Annual Report 2007

35 Ž E L E Z I A R N E P O D B R E Z O V Á 2 0 0 7 REPORT BY THE BOARD OF DIRECTORS In 2007, the joint-stock company ŽP Šport continued to be engaged mainly in sports, advertising, and promotion activities. The Company provided for the development of professional as well as non-professional mass sports activities of the parent company’s employees. Objectives were successfully fulfilled in particular due to the creation of favourable conditions for the realisation of a broad range of winter and summer recreational sports activities. In 2007, the Company generated revenues from sales of merchandise and advertising totalling SKK 66.7 million. The closing balance of the Company’s registered capital amounted to SKK 15.4 million and the previous year’s profit after taxation amounted to SKK 1.3 million. In 2007, the core activities of ŽP BYTOS, s.r.o. were procurement of the sale of apartments, real estate, and garages in the ownership of Železiarne Podbrezová a.s., management of rental apartments owned by Železiarne Podbrezová a.s. and of privately-owned apartments under management contracts. he Company generated revenues from sales of services totalling SKK 4.3 million. The closing balance of the Company’s registered capital amounted to SKK 2.1 million, and the previous year’s profit after taxation amounted to SKK 524 thousand. Motor-Car Podbrezová s.r.o. is engaged in the sale and service of KIA passenger vehicles and uses the premises of a former customs office (the property of Železiarne Podbrezová a.s.) under a lease contract. The company is not profit-generating yet. As HRON – AIR s.r.o. failed to perform its business objectives, the Board of Directors of Železiarne Podbrezová a.s. decided on its dissolution in October 2007. The transaction will be completed in 2008 at the annual general meeting at which the shareholders will decide on the contributions for settlement of losses as per their interest in the business. ŽP Šport, a.s. ŽP BYTOS, s.r.o. Motor-Car Podbrezová s.r.o. HRON – AIR s.r.o. Work and life are like twins which live one from the other. Willbrandt