In response to the letter as of 13/11/2006 of the Hellenic Capital Market Commission with Reg. No 5307, regarding the article as of 11/11/2006 published in the newspaper AXIA, the company Con. Cardassilaris & Sons S.A. announces the following:
On 10/09/2001, an agreement was signed between Con. Cardassilaris & Sons S.A. and the company KENTFORD LIMITED, which is headquartered both in Ireland and Moldova, for the transfer of shares of a Moldavian company owned by KENTFORD LIMITED with the corporate name ΚΕΝΤFORD SRL, for the price of USD 200.000.
Con. Cardassilaris & Sons S.A. already since then (2002) - as was provided for by contract - reneged on the purchasing contract on the shares of the company KENTFORD SRL following the incapacity of the co-signatory company to guarantee security for the entire venture. As a result, our company decided not to remain in the commercially unstable market of Moldova as an exporter.
This corporate decision of Con. Cardassilaris & Sons S.A. seemed to be the reason which led the representatives of the Irish-Moldavian company to the mistaken decision to file a lawsuit on 07/11/2006 as mentioned in the article of the newspaper AXIA as of 11/11/2006.
The amount claimed by the company within the frame of the lawsuit, which was notified to us today, amounts to a total of euro 12.715.689,00, but it is not expected to have any impact on the company''s financial status, since, according to our legal advisors the said lawsuit will have a positive outcome for us.