Treasury reportedly strengthening position in PKN Orlen

Press reports are linking the increased turnover of PKN Orlen shares on the Warsaw Stock Exchange (WSE) to moves by the government to make changes in the company's management. Puls Biznesu suggests that the shares are being bought on the Treasury's behalf by insurance giant PZU. Treasury Minister Wieslaw Kaczmarek is known to be unhappy that, despite owning jointly with Nafta Polska 28% of PKN Orlen shares, the Treasury is being frustrated in its efforts to change the company's management. In an interview with Puls Biznesu Kaczmarek said, "The current management board has contributed significantly to the worsening of the company's condition. It is impossible to work with the chairman, Modrzejewski." Under the Treasury's plan, it will introduce new people to the PKN Orlen management, once it has indirectly increased its influence in the company through the PZU investments. (Puls Biznesu, p. 7; Reuters) M.T.