The unaudited profit of the Baltic largest alcoholic beverage company AS “Latvijas balzams” (LB) reached 1.4 million lats in the first half of 2013, which is 30% more than in the same period last year. Financial performance has been achieved through targeted implementation of export programme in strategic markets and product portfolio development. The company’s unaudited turnover in the first half-year was 32.5 million lats, which is by 2.6% more than corresponding period of the previous year.

 “Progress is based on purposeful work. We produce more than one hundred brands of beverages for the domestic and export market demand. The product quality and excellence of the masters are confirmed with success in international competitions — coffee liqueur “Moka”, “Riga Black balsam”, and vodka “Riga Black Vodka”, successfully competing in both the home and export markets, were awarded in London and Los Angeles” says LB Chairman of the Board Guntis Āboltiņš-Āboliņš evaluating the success in first six months.

 The main export markets in the first half of 2013 were the Baltic States, Russia, Germany, and Scandinavia, in same time new markets such as China were explored. The most significant increase in sales was achieved in Russia and Latvian tax-free zone.

 During the first half of 2013, AS “Latvijas balzams”, as one of the largest local taxpayers, paid 21.4 million lats to the state budget, including excise tax, amounting to 15.9 million lats.

 “In the second half of the year, we will continue to work on improving product portfolio for domestic and export market demand. By starting cooperation with the Russian alcohol market leader, we have set ambitious objectives to raise exports to Russia. To increase the efficiency of production processes and optimise logistics costs, we will continue to invest in innovative and environmentally friendly solutions,” plans Guntis Āboltiņš-Āboliņš.

 The company has demonstrated focused cooperation and open communication with its customers, suppliers, partners, and consumers by moving up to the 15th place in Annual Reputation TOP among TOP 100 Latvian companies with the best reputation in the country. “Latvijas balzams” has been acknowledged as one of the 25 leading Latvian exporters, following results of a survey by “The Red Jackets” movement.

 Additional information:

Dana Hasana

JSC “Latvijas balzams” Communications Manager

Phone: +371 67011711

Mob. phone:+371 26355895

E-mail: dana.hasana@lb.lv

www.lb.lv

About JSC “Latvijas balzams”

 JSC “Latvijas balzams” is a leading producer of alcohol beverages in the Baltics with a history steeped in tradition since 1900. Company represents 24% of Baltics alcoholic beverages market. Its biggest pride, “Riga Black Balsam”, is one of the oldest alcohol beverage brands in Europe rooted in 1752. The company has a distillery of strong alcohol beverages and sparkling wines and light alcohol beverages production plant in Riga.

 JSC “Latvijas balzams” employs 600 people and is one of the biggest taxpayers in Latvia. JSC “Latvijas balsams” with more than 100 product names is represented in almost all segments of strong and light alcohol beverages, with many market leaders in Latvia. Among the company’s products are such worldwide known brands as “Stolichnaya”, “Moskovskaya”, “Riga Black Balsam” and “Rīgas Sparkling Wine”.

 JSC “Latvijas balzams” is one of the most significant exporters in Latvia – its products are available in more than 160 countries through SPI Group and in over 30 markets through direct export. The company’s quality management system is certified in accordance with ISO standards and has won hundreds of awards in various international and domestic competitions and has obtained numerous quality certificates. In May 2013 JSC “Latvijas balzams” was awarded a silver medal in the Sustainability Index, improving its overall performance compared to the previous year.