The Management Board of the joint-stock company „Ditton pievadķēžu rūpnīca” informs the shareholders about the following essential event: In three months period of this year the prices on metal products and raw materials used in production of the company's products have risen by 25-30% against the level of December of the last year, but on some types of steel products - even by 40-50%. According to the analysts of the raw exchange market, at present there is the situation of 2004 recurring when an iron ore price rise by 71,5% provoked price increase on steel products by 40-60%, and it happened in economic recovery conditions. In its turn, at present there can be the processes of economic recession observed. Besides the price rise of iron ore, such aspects as drop in the USD exchange rate and decrease in exports from China contribute to the price increase on steel products. More specific information on the situation on the global steel market is available under web-site: http://bg.metaltorg.ru/analytics/publication/index.php?id=3005 The management board of the JSC is justified in supposing that this circumstance will negatively affect the expected production output. As unavoidable condition there can be price rise on production of the JSC predicted and decrease in demand and production output in its result. In these conditions the management board of the company does not exclude the possibility that it may be delegated to the shareholders of the company to consider the partial temporary suspending of the production in order to avoid unjustified losses. Chairman of the Management Board E.Zavadskis