FIMA Daily Insight

Wednesday, March 18, 2015

Croatian equities closed lower yesterday with both indices decreasing; CROBEX decreased 0.35% to 1,745.30 pts and blue chip CROBEX 10 declined 0.52% to 1,012.93 pts. Regular STOCK EXCHANGE stock turnover amounted to HRK 6.05 million. (Negative) CROBEX Last 1.745,30 Integrated telecom operator HT (HTRA CZ) topped the liquidity board collecting HRK 1.6 million daily -0,35 in turnover and its price decreased 0.43% to HRK 162.80.

YTD -0,01% According to the article published in today´s newspaper Poslovni dnevnik, CROBEX10 Last 1.012,93 (ZSE:PODR-R-A) is considering share capital increase in the amount EUR 100 mln. The aim of daily -0,52 the share capital increase is to collect funds for new investments; for the acquisition of Zito and for the construction of new Belupo facilities. Podravka said yesterday that formal decision YTD 0,57% on share capital increase is not yet made. According to the media, share capital increase Stock Turnover (EUR m) 0,79 should be complete by the end of the July this year. Share capital increase will be carried out MkCap(%of GDP) 56,91% through Zagreb Stock Exchange and Warsaw Stock Exchange. Podravka will issue new shares and the nominal price will be probably HRK 200 per share. (Positive) Source:www.zse.hr Croatian builder [ZSE:VDKT-R-A] said on Tuesday it has signed a EUR 15.7 mln road construction contract with state-owned motorway operator Hrvatske Autoceste (HAC). Viadukt LJUBLJANA STOCK EXCHANGE will perform construction works on the Beli Manastir-Osijek-Svilaj and Drava bridge-Osijek junction sections of the motorway. The works on the road sections, totaling 3.8 km, should SBI TOP Last 811,98 be completed in 730 days. (Positive) daily 0,16% Croatian alcoholic and soft drinks producer Badel 1862 [ZSE:BD62-R-A] said on Tuesday its YTD 3,55% management has decided to relaunch a public call for investors interested in a recapitalization Stock Turnover (EUR m) 1,71 as part of the company's pre-bankruptcy proceedings. The partnership proposals, due by May 18, should outline a five-year business plan while containing a commitment for recapitalization MkCap(%of GDP) 50,95% in cash in the amount of at least HRK 150 mln among other bid requirements. (Positive) Source:www.ljse.si

Pivovarna Laško (PILR) announced that yesterday the procedure of sale of a total of 75.31% BELGRADE STOCK EXCHANGE stake in the company Radenska to the Czech soft drinks producer Kofola was completed. This BELEX15 Last 653,14 transaction is worth EUR 51.8 mln. Besides that, Pivovarna Laško also received the purchase consideration of EUR 8.2 mln from the sale of 11.85% stake of the company Radenska, which daily -0,44% were temporarily sold on November 30, 2011, by Pivovarna Laško to DBS. Furthermore, YTD -2,08% Pivovarna Laško became 100% owner of the company Delo. (Positive) BELEXline Last 1.342,09 Slovenian state-owned development bank SID Banka said on Tuesday its consolidated net daily -0,38% profit edged down to EUR 4.39 mln in 2014 from EUR 4.4 mln a year earlier. Consolidated net interest income fell 17.8% to EUR 43.7 mln in 2014, while non-interest income declined 39% YTD -0,20% to EUR 17.3 mln, SID Banka said in a financial report. (Neutral) Stock Turnover (EUR m) 0,37 Slovenia's jobless rate increased to 13.5% in January from 13% a month earlier, the country's MkCap(%of GDP) 23,69% statistics office said on Tuesday. (Negative)

Source:www.belex.rs Slovenia posted a budget gap of EUR 345.7 mln in February, up from a revised gap of EUR 143.2 mln a month earlier, finance ministry preliminary data indicated on Tuesday. Revenues totalled EUR 590.6 mln and expenditures amounted to EUR 936.3 mln in February. (Negative) BUCHAREST STOCK EXCHANGE The bad loans in Slovenia's banking system totaled EUR 4.38 bln at the end of January, down BET Last 6.995,44 from EUR 4.45 bln at the end of December, data from the country's central bank indicated on daily -0,51% Tuesday. (Positive)

YTD -1,24% Serbia BET BK Last 1.330,32 The World Bank said it has approved a EUR 36.2 mln loan for a project in Serbia that should daily -0,65% result in better real estate management services for its citizens and for investors. (Positive)

YTD 1,69% Serbia's trade deficit fell 15% to EUR 300.6 mln in January, the country's statistics office said BET TR Last 7.639,24 on Tuesday. (Positive) daily -0,51% Romania

YTD -1,24% Romanian property restitution fund Fondul Proprietatea [BSE:FP] repurchased ordinary shares Stock Turnover (EUR m) 7,46 equal to a 0.08% stake for 8.5 million lei between March 9 and 13, the fund said. Fondul MkCap(%of GDP) 21,47% Proprietatea acquired 9.82 million own shares at an average price of around 0.86 lei each. (Positive) Source:www.bvb.ro Banca Transilvania (TLV.RO) announced on Tuesday that it received all approvals from Romania’s Competition Council and the central bank (BNR) to take over Volksbank Romania. (Positive)

For more information please contact us via mail [email protected] or on tel. +385 42 66 09 64 1

FIMA Daily Insight

Wednesday, March 18, 2015

TOP 5 Companies ZAGREB STOCK EXCHANGE 17 March 2015 turnover (HRK) by price - Gainers (CROBEX) by price - Decliners (CROBEX)

Symbol Price Volume (mln) Change Symbol Price Change Symbol Price Change HT-R-A 162,80 1,62 -0,43% VART-R-1 19,74 5,00% PTKM-R-A 18,01 -4,86% ADRS-P-A 347,49 0,77 -1,84% DLKV-R-A 15,53 3,12% VPIK-R-A 77,99 -2,48%

BD62-R-A 20,50 0,45 55,30% VDKT-R-A 265,16 3,11% ZABA-R-A 38,00 -2,19% RIVP-R-A 19,04 0,36 -0,57% ATPL-R-A 248,00 2,06% ADRS-P-A 347,49 -1,84%

DDJH-R-A 34,90 0,31 0,26% ULPL-R-A 152,10 1,40% ATGR-R-A 892,00 -0,89%

TOP 3 Companies LJUBLJANA STOCK EXCHANGE 17 March 2015 turnover (EUR) by price - Gainers by price - Decliners

Symbol Price Volume (000) Change Symbol Price Change Symbol Price Change

GRVG 5,26 595 -0,75% KRKG 60,98 1,38% SAVA 0,46 -23,00% KRKG 60,98 401 1,38% UKIG 8,00 1,27% CICG 180,00 -2,17%

PILR 24,00 229 -0,37% APAG 50,00 0,97% SKDR 54,04 -1,75%

TOP 3 Companies BELGRADE STOCK EXCHANGE 17 March 2015

turnover (RSD) by price - Gainers by price - Decliners Symbol Price (RSD) Volume (000) Change Symbol Price Change Symbol Price Change

NIIS 631,00 9.277 -1,10% FITO 3.698,00 1,32% BIPB 42,00 -20,75% AERO 1.004,00 5.317 1,01% AERO 1.004,00 1,01% TIGR 44,00 -13,73%

ENHL 1.002,00 1.932 0,80% ENHL 1.002,00 0,80% VITL 978,00 -10,52%

TOP 3 Companies BUCHAREST STOCK EXCHANGE 17 March 2015

turnover (RON) by price - Gainers by price - Decliners

Symbol Price (RON) Volume (000) Change Symbol Price Change Symbol Price Change

FP 0,8 9.675 -0,53% PPL 2,300 15,00% PEI 9 -4,56% SNG 33,1 5.859 -0,30% ALR 1,2 10,38% IMP 1,34 -4,29% TLV 2,1 5.666 -1,81% AMO 0,007 3,08% ARTE 7,72 -3,50%

For more information please contact us via mail [email protected] or on tel. +385 42 66 09 64 2

%

FIMA Daily Insight

Wednesday, March 18, 2015

Long-term credit Croatia Slovenia Serbia Romania rating

Fitch BB BBB+ B+ BBB-

Standard&Poors BB A- BB- BBB-

Moody's Ba1 Ba1 B1 Baa3

Exchange rates

FX RATE HRK per EUR 0,1306

FX RATE RSD per EUR 0,0086

FX RATE RON per EUR 0,2300

FX RATE EUR per USD 1,3400

Investment stories

Hotel Imperial (HIMR-R-A) - process in final stage

Telekom Slovenije (TLSG) - privatization process in second stage

Corporate events

31.03.2015 Atlantic Group (ATGR-R-A) – audited annual report 2014

10.04.2015 PBZ (PBZ-R-A) – Ex dividend date 13.04.2015 PBZ (PBZ-R-A) – Record date 14.04.2015 PBZ (PBZ-R-A) – Cash dividend: 27,00 HRK

For more information please contact us via mail [email protected] or on tel. +385 42 66 09 64 3

FIMA Daily Insight

Wednesday, March 18, 2015

CONTACTS FOR INSTITUTIONAL INVESTORS IRENA IVANKOVIĆ [email protected] +38542 66 09 64 DARKO HORVAT [email protected] +38542 66 09 05 TRADING DEPARTMENT: [email protected] +385 42 66 09 60 RESEARCH DEPARTMENT: ANDREJA ŽUPANIĆ [email protected] +385 42 66 09 75

DISCLAIMER FIMA Daily Insight is a daily publication of FIMA Securities Ltd. which comments for the needs of its users dynamics of trading financial instruments on capital markets in the Republic of Croatia, transfers and publishes parts or entire selected news from various publicly available sources and media of interest for the investor community, and offers overview of the selected parameters of financial instruments trading on Zagreb Stock Exchange, as also selected basic macroeconomic indicators. The content uses publicly available records published by the selected relevant sources and public information services (Zagreb Stock Exchange, Bloomberg, Reuters, publicly available financial reports of the Issuer, publicly available opinions of representatives of the Issuers etc.). Although we believe that the stated information and other records are reliable, we do not guarantee for their accuracy, completeness or timeliness. The publication has been of informative character and may not be deemed to be an invitation for purchase or sale of financial instruments being mentioned in it. Prices of financial instruments, and there from also return on investment from financial instruments may vary and cause profit or loss. Investment in financial instruments commented in this publication include certain risk (more about risks available in General Operating Conditions at Internet page (http://www.fima-vrijednosnice.hr/UserDocsImages/General%20conditions_FMVR%20novo.pdf), financial instruments are not necessarily available in all legal-regulatory environments, they may be illiquid and may be inadequate for some investors. Value or profit realized based on any financial instrument may vary and/or be under the influence of exchange rate differentials and other risks. Investment returns from the history are not indicators of future returns. Investors should independently make their decisions on investment, without relying on this publication. By publishing this publication FIMA Securities Ltd. does not bear any responsibility for the consequences, or for the possible damages resulted from usage of the information and records published in this publication. Single opinions stated in this publication may change without prior notice. This publication has not been prepared in compliance with the provisions of the Capital Market Act, and the Regulations of the Croatian Agency for Supervision of Financial Services (HANFA) ensuring independence of investment research, as also the issuance of the publication has not been subject to trading ban prior to distribution, as it has usually been foreseen for investment researches. According to the previously stated regulations this publication is considered to be promotional communication. All significant sources of information used in preparing of this publication were stated in its text. In preparing this publication the results of the fundamental and technical analysis may be used including also internally developed evaluation models. If it is the case of an internally developed evaluation model, the basic methodology shall be presented and publicly available to the investors at the Company's web page www.fima- vrijednosnice.hr or in the other legally permitted manner. The seat of the Company FIMA Securities Ltd. is in Varaždin, Vrazova 25, whereas the operating of the Company has been supervised by the Croatian Agency for Supervision of Financial Services. The company was entered into the Court Register of the Commercial Court in Varaždin under the number: 070052968.Protection of copyright and database records exist in this Document, and the same must not be reproduced, distributed or published by anyone regardless the intention, without previous express consent of the Company FIMA Securities Ltd. Please state the source in case of citing. All rights reserved. FIMA Daily Insight is prepared by the employees of FIMA Securities Ltd. The first issue of FIMA Daily Insight was issued on 16TH January 2009

Additional information is available upon request.

For more information please contact us via mail [email protected] or on tel. +385 42 66 09 64 4