AFTER INCREASING ITS SHARE CAPITAL 36 TIMES, The Applied Informatics Company (CIA) resumes software production

• Businessman Arpad Paszkany of Cluj has joined the company as a shareholder

• The company also wants to invest in technologies and equipment based on renewable resources

Compania de Informatică Aplicată (CIA) (Applied Informatics Company), a company controlled by the Romanian state through its ministry of Education and Research, will resume its creation of software solutions after increasing its share capital 36-fold, from 561,659 lei to 20,219,725 lei.

On December 11th, the shareholders of the Cluj-based company have approved the proposal of the Board of Directors concerning company"s Medium Term Development Strategy, according to the Official Gazette.

The strategy will consist of four major directions: the first concerns the resumption of the creation of software solutions, data processing and website management, and the second includes investing in a data center, as well providing IT security services.

The other two direction of the Strategy include holding IT training courses, the modernization and the expansion of the building and the creation of a research and development center. The new center will focus on researching and developing technologies and equipments based on the use of renewable energy resources.

The company is controlled by the Romanian state, by way of the Ministry of Education and Research. On June 30, 2010, the Ministry"s stake amounted to 70.7%, according to the latest information published on the website of the Bucharest Stock Exchange.

Other shareholders of the company - which is listed on the Rasdaq market (symbol: SOEL) - include "Baucom Cluj", which holds 18.3% of the company and other minority shareholders. There are rumors that "Baucom" is controlled by Arpad Paszkany, the owner of football club CFR Cluj.

The businessman of Cluj last year became a direct shareholder of CIA, increasing his stake in the company on November 3rd, to around 11.8%.

The last trade on the stock market took place on November 19th, 2010, at a price of (simbol bursier SOEL) 250 lei a share, in which Arpad Paszkany was the buyer of 40 shares.

According to the statement published on June 30, 2010, (ed. note: the latest available information), the company had 52,613 lei in debts and 246,348 lei in losses.

The company"s net turnover was 836,751 lei. The company had total operating revenues of 836,751 lei and other financial revenues of 16,269 lei.