EW earmarks zl.847 million for upgrading power plants

Poland's largest power and heating plant, Elektrocieplownie Warszawskie (EW), which is controlled by Vattenfall of Sweden, plans to spend zl.847 million over the next five years on upgrading its power plants. Speaking at a news conference, EW's head of investment, Jacek Piekacz, said the company will finance the upgrading from the proceeds of the zl.1 billion bond issue it announced yesterday. The issue will be handled by Bank Handlowy, which will act as the agent and dealer, and Vattenfall will guarantee to repurchase the medium and long-term bonds. The first stage of the issue is expected as soon as the end of this month. Vattenfall is also responsible for changes in another domestic energy concern, Upper Silesian GZE. The company has launched a restructuring program that it hopes will bring about an annual sales increase of 10% while also generating funds for paying off its zl.500 million outstanding debts. (Prawo i Gospodarka, p. 9, Puls Biznesu, pp. 1,7, Reuters) M.K.