Kaczmarek postpones G8 purchase decision as Elektrim stocks rebound

Treasury Minister Wieslaw Kaczmarek has announced that he will suspend his d ecision on whether Elektrim can purchase 25% of the shares of the G-8 energy group pending a determination of whether Elektrim has the financial means to do so. "I really do not know what Elektrim, which has [financial] problems, is doing in G-8 negotiations," said Kaczmarek. The transaction value is esti mated at almost $500 million. Elektrim plans to restructure its debts during the next few weeks and gain capital by redeeming its convertible bonds, whic h mature on December 15. After Polish Oil and Gas (PGNiG) and PKN Orlen drop ped out of the consortium bidding for the G-8, only Elektrim and Kulczyk Hol ding-owned El-Dystrybucja remained to bid for the energy group. Meanwhile, E lektrim shares rallied on the stock exchange after a poor showing Monday, wh en they lost over 18%. During trading yesterday Elektrim gained 14.5% and 4 million of its shares changed hands. (Rzeczpospolita, p.B3, Parkiet, pp. 1, 3) M.T.