LNM director to supervise second due diligence on PHS

Steel concern LNM Holdings, which has exclusive negotiating rights to buy Polish Steel Mills (PHS), is preparing to begin a second due diligence on the company and start talks with trade unions on August 22. Representatives of the concern will arrive in Poland tomorrow and, "We want to check how PHS evolved since our last examination and resolve a few issues," said LNM Holdings director Ondra Otradovec. The last research was conducted six months ago and since then PHS has substantially improved its results, as its loss after the first quarter of 2003 stood at zł. 39.8 million compared to almost zł. 140 million a year earlier. "It is logical that LNM will ne gotiate with trade unions only after it reaches an agreement with the State Treasury. However, until the social package with the unions is signed, we will not sign the privatization agreement," explained Deputy Economy M inister Andrzej Szarawarski. (Puls Biznesu, pp. 1, 3) M.M.