2007

The General Meeting of Shareholders has approved the Financial Report of AS Latvijas Valsts Meži (LVM) for the year 2006

The company revenue reached LVL 100.1 million in 2006, and the profit amounted to LVL 44.2 million. The company has paid LVL 26.4 million to state and local government budgets in different taxes and duties.

Roberts Strīpnieks, Chairman of the Board of AS Latvijas Valsts Meži, by commenting on the preceding year admitted that the company has succeeded in overcoming the consequences caused by the storm in January, 2005, and continues to develop successfully: ‘Positively the preceding year has been one of the most stable regarding the timber log markets. Only seasonal fluctuations in prices of our main products were observed, there were no distinct rises or falls that would make planning difficult both for us and for purchasers of timber. During the hot months of the year the flow of wood materials was seriously affected by the threat of excessive numbers of spruce bark beetle, however, we have handled this challenge with credit by also confirming that as a large company we can act efficiently and with adequate flexibility, when necessary.”

LVM realises the function of forest owners in state forest management and protection. The main objective of the company is to provide the highest value that can be created by sustainable management of forest property to the state and the general public.

100% of the shares of AS Latvijas Valsts Meži are owned by the state and they are under the possession of the Ministry of Agriculture.

Profit of LVM for the year 2005 was LVL 22.9 million, and the net revenue was LVL 68.8 million.