Rotch/PKN offer for Rafineria Gdanska turned down

Pomorskie voivod Jan Ryszard Kurylczyk has announced that the offer of Rotch Energy and PKN Orlen to purchase a 75% stake in the Gdansk Refinery (Rafineria Gdanska - RG) has been turned down by the government. According to another source close to the tender, the decision has been taken by Nafta Polska, however, it has not been confirmed by the government. RG's president Pawel Olechnowicz refused to confirm the information saying only that such a decision would be advantageous for the refinery. In his opinion the expansion plans, proposed by RG's management, are 1 00% feasible. In its proposed project, the refinery's management envisages the creation of the so-called Lotos group including the Jaslo, Czechowice, Glimar, Petrobaltic and Naftoport refineries from Southern Poland. This plan won the support of Kurylczyk, who hopes that RG's privatization will be concluded within three months. RG's share price dropped by 0.57% to zl. 17.20 yesterday. (www.onet.pl) A.Z. PZU to create financial group together with PKO PB Insurance giant PZU is likely to participate in the establishment of a national financial group with PKO BP as one of its members, PZU's president Zdzislaw Montkiewicz told the Polish Press Agency yesterday. "Every country develops strong financial groups, such as Generali in Italy. Taking its potential into consideration, PZU could play a more active role in the stimulation of the national economy," Montkiewicz said. He added that PZU's strategy for 2003-2008, to be announced in May, envisages maintaining the company's current market position and financial results. "The strategy also sees further development of the sales network coupled with introduction of shared asset management within the PZU group," he said. Last year, the insurer's net profit increased to zl. 1 .24 billion from zl. 1 .08 billion in 200 . The management anticipates a zl. 1 billion profit to be generated this year. Also, Montkiewicz confirmed that PZU's tender for the supply of an IT system would be concluded in late May or early June (see p. 2). (www.onet.pl) A.Z.