"Latvenergo" to signs long-term loan agreement with EIB in Luxembourg
The state-owned joint-stock power company "Latvenergo" is set to sign a long-term loan agreement with the European Investment Bank (EIB) in Luxembourg today.
The state-owned joint-stock power company "Latvenergo" is set to sign a long-term loan agreement with the European Investment Bank (EIB) in Luxembourg today.
As LETA was informed by Andris Siksnis, the head of "Latvenergo's" Corporate Communications Department, the loan will have to be returned in 15 years. The company will take out a loan of EUR 80 million, which is to be utilized in 2003 and 2004 to finance investment programs.
According to Siksnis, "Latvenergo" is one of the first companies in Latvia to operate according to European Union requirements and implement its investment program according to the EU's regulations on environmental protection.
The cooperation between "Latvenergo" and EIB began back in 1996 when a long-term loan agreement was signed for reconstruction of the Daugava hydropower plant's cascade.
EIB renders support to investment projects within the framework of EU enlargement. The bank's goal is enhancing the development of Europe's weakest regions. The bank offers loans with low interest rates.
Since 1990, Latvia has received EUR 208 million in loans. According to the bank, its cooperation with Latvia has been successful.
"Latvenergo's" annual investment programs stand at about LVL 60 million.
As reported, the ex-chairman of the "Latvenergo" council, Ojars Kehris, pointed out that the improving performance of the company and stability have prompted its rating, which allows for an attraction of loans at lower interest rates without state guarantees.
This is proved by a EUR 40 million loan agreement recently signed with the Nordic Investment Bank, and the expected EUR 80 million loan agreement with the EIB.
Currently, "Latvenergo" credit portfolio totals LVL 54 million.
The company's non-audited profit totaled LVL 30 million last year, which is considerably higher than in 2000 when profit was LVL 20.142 million.
"Latvenergo's" turnover last year stood at LVL 180 million compared to LVL 166.088 million in 2000.
Jānis Silakalns LETA
Copyright © LETA
As LETA was informed by Andris Siksnis, the head of "Latvenergo's" Corporate Communications Department, the loan will have to be returned in 15 years. The company will take out a loan of EUR 80 million, which is to be utilized in 2003 and 2004 to finance investment programs.
According to Siksnis, "Latvenergo" is one of the first companies in Latvia to operate according to European Union requirements and implement its investment program according to the EU's regulations on environmental protection.
The cooperation between "Latvenergo" and EIB began back in 1996 when a long-term loan agreement was signed for reconstruction of the Daugava hydropower plant's cascade.
EIB renders support to investment projects within the framework of EU enlargement. The bank's goal is enhancing the development of Europe's weakest regions. The bank offers loans with low interest rates.
Since 1990, Latvia has received EUR 208 million in loans. According to the bank, its cooperation with Latvia has been successful.
"Latvenergo's" annual investment programs stand at about LVL 60 million.
As reported, the ex-chairman of the "Latvenergo" council, Ojars Kehris, pointed out that the improving performance of the company and stability have prompted its rating, which allows for an attraction of loans at lower interest rates without state guarantees.
This is proved by a EUR 40 million loan agreement recently signed with the Nordic Investment Bank, and the expected EUR 80 million loan agreement with the EIB.
Currently, "Latvenergo" credit portfolio totals LVL 54 million.
The company's non-audited profit totaled LVL 30 million last year, which is considerably higher than in 2000 when profit was LVL 20.142 million.
"Latvenergo's" turnover last year stood at LVL 180 million compared to LVL 166.088 million in 2000.
Jānis Silakalns LETA
Copyright © LETA
