OPCC ordered “…PKN ORLEN to desist from monopolistic practices (...)"

Under Art. 81 par. 1, item 2 of the Law on Public Trading of Securities dated 21 August, 1997 (Official Journal of Bills No 118, item 754 with the later amendments) the Management Board of Polski Koncern Naftowy ORLEN S.A. wishes to announce that on July 19, 2000 the Polish Office for Protection of Competition and Consumers (OPCC) ordered “…Polski Koncern Naftowy ORLEN S.A. to desist from monopolistic practices consisting in overuse of a dominant position in domestic mono-ethylene glycol market through unfair affecting of the price formula of “Petrygo" - the anti-freeze engine coolant, rise of mono-ethylene glycol price - the basic component to production of the coolant in order to eliminate competition." PKN ORLEN S.A. strongly disagrees with the outcome of the OPCC's decision and will defend its position rigorously by lodging an appeal to the Anti-trust Court by August 2, 2000. The PLN 40 mln penalty imposed by OPCC is inappropriately high compared to profits reached from “Petrygo" sales by PKN ORLEN S.A. in 1999 (revenues on “Petrygo" sales in 1999 amounted to PLN 30 mln).