Luka Koper company only this year took 225 million Euros of loans and statements about poor liquidity. We would like to stress again that all loans were taken exclusively for investments in port infrastructure, which consequently increases competitive position and contributes to a throughput increase.
In the January - November period we invested 131 million Euros in port infrastructure, including the multi-storey warehouse for cars, extension of pier I and handling equipment. Congruent with the development strategy, 36 million Euros were allocated in investments in hinterland terminals.
Mentioned investments were financed with the realized cash flow and loans raised with banks. In the current uncommon situation on capital markets (the SBI20 stock exchange index has dropped over 62% since the beginning of the year till end of November) the financing of investments by selling financial investments would result aimless, that's why we increased the exposure towards banks and took advantage of the financial leverage.
On the 31st December 2007 the financial liabilities amounted to 63 million Euros. In the first eleven months the liabilities increased by 142 million Euros and reached 205 million Euros.
The liabilities on 30th November 2008, expressed in ratio towards equity amounted 67%, while in ratio towards the balance sheet total amounted 37%. The liabilities of the company and the structure of its balance sheet still allows moderate possibilities of additional loans as source for financing investments. However, a change on capital markets would alleviate the financing of the investment cycle as it would allow a rational selling of long term financial investments.
This information will be available on company's website www.luka-kp.si from 18th December onwards.
Date: 18. 12. 2008