Decision on PKN Orlen sale may come on Thursday

Oil giant PKN Orlen has promised an improved performance this year, after seeing its net profit slashed in half to some $85 million in 2001. Speaking at a news conference yesterday, PKN Orlen chief executive Andrzej Modrzejewski blamed the fall in profits on the domestic economic slowdown, weaker refining margins and the elimination of import tariffs on fuels. Still, Gazeta Wyborcza described him as being generally satisfied with the results. On another issue, Modrzejewski indicated that the State Treasury might decide on Thursday whether to sell a 17.6% stake in the company to Hungary's MOL, which was shortlisted for the sale last year. "The Treasury may decide to continue talks with MOL or start negotiations with a second bidder," Modrzejewski said. Meanwhile, the Puls Biznesu daily reports that over the next three years, as part of a restructuring plan, PKN Orlen plans to sell its holdings in almost 30 subsidiaries and associated companies, hence gaining zl.450 million. "This quarter we could sell our near 20% of LG Petro Bank. No later than 2004 will we sell our stakes in Telewizja Familijna and NOM," Modrzejewski explained. (Puls Biznesu, p. 8; Gazeta Wyborcza, p. 19; Reuters) P.J.