Annual Report 2007

Over the course of the year, the Board of Directors provided the Supervisory Board with all relevant information required to perform its control activities. The assessment of compliance with the measures aimed at reaching defined goals was continually monitored by the supervision of the resolutions of the Board of Directors, and through the analysis of regular monthly written reports on the status of the Company’s business activities and assets compared to expected development. Over the reviewed period, the members of the Supervisory Board received sufficient current information about the principal intentions of the commercial management of the Company for the future period. Additionally, the Supervisory Board received data about the expected develop- ment of the Company’s assets, finances, and revenues in order to satisfy themselves that the Board of Directors pays necessary attention to the growth of the Company’s profitability and development. Based on the results of its supervisory activities, the Supervisory Board expresses its belief that the business activities of the Board of Directors were conducted with due professional care, in compliance with the law, bylaws, and the General Meeting resolutions. The Supervisory Board identified no misconduct of duties. After reviewing the individual and consolidated financial statements for the year ended 31 December 2007, prepared in accordance with valid International Financial Reporting Standards as adopted by the European Union, and following the comprehension of the Deloitte Audit s.r.o. reports on these financial statements, the Board reached the conclusion that no significant facts are known which would prevent the approval of the annual financial statements. The Supervisory Board reviewed the proposed distribution of profit as presented by the Board of Directors. The Supervisory Board, at its meeting held on 17 June 2008, recommended that the General Meeting approves the separate and consolidated financial state- ments, and the proposed distribution of profit as presented by the Board of Directors. Podbrezová, 17 June 2008 Ing. Ján Banas Chairman of the Supervisory Board The Supervisory Board recommended that the General Meeting approves Deloitte Audit s.r.o. as auditor for the future period. 44 A N N U A L R E P O R T REPORT ON THE ACTIVITY OF THE SUPERVISORY BOARD Dear shareholders.