The article lovene Business Confusion, Svet on Kanal A, on 22 November 2010, made an impression that Sava is to be held responsible for the situation the author of the article witnessed in the field. The film shoot did not show Sava's plant for the manufacture of wooden biomass but a plant of the former partner whose company is just before going bankrupt. Therefore we feel it is only right to provide to the shareholders and the public a detailed explanation as to the actual status and deny the untruth statements and information as given by the former partner.

In 2007, Sava's subsidiary ENSA BH d.o.o. from Srbac, BiH, and the local company Panefin d.o.o. signed a joint investment contract for the manufacture of wooden biomass. In this joint project drafted by Panefin and joined by Sava as a partner, Panefin invested the majority of its share in the form of real estate, ENSA BH invested technology equipment which previously was selected by Panefin and Sava purchased it for this purpose on the turn-key basis from suppliers from West Europe. The contractual obligations of the equipment supplier included also one-year expert support at introducing the equipment.

The entire project for the manufacture of wooden biomass was carried out by two companies: Panensa d.o.o. majority-owned (60%) by Panefin (director and co-owner Mirko Katalenić) and ENSA BH d.o.o. (director Stanko Cvenkel) under 100% ownership by Sava. Panensa, in which Sava holds a minority (40%) stake, had assets in the form of real estate (land and a newly built building), related infrastructure and current assets, mainly in the form of raw materials available. ENSA BH is the owner of the entire technology equipment. A part of the joint contract is the agreement, which stipulates that Panefin is held responsible for financing and purchase of raw materials in the local environment. ENSA BH undertook to carry out marketing activities. Furthermore, when signing the contract both partners agreed that the joint project would be managed by director Mirko Katalenić in the first two years, the representative of the majority partner Panefin.

Already in the second half of 2008, problems in the communication with Katalenić began, as well as discontent with his managing. Therefore ENSA BH and key owners of Panefin had several discussions and noted that the project would not be successful if Katalenić as the representative of the majority owner Panensa did not hand over the managing to a more competent director. All that led to the aggravation of relations between both partners and culminated with the prohibition for Sava's representatives to enter the project location in Srbac, which shares the same courtyard with Panefin. The director of ENSA BH Stanko Cvenkel was, therefore, forced to file in a lawsuit for property trespassing.

Panefin, which ownership-wise is not connected with Sava, is just before a bankruptcy now. Katalenić brought the joint project, the company Panensa, in an unenviable liquidity situation, which caused non-payment of salaries to Panensa employees and, consequently, stopping the manufacture in Panensa. At the same time ENSA BH filed a demand for a bankruptcy of Panefin, and the employees at Panefin did the same.

In this situation, ENSA BH protected its interest using all means available. Only the aggravated liquidity situation with stopping the manufacture in Panensa enabled ENSA BH to take over managing the project based on the provisions form the joint investment contract. In the middle of 2009 , ENSA BH gave the partner, the company Panefin, an offer to repurchase a 60% stake of Panefin in the joint company Panensa, which at that time was rejected by the partners of Panefin. Now, after a year, they wish to accept the offer, however, ENSA BH withdrew it, as due to indebtedness the value of Panensa is currently significantly lower than at that time.

The manufacture of pellets and briquettes, which under the lead of Katalenić was not effective, has been effective without any disturbance since October 2009 when managing was taken over by Sava's ENSA BH. The result shows that during this period ENSA BH manufactured and sold more than 15,000 ton of pellets and briquettes. It can be concluded that the reason for business failure of Panensa was not the quality of technology equipment but poor managing.

ENSA BH employs 35 employees who regularly receive monthly salaries and despite the problems caused by the former partner, the company has established good cooperation with the local environment.

Any important changes to data in the company's prospectus shall be promptly released in public announcements on SEOnet of the Ljubljana Stock Exchange. This public release will also be available on-line at the address www.sava.si as of the day of the announcement for a period of 5 years.