Kranj, 14 June 2010- On Thursday, 10 June 2010, the 14th regular Supervisory Board  meeting of Sava d.d. and the 8th meeting of the audit commission of the company's Supervisory Board were held. Based on the review of the report from the Strategic Finance at Sava d.d., and the reports from the internal and external auditors of the company, the Supervisory Board repeatedly examined  all businesses by Sava d.d. in the last five-year period, which owing to media announcements was requested by the shareholders KAD and SOD in their joint letters sent this March and April.  On order by the Supervisory Board, the Board of Management of Sava d.d. agreed with the company KPMG to audit businesses in view of suitability of performed procedures and their economic viability, and in view of their influence on the operations of Sava. In KPMG's opinion, all procedures at adopting decisions were carried out in a suitable manner as regards the formal aspect and contents, in compliance with the applicable legislation and valid internal rules as well as good corporate governance practice. In connection with these businesses, the auditors did not establish any conflict of interest, neither on the part of the Board of Management nor Supervisory Board members. The chairman of the Supervisory Board Miran Kalčič will present these findings at today's Shareholders' Meeting of Sava d.d.

On Thursday's joint meeting the Supervisory Board of Sava d.d. and its audit commission dealt with the reports prepared by:

• Strategic Finance at Sava d.d.: »Survey of the situation with long-term financial investments available for sale and the effects on the operating result of Sava d.d., and survey of individual transactions in the period 2005-2009.«
• Internal Audit at Sava d.d.: »Business operation of Sava d.d. in the financial investments area in the period 2005-2009«.  
• Audit company KPMG Slovenija, d.o.o.:»Report about the actual findings based on the performed agreed procedures with regard to the selected businesses«.

The external auditor KPMG particularly audited the transactions that,  among other things, were pointed out in the letters from KAD and SOD:  sale of Sava Trade and acquisition of the ownership stake in Merkur, put/call option for Merkur shares,  purchase of shares of Gorenjska Banka and purchase of  a receivable due from NFD Holding.

Thus the Supervisory Board of Sava d.d. repeatedly examined all businesses of Sava d.d., as demanded in the letters from KAD and SOD, which had been made in the last five years. The Supervisory Board became acquainted with the findings in the report from the internal auditor at Sava d.d., the external auditor KPMG Slovenija d.o.o. It established that the Board of Management of Sava d.d. produced a quality analysis of general legal and economic effects of these transactions, both singly and as a whole. It arises from the reports that in the period dealt with the Supervisory Board of Sava d.d. followed legal provisions and internal regulations of the company as well as good corporate governance practice at its work. Moreover, the quoted reports did not expose unsuitability at the work of the Board of Management of Sava d.d. that would request additional measures to  be adopted by the company's Supervisory Board.

The Board of Management of Sava d.d. made the Supervisory Board acquainted with the status of investments by Sava d.d. in Merkur d.d. and, in this connection, with the available information about the operation of this company and its majority owner Merfin d.o.o. The Supervisory Board will deal with a detailed description of the situation and various possible scenarios with assessment of risk and measures for securing the investment and receivables of Sava in these transactions at its next meeting.

Sava, d.d.
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