PROFIL PROJEKTA Naziv Kompanije * 1 Stranica Max

PROJECT PROFILE – Municipality Kotor Varoš * 1 pg max

Gondola „Borje“ Name of project

Industrial sector Tourism The location is 23 km away from Teslić and 26 from Kotor Location Varoš. Hajdučke vode and Liplje Monastery is located in North-West part of Bosnia and Herzegovina (Serbian Republic). Altitude of tourist site Hajdučke vode is 803 meters and 381 meters of Liplje Monastery. Throughout the region of these locations passes the M4 highway Banja Luka-Doboj, and distance from Banja Luka, which is the largest city in the Republic of Srpska is 60 kilometers. The closest international airport is located in Banja Luka. The goal of the project Gondola "Borje" is enrichment and unification of tourism offerings in mountain, religious and spa Goal of project tourism in Banja Luka and Doboj regions because on a small geographic area there are huge tourist potentials, which are not used enough. Enrichment of the tourist offer in this area would increase investments, turnover, employment etc.

Given that Banja Vrućica, which is visited by many tourists, is only 25 kilometers away from the hotel Hajdučke vode, there Key characteristics and benefits of project is a real need for unification of tourist offers because Hajdučke vode and Monastery Liplje also have a huge mountain or religious tourism potential, but which is not used enough. In addition, the implementation of this project would initiate the development of other forms of tourism for which there is great potential and that is hunting tourism, fishing tourism, sports and recreational tourism and countryside tourism. The construction of the gondola would connect tourist sites of Hajdučke vode and monastery Liplje and this would significantly shorten the travelling distance between them. Current travel distance between these two tourist destinations is 17 kilometers and the planned length of the gondola is 4,194 meters (maps No.1 and 2). The settlement Liplje by realization of this project would become an attractive tourist destination, and it would reduce the migration of the people from this area because citizens could launch private businesses (tourism, agriculture, trade, catering, etc.). Besides that, the tourist complex Hajdučke vode would significantly increase the number of tourists. It is planned that the project would employ 8 new workers. Financial aspect of investment - project: Expected number of users per year: 182,500 tourists; Expected gross profit: 912.500 euros; Indicators of investment return Expected net profit: 638,750 euros; The payback period is 7 years. Budget of expected investment - total Investment Budget: 4.000.000. euros investment Kotor Varos municipality will participate in the project by Expected form of cooperation with potential providing the documentation for the concession to 20 years as well as all other necessary permits for the construction of the investors gondola. All costs (equipment, energy, etc.) will be financed by the investor in the full amount of 4.000.000 euros.

Company Name: Municipality of Kotor Varoš Brief description of business – main business: Company information 1. Adoption of a strategy or development program of the local government unit. 2. Adoption of strategic and accompanying documents for spatial planning for the area of the local government unit, 3. The adoption of the budget and financial reports of the budget, 4. Arranging and enabling the use of construction sites and office space, 5. Organization of communal police, 6. Inspection supervision, in accordance with the law, 7. Organization of local economic development, 8. The management and disposal of property of the local government unit, 9. The establishment and regulation of the city or municipal administration, 10. The performance of property and legal affairs, in accordance with the law, 11. The collection, control of collection and enforcing collection of revenues of the local government, in accordance with the law, 12 Tasks of legal representation of the local government, in accordance with the law, 13 Keeping records of persons who have served military, 14. Enacts the program of measures for achieving gender equality, 15. Ensuring the enforcement of laws and other regulations; Location: Cara Dušana bb, Kotor Varoš, Republic of Srpska, BiH The governance structure of the Company: 1. Mayor of the Municipality; 2. Municipal Assembly and 3. Municipal Administration Capital structure: state Number of employees: 84

Company size - - Structure of sales (2015 and 2016 year) - Market position Data from the Income Statement in 2015/2016 in Euros: - Revenue in 2015, 3.782.357, in 2016, 4.000.643 - Gross profit in 2015, 728.112, in 2016, 491.595 Financial information - Net profit in 2015, 16.915, in 2016, -6.9613

Data from the Income Statement in 2015/2016 in Euros: -Permanent assets in 2015, 19.703.524, in 2016, 21.033.413 -Total assets in 2015, 19.488.114, in 2016, 20.833.506 -Total Capital in 2015, 16.106.869, in 2016, 16.415.249 -Total liabilities in 2015, 4.091.267, in 2016, 5.741.270 Historical overview of the most important Municipality of Kotor Varos has previously successfully characteristics implemented a number of projects: - construction of the sewerage network (RS Development Program, the value of 3.5 mil. BAM); - plumbing local community Grabovica and asphalting of the road Garići (World Bank, citizens, municipality and IRB, within the project CDP); - renovation of buildings for returnees (projects: CARDS 2003 ZP 08, 09, 10 ZP) Fund for returnees; - the construction of the building for collective accommodation in the value of 626.026,19 BAM, Fund for returnees 80% and 20% the municipality; - GAP project (equipping of hall with counters, making the capital investment plan, MAP); GAP; -3 projects on the river Vrbanja (Defending wall 90.499,5o BAM, stone dam 85.611,81 BAM, Promenade 90.812,47 BAM); - Making of strategic documents: ILDP LEAP; Project swimming area Bjeline (60.000 BAM UNDP, 20,000 BAM municipality); - Project Youth Bank and other. Experience and results in realization of the mentioned projects contribute to building the capacity of employees on realization of such projects and new ideas. Municipality of Kotor Varoš has recently received the BFC SEE certificate that includes the favorable business environment of municipalities in the countries of Southeast Europe.

List of products - Address: Opština Kotor Varoš Cara Dušana bb Contact information 78220 Kotor Varoš Contact information: Predrag Tešić Tel: 051/784-237 E-mail: [email protected] Web page: www.opstinakotorvaros.com

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