More Fertilizers from ZA Puławy

In the financial year 2006/2007, ZA Puławy entered into contracts which provide for fertilizer supplies larger by 12% than in the previous year. The contracts concluded for such popular products as ammonium nitrate, urea, RSM and ammonium sulphate account for approx. 80% of the whole volume of fertilizers to be sold on the domestic market.

We plan to generate revenue of about PLN 500m on those contracts, says Magorzata Iwanejko, President of the Management Board of ZA Puławy. The contracting system enables our company to partly reduce the seasonality of sales and ensure a more even distribution of revenue and production over the year.

At the beginning of each financial year, the Company enters into medium-term contracts for the sale of fertilizers, whereby it undertakes to supply a specified amount of the product within a given year. The supplies are to be carried out also in the periods before and after the season, which in the case of fertilizers fall in the first and fourth quarter of the calendar year.

ZA Puławy operates on three key product markets:

• Fertilisers for the agricultural sector (urea, ammonium nitrate, urea-ammonium nitrate solution, ammonium sulphate) – leading Polish and global producer
• Melamine (used in the production of synthetic resin which is applied in the furniture, paint and varnish market, as well as textile and paper sectors) – third largest producer in the world, the only producer in Poland
• Caprolactam (used for the production of textile and industrial fibres, carpeting and engineering resins used in automotive, electronic and food industries) – one of the two producers in Poland.
  ZA Puławy is the largest company in the fertilisers and chemical sector in Poland and an important producer in the world. Approximately half of its revenue is derived from the exports.

For more information please contact:

Marek Sieprawski
ZA Puławy SA
tel. (+ 48 81) 887 62 01
msieprawski@azoty.pulawy.pl