KN Energies AB

Quarterly Report • Nov 20, 2008

SC KLAIPĖDOS NAFTA

UNAUDITED INTERIM FINANCIAL STATEMENTS FOR THE FIRST NINE MONTHS OF 2008

Contents

		Sheet
1.	Confirmation of responsible persons	1
2.	Balance sheet	2
3.	Profit (loss) statement	4
4.	Statement of changes in equity	5
5.	Cach flow statement	7
6.	Notes to the financial statements	8

INTERIM FINANCIAL STATEMENTS FOR THE FIRST NINE MONTHS OF 2008 (NOT AUDITED)

CONFIRMATION OF RESPONSIBLE PERSONS

Following the Rules on Preparation and Submission of Periodic and Additional Information of the Lithuanian Securities Commission and Article 22 of the Law on Securities of the Republic of Lithuania, we, Jurgis Aušra, Director General of SC Klaipėdos Nafta, and Johana Bučienė, Chief Financier of SC Klaipėdos Nafta, hereby confirm that to the best of our knowledge the attached financial statements of SC Klaipėdos Nafta for the first nine months of 2008 are prepared in accordance with the International Financial Reporting Standards (IFRS), as adopted to be used in European Union, and give a true and fair view of the assets, liabilities, financial position and profit (loss) of SC Klaipėdos Nafta.

Director General

Jurgis Aušra

Chief Financier

Johana Bučienė

Burių g. 19 A.d. 81 91003 Klaipėda Telefonas: + 370 46 391772 Faksas: +370 46 311399

El. paštas: info@oil.lt www.oil.lt

A/s LT90 7044 0600 0076 4196 AB SEB bankas Banko kodas 70440

PVM mokėjimo kodas LT106488917 Imonės kodas 110648893

Įregistruota valstybinės įmonės registro centre

STOCK COMPANY KLAIPEDOS NAFTA

Burių g. 19, 91003 Klaipėda

Company code 1106 48893, VAT Payer's code LT106488917

2008 01 01 - 2008 09 30 BALANCE SHEET

2008-09-30

Nr.2008/3

(Compilation date of financial statements)

Nine months of 2008

(accountabily period)

	ASSETS	Note No. (invoice No.)	Financial year 2008 09 30	Previuos financial year 2007 12 31
$\boldsymbol{\mathcal{A}}$ .	NON-CURRENT ASSETS		416 746 608	427 707 713
I.	INTANGIBLE ASSETS	3.1. Note	75 409	131 568
I.1.	Software	11400,11490	75 409	131 568
Π.	TANGIBLE ASSETS	3.2. Note	416 585 057	427 490 003
II.1.	Buildings and plant	12010,12018,12100,12108,1212 0.12128	274 504 936	282 381 697
II.2.	Machinery and equipment	12110, 12118	29 883 023	32 525 055
II.3.	Vehicles	12200,12208	704 287	778 182
II.4.	Other fixtures, fittings, tools and equipment	123, 125, 126; 129	107 838 742	110 389 785
II.5.	Construction in progress	$15*$	1701789	1 012 643
II.6.	Other tangible assets	$14*$	1952280	402 641
Ш.	FINANCIAL ASSETS	3.3. Note	86 142	86 142
III.1.	Shares of other companies	16000	86 142	86 142
III.2.	Investmets into securities	16200
B.	CURRENT ASSETS		38 379 516	18 663 832
I.	INVENTORIES, PREPAYMENTS and CONTRACTS IN PROGRESS		3 945 150	2 3 1 3 7 1 0
I.1.	Inventories	3.4. Note	3 492 218	1974 079
I.1.1.	Tangibles in warehouse and with pecuniary responsible persons	20002,201,202	783 363	420 538
I.1.2. I.2.	Cost price of fuel purchased	20400.20502.20503	2 708 855	1 5 5 3 5 4 1
$\overline{H}$ .	Contracts in progress AMOUNTS RECEIVABLE WITHIN ONE YEAR	24800, 20900	452 932	339 631
II.1.	Trade debtors	3.5. Note	9576887	9876425
II.2.	Other amounts receivable	$24*$	3 441 456	2715308
Ш.		$25*$	6 135 431	7 161 117
	OTHER CURRENT ASSETS	3.6. Note	14 394 240	4 022 781
III.1.	Term deposits		14 394 240	3729024
III.2.	Other current assets, accrued revenues			293 757
IV.	CASH AND CASH EQUIVALENTS	27*, 3.7. Note	10 463 239	2 450 916
	ASSETS IN TOTAL:		455 126 124	446 371 545

'n. Y, in $LTL$

	EQUITY AND LIABILITIES	Note No.	Financial year	Previuos financial
		(in voice No.)	2008 06 30	year 2007 12 31
$C_{\cdot}$	EQUITY	3.8. Note	420 767 517	399 748 377
$\overline{I}$ .	CAPITAL		342 000 000	342 000 000
I.1.	Subscribed capital	$30*$	342 000 000	342 000 000
I.2.	Subscribed unpaid capital (-)
II.	REVALUATION RESERVE (RESULTS)
Ш.	RESERVES		50 774 377	49 011 489
III.1.	Legal reserve	330*	14 240 000
III.2.	Other reserves	$33*$	36 534 377	13 790 000
IV.	PROFIT (LOSS) BROUGHT FORWARD			35 221 489
IV.1.			27 993 140	8736888
IV.2.	Profit (loss) of the current year	$391*$	27 993 140	8736888
D.	Profit (loss) of the previuos year	$34*$
	GRANTS AND SUBSIDIES
E.	AMOUNTS PAYABLE AND LIABILITIES	3.9. Note	34 358 607	46 623 168
$\overline{I}$ .	AMOUNTS PAYABLE AFTER ONE YEAR AND
	NON-CURRENT LIABILITIES		11 746 766	27 789 562
I.1.	Financial debts			15 605 274
I.1.1.	Leasing or other similar liabilities	402*
I.1.2.	To credit institutions	4032,4034		15 605 274
I.2.	Other amounts payable and non-current liabilities	40500	11 746 766	12 184 288
П.	AMOUNTS PAYABLE WITHIN ONE YEAR AND
	CURRENT LIABILITIES
II.1.			22 611 841	18 833 606
II.2.	Current portion of long-term debts Financial debts	4320,4330	15 605 274	15 605 260
II.3.		44200
II.3.1.	Debts to suppliers, contractors	$45*$	3 394 990	1863364
II.4.	Payments to related Parties	3.12 Note	114 843	118 457
	Prepayments received	46*	59	62 124
II.5.	Payroll related liabilities		1977363	1 123 217
II.5.1.	Remuneration	471*,4711,47101	1 509 558	1 074 161
II.5.2. II.6.	Social security payable	472*	467 805	49 0 56
	Taxes payable	470*	1 549 837	46
II.7.	Other amounts payable and current liabilities	48*	84 318	179 595
	TOTAL EQUITY AND LIABILITIES		455 126 124	446 371 545

Jurgis Aušra

Director General

STOCK COMPANY KLAIPEDOS NAFTA
Burių g. 19, 91003 Klaipėda
Company code 1106 48893, VAT Payer's code LT106488917

2008 01 01 - 2008 09 30 PROFIT (LOSS) STATEMENT

2008-09-30 (Compilation date of financial statements) Nr.2008/3

in $LTL$

Nine months of 2008

(accountabily period)

Seq.				Financial year	Previous financial year
No.	Items	Note No.	2008 09 30	3 nd Quarter (Juli- September)	2007 09 30	3 nd Quarter (Juli- September)
Ι.	TURNOVER FROM SALES	50	91 203 052	25 848 863	60 028 465	17 493 122
П.	COST OF SALES	60	50 891 739	16 029 279	42 467 135	13 819 710
Ш.	GROSS PROFIT (LOSS)	50-60	40 311 313	9819584	17 561 330	3 673 412
IV.	OPERATING EXPENSES		7 258 812	1 617 468	6 156 850	1 695 604
V.	PROFIT (LOSS) FROM TYPICAL ACTIVITIES	50-60,61	33 052 501	8 202 116	11 404 480	1977808
VI.	OTHER OPERATIONS	52-62	6944	2 2 8 0	333 073	2 4 2 3
VI.1.	Other operating income	52	7024	2 3 0 5	333 194	2458
VI.2.	Other operating expenses	62	80	25	121	35
VII.	FINANCIAL AND INVESTMENT ACTIVITIES	53-63	$-479507$	$-4841$	$-1454559$	$-460$ 135
VII.1	Income from financial and investment activities	53	498 410	282 061	216 890	76 831
	VII.2. Expenses from financial and investment activities	63	977917	286 903	1 671 449	536 967
VIII.	PROFIT (LOSS) FROM ORDINARY ACTIVITIES	50:53-60:63	32 579 938	8 199 555	10 282 994	1520096
IX.	EXTRAORDINARY GAIN	x
X.	EXTRAORDINARY LOSSES	$\boldsymbol{\mathsf{x}}$
XI.	PROFIT (LOSS) BEFORE TAXES	50:53-60:63	32 579 938	8 199 555	10 282 994	1520096
XII.	INCOME TAX	65	4 586 798	1 042 407	1826782	18 028
XIII.	NET PROFIT (LOSS)	$(XI - XII)$	27 993 140	7 157 148	8 456 212	1 502 068

Director General

Jurgis Aušra $\tau_{\rm d}$

$4/12$

								In total	397134379			397965632					1782745
							Profit (loss)	brought forward	12807224			6954143					1782745
					$in$ $LTL$		Other reserves						k
								Other	29187155			35221489	1
									Own share acquisition				0
							Legal reserves	Required	13140000			13790000
			Nr. 2008/3					Financial assets
STOCK COMPANY KLAIPEDOS NAFTA	Klaipėda, Company code 110648893	30 September 2008 STATEMENT OF CHANGES IN EQUITY (Compilation date of financial statements)		Revaluation reserve (results)	Non-current tangible assets					t,
					Own shares $\mathbb{C}$
			$2008 - 09 - 30$						(accountability period)				Share premiu $\Xi$
	Burių 19, 91003				2008								capital paid Authorised	342000000			342000000
					Nine months of				1. Balance at the end of the financial year before last	2. Result of the change of accounting policy	3. Result of essential mistake correction	4. Recalculated balance as at 30 September of the last financial year (2007-09-30)	5. Value increase (reduction) of non-current tangible assets	6. Value increase (reduction) of financial assets	7. Acquisition (selling) of own shares	8. Unrecognised profit (loss) in the Profit (Loss) Statement	9. Net profit (loss) of the accounting period	10. Dividends	11. Other disbursements	12. Reserves formed	13. Reserves used	14. Increase / reduction of the authorised capital

$5/12$

				Revaluation reserve (results)			Legal reserves	Other reserves
	Authorised capital paid	premiu Share	Own shares $\mathbb{C}$	Non-current tangible assets	Financial assets	Required	Own share acquisition	Other		Profit (loss) brought forward	In total
15. Balance as at 31 December of 2007 financial year	342000000		$\circ$	0	0	13790000	0	35221489	$\circ$	8736888	399748377
16. Value increase (reduction) of non-current tangible assets
17. Value increase (reduction) of financial assets
18. Acquisition of own shares
19. Unrecognised profit (loss) in the Profit (Loss) Statement
20. Net profit (loss) of the accounting period										27993140	27993140
21. Dividends										6974000	6974000
22. Other disbursements
23. Reserves formed						450000		10011176		10461176
24. Reserves used								8698288		8698288
25. Increase / reduction of the authorised capital
26. Balance as at 30 September 2008	342000000	0	$\bullet$	$\circ$	0	14240000	$\bullet$	36534377		27993140	420767517
					ζ

Director General

$\mathcal{V}_\ell$

Jurgis Aušra

$\bar{t}_i$

$6/12$

STOCK COMPANY KLAIPĖDOS NAFTA

110648893, Burių 19, 91003 Klaipėda

2008-01-01 - 2008-09-30 CASH FLOW STATEMENT

30 September 2008

		in LTL
Seq.No.	Items	2008.09.30	2007.09.30
Ī.	Cash flow from (to) operating activities
I.1.	Cash income of the current period (inc. VAT)	93 827 785	65 423 011
1.1.1.	Cash income from clients	93 338 259	65 209 825
I.1.2.	Other income	489 526	213 186
I.2.	Cash disbursements of the current period	-58 318 308	-44 549 322
1.2.1.	Cash paid to the suppliers of raw materials, goods and service providers (inc. VAT)	$-26048626$	-20 879 872
1.2.2.	Cash disbursements associated with labour relations	-13 480 142
1.2.3.	Taxes paid to the budget	$-5417965$	$-12378998$
1.2.4.	Other disbursements		$-6585695$
	Net cash flows from operating activities	$-13371575$ 35 509 477	-4 704 757
П.	Cash flows from (to) investing activities		20 873 689
II.1.	Acquisition of non-current assets (except investments)
$\overline{II.2}$ .	Transfer of non-current assets (except investments)	-4 039 546	$-3053884$
II.3.	Acquisition of long-term investments
II.4.	Transfer of long-term investments
II.5.	Loan granting
II.6.	Loan repayment
II.7.	Dividends received, interests
$\overline{II.8}$ .	Other increase in cash flows from (to) investing activities
II.9.	Other decrease in cash flows from (to) investing activities		3880
	Net cash flows from (to) investing activities
III.	Cash flows from (to) financing activities	-4 039 546	-3 050 004
III.1.	Cash flows associated with the owners of the Company
III.1.1.	Share issue (acquisition)	-6 974 297	$-6$ 128 582
III.1.2.	Owners' contributions to cover losses
III.1.3.	Purchase of own shares
III.1.4.	Dividends paid
III.2.	Cash flows associated with other financing sources	-6 974 297	$-6$ 128 582
III.2.1.	Increase of financial debts	$-16471766$	$-13445956$
	III.2.1.1 Loan receiving	$\Omega$	0
	$[III.2.1.2]$ Bond issue
	III.2.2. Decrease of financial debts
	III.2.2.1 Loan repayment	$-16471766$	$-13445956$
	III.2.2.2 Repurchase of bonds	$-15605259$	$-8255935$
	III.2.2.3 Interests paid
	III.2.2.4 Financial lease payments	$-960$ 173	$-1$ 585 872
III.2.3.	Increase of other liabilities of the Company	93 666	$-3604149$
III.2.4.	Decrease of other liabilities of the Company
III.3.	Other increase in cash flows from (to) financing activities
III.4.	Other decrease in cash flows from (to) financing activities
	Net cash flows from (to) financing activities
IV.	Cash flows of extraordinary items	-23 446 063	-19 574 538
IV.1.
IV.2.	Increase in cash flows of extraordinary items Decrease in cash flows of extraordinary items
V.
	Effect Change in currency exchange rate on the balance of cash and cash equivalents	$-11545$	$-1845$
VI.	Net increase (decrease) in cash flows	8 012 323	$-1752698$
VII.	Cash and cash equivalents at the beginning of the period	2 450 916	2 2 5 6 3 4 7
VIII.	Cash and cash equivalents at the end of the period	10 463 239	503 649

Signature

STOCK COMPANY KLAIPĖDOS NAFTA

Company code 1106 48893. The address of the registered office: Burių str. 19, 91003 Klaipėda, Lithuania

NOTES

TO THE FINANCIAL STATEMENTS OF THE NINE MONTHS OF 2008

30 September 2008

I. GENERAL INFORMATION

1. History of the Company

SC Klaipėdos Nafta was registered on 27 September 1994, registration No. BĮ 94–479, register No. 110648893. The Company is one of the most-up-todate oil terminals in Europe. Its main role is to transship oil products delivered for export from Lithuania, Russia, Byelorussia and other countries by rail cars into tankers. The Company can also provide Lithuania with imported oil products delivered to Klaipėda port by tankers.

2. Financial year

The Company's financial year starts on 1 January and ends on 31 December. The interim statements are prepared for the nine months of 2008 (1 January – 30 September).

3. Information about Company's branches and representative offices

The Company has no branches or representative offices.

4. Information about subsidiaries.

The Company has no subsidiaries.

5. Information about associated companies.

The Company has no associated companies.

6. Activities of the Company.

The core activity of the Company are reloading of oil products and other related services. During the nine months of 2008 the Company transshipped 6 238,6 thousand tons of oil products, i.e. 1,5 times or by 2 036,7 thousand tons more than were transshipped during the nine months of 2007 (4 201,9 thousand tons). The transshipment increased due to the double increase of cargo flow from SC Mažeikių Nafta as well as due to the increased delivery by 17% of oil products from Russian and Byelorussian Oil Refineries according to the long-term agreements. During the nine months of 2008, SC Mažeikių Nafta delivered for reloading 3 373,1 thousand tons or 54 % of the total transshipped volume of oil products, if compared to the same period of 2007 – 1 750,3 thousand tons or 42 % of the total transshipment volume.

During the nine months of 2008 the Company received income in the amount of LTL 91 203,1 thousand from the main activities, by 14 % exceeding the targeted annual indice (LTL 79 860 thousand) of sales and services, and, if compared to the income (LTL 60 029 thousand) from the main activities of same period of 2007, received 52 % or LTL 31 174,6 more income.

The total number of employees as on 30 September 2008 – 304 employees.

The average listed number of employees (301) of the nine months of 2008, if compared to the average listed number (299 employees) of same period of 2007 – increased by 1 % or 2 employees.

The Company has customs and excise warehouses for the convience of its clients.

The Company's authorised capital as on 30 September 2008– LTL 342 000 000 (three hundred forty two million) is fully paid. It is divided into 342 000 000 (three hundred forty two million) ordinary shares with a par value of LTL 1. All the shares are owned by 1246 shareholders, 70,63 % of the shares (241 544 426 shares) belong to the State. The Company's shares are listed in the Additional Baltic Sales List on the Vilnius Stock Exchange.

Shareholders	30 September 2008		30 June 2008		31 December 2007
	Amount of shares owned (thous.u.)	Part of ownership %	Amount of shares owned (thous.u.)	Part of ownership %	Amount of shares owned (thous.u.)	Part of ownership %
			Shareholders who hold more than 5 per cent of the authorized capital
The Republic of Lithuania, represented by the Ministry of Economy	241 544	70, 63	241 544	70, 63	241 544	70, 63
Hansabank funds	-	-	-	-	24 331	7,11
SC" Achema"	23 159	6, 77	19 629	5, 74	-	-
			Other major shareholders (more than 0,3 per cent of the authorized capital)
Skandinavska Enskilda Banken funds
	13 810	4,04	15 068	4,41	12 703	3,71
Hansabank funds
	7 007	2,05 -	14 450	4,22 -	-	- 1,63
SC " Achema"	-		-		5 586
SEB Estonia AS	5 007	1,46	-	-	-	-
Sergej Zmitrovič	2 168	0,63	2 168	0,63	2 168	0,63
SSBT AS Custodian for Eaton Vance Tax managed Emer Markets fund	1 840	0,53	1 840	0,53	1 840	0,53
Larisa Babič		0,36		0,36		0,36
Other (less than 0,3 % each)	1 232		1 232		1 232
	46 233	13,53	46 069	13,48	52 596	15,40

Shareholders of the Company:

II. ACCOUNTING POLICIES

The Company manages its accounting and prepares financial statements in accordance with the Law on Financial Accountability of Enterprises of the Republic of Lithuania, the Law on Accounting of the Republic of Lithuania, International Accounting Standards.The accounting policies were not changed; the Company followed the accounting policy, described in a more detailed way in the Note for the business financial year of 2007.

III. COMMENTS ON THE NOTE

3.1. Status of intangible assets and its development during the accounting period

The estimated amortisation of the intangible assets during the nine months of 2008 – LTL 56159 - was accounted for under cost of sales caption in the Profit (Loss) Statement.

3.2. Status of non-current tangible assets according to the asset groups (in LTL).

During the nine months of 2008 depreciation in the amount of LTL 15,02 mln. was accounted for the non-current tangible assets. About 99,4 % of the depreciation amount is accounted for under cost of sales caption and 0,6 % - under operating expenses caption.

Title of the asset group	The estimated amount of depreciation in LTL during the nine months of 2008
Buildings	1 967 227
Plant	5 938 200
Machinery and equipment	2 634 169
Vehicles	133 048
Other fixtures, fittings, tools and equipment	4 347 756
In total:	15 020 400

3.3. Status of the financial assets.

On 19 December 2007 the Company acquired one (1) per cent shares of the international pipeline company SARMATIA. The Company purchased 180 shares with nominal value of PLZ 500 each. The investment was accounted for by the acquisition cost equivalent to LTL 86 thousand on 31 March 2008.

3.4. The total balance value of inventories and its variation during the accounting period.

Under the inventories the Company has accounted for by acquisition cost the inventories necessary for the development of Company's activities.

3.5. Status of amounts receivable within one year.

The major part of trade debtors – LTL 3,4 million receivables - is comprised of the clients' debts for oil transshipment services, because the Contracts provide for the payment term of 10 – 30 days after tanker loading.

Budget debt of LTL 4 615 090 according to the real estate tax is accounted for under other amounts receivable caption. The Company's claim regarding the mentioned overpayed tax is disclosed in a more detailed way in the Note to the fianncial statements of 2007.

3.6. Status of other current assets.

At the end of the nine months the Company temporary deposited free LTL 14,4 mln. in the banks according to fix term deposit agreements.

3.7. Information about cash.

The Company's cash accounted for in the bank accounts and in the cash– LTL 10,46 million.

3.8. Information about equity.

The authorised capital did not change during 2007, 2008. No own shares were issued or purchased. The Company's authorised capital is fully paid.

On 22 April 2008 the General Shareholders' Meeting approved the Financial Statements of the year 2007, appropriated the profit of 2007. The profit of 2007 brought forward as accounted for in the balance sheet of 30 September 2008 – LTL 8 736 888 (31 December 2007) and the profit of the nine months of 2008 – LTL 28,02 million.

3.9. Information about liabilities.

During the nine months of 2008 the Company following the terms of loan agreement repaid LTL 15,6 million of the credit and paid LTL 0,96 million of interest.

	Indices		Payable debts or their parts
	Types of debts payable	Within one financial year	After one year but not later than within five years
	Financial debts
1.	To credit institutions	15 605 260
2.	Other financial debts
3.	Other debts	6 97 191	11 746 766
	In total:	22 578 465	11 746 766

The status of Company's liabilities (in LTL):

Repayment of the loan, received with State Guarantee, to Lithuanian banks: AB SEB bank, AB bank "Hansabankas", AB "DnB Nord bankas" according to the terms of Credit Agreement No. 0020309030107/08 of 14 August 2003: LTL 7 802 637 on 31 January 2009 and LTL 7 802 637 on 31 July 2009 are accounted for in the amounts payable within one year to credit institutions. The Company's debt to its suppliers and contractors in the amount of LTL 3,91 mln. (settled in accordance with the contracts providing for payment until the 15th day of the next month), debt to its employees for remuneration LTL 1,51 mln. (the debt paid off on 9 October 2008) and the taxes payable (social insurance, income tax to be paid until the 15th day of the next month) in the amount of LTL 1,55 million are accounted for in other amounts payable within one year.

3.10. The rights and commitments of the Company not reflected in the balance sheet.

According to the oil product transshipment Agreements the Company is responsible for the oil products received from its clients for storage. As on 30 September 2008 the following products were stored in the storage tanks of the Company:

Seq.	Types of oil products	Amount	of	oil	products	in
No.		tonnes
1.	Heavy fuel oil M-100				81 082
2.	Diesel oil				21 603
3.	Gasoline				32 766
4.	Jet fuel					4 665
5.	Vacuum gasoil				56 693
	In total:				196 809

The Company has insured its property, oil products under storage, against production (business) interruption risk at the insurance company AB " Lietuvos draudimas". The insurance company CSC "PZU Lietuva" has insured general civil liability.

5.11. Results of financial and investment activities (in LTL).
Indices	Financi

	Indices	Financial year 2008-09-30	Previous financial year 2007-09-30
a)	INCOME FROM FINANCIAL AND INVESTMENT ACTIVITIES	498 410	216890
	Specification of significant amounts:
	Fines and defaults received		566
	Interest income	486 525	189 558
	Positive effect of currency exchange	1084	15 4 45
	Other (subsidies)	10 801	11 321
b)	EXPENSES FROM FINANCIAL AND INVESTMENT ACTIVITIES	977917	1 671 449
	Specification of significant amounts:
	Loan interests	960 173	1 364 948
	Other		257
	Expenses of lease with purchasing option		273 540
	Negative influence of currency exchange	17 744	32 704
$\mathbf{c})$	RESULTS OF FINANCIAL AND INVESTMENT ACTIVITIES (a-b)	$-479507$	$-1454559$

3.12. Transactions with related parties.

During the nine months' periods ended on 30 September 2008 and 30 September 2007 the Company neither calculated nor paid any sums to the members of the Supervisory Board and the Board of the Company.

As on 30 September 2008 the Company owes its shareholders, who did not provide their data required for the dividends to be paid to them, the dividends in the amount of LTL 9 353 allocated in the year 1999; the amount of LTL 772 allocated in 2000; the amount of LTL 18 314 allocated in 2002; the amount of LTL 23 673 allocated in 2003; the amount of LTL 7 971 allocated in 2006; the amount of LTL 54 760 allocated in 20076. The total amount of the unpaid dividends to the shareholders is LTL 114 843. It is accounted for under caption "Payments to the related parties" of the balance sheet.

During the nine months of 2008 remuneration in the amount of LTL 995,5 thousand (during the same period of $2007 - LTL$ 912 thousand) (including bonuses and other pays) were calculated to the Company's Management. During the nine months of 2008 the Company's Management did not receive any loans, guarantees, no any other payments or property transfers were made or accrued.

3.13. Information about subsequent events.

In the financial statements for the year 2007 there was a disclosure of Riverlake Energy $(S)$ PTE LTD lawsuit brought against the Company for the compensation of USD 1,804 thousand of assumed expenses and performance of contractual liabilities. During the nine months of 2008 there were no changes in the case. Riverlake Energy (S) PTE LTD lawsuit is rejected. The plaintiff lodged an appeal against the decision of the court.

Director General

Jurgis Aušra

Prepared by Johana Bučienė, Chief Financier

I, Eugenijus Vilūnas, a translator of SC Klaipėdos Nafta, verify an exact translation of the foregoing document into the English language.

Eugenijus Vilūnas