BAT Uzbekistan predicts 2004 net losses of $12.5 million

Interfax September 7 The Uzbek-British joint venture British American Tobacco Uzbekistan, or BAT Uzbekistan, is forecasting net losses for this year of 12.9% billion sum, or around $12.5 million, a source in the company's management told Interfax. In the first half of 2004, the company incurred net losses of 5.7 billion sum, paying 14.8% billion sum in taxes and charges to the budget for the half. In the period running from 2002 through the first half of 2004, the joint venture saw net losses of 22.5 billion sum and paid the Uzbek budget 84.6 billion sum. In the ten years it has been operating in Uzbekistan, main shareholder British American Tobacco has received $5.8 million in dividends, or 2% of the $285.1 million in investments the company has made, one company source said. That is "extremely unsatisfactory for the shareholders," he said. Illegal tobacco products have the main negative influence on company operations and results, he said.