URBB - 30% Increase In Turnover from 2005 to 2006

Last year, URBB (United Romanian Breweries Bereproduct) had a 15% increase in the volume of beer sales and a 30% increase in revenues compared to 2005. Thus, the company fulfilled its objectives, reaching no. 4 in the top of international beer producers in Romania. Shachar Shane, the president of URBB, stated: "For 2007, we estimate a 20% increase in beer sales compared to last year."

By the end of last year, the project to double production capacity of the Tuborg factory had been developed according to the initial shedule - the utility expansion phase was finalized ( the cooling system, CO2 recovery, residual water treatment ), construction started on the second brewery, which will ensure a future increase in production capacity, and the construction of the Logistics Center, which occupies a surface of 3.5 hectars, is nearly finalized. The Logistics Center includes a parking lot, a truck loading area and a warehouse (5.000 sqm).

From the total investment estimated for this project, which will amount to $50 million, $15 million were spent last year. $4 million were alotted for the construction of the Logistics Center, the rest being used to increase the factory"s production capacity. In 2007, over $20 million will be alotted for the expansion process and the money will be used to finalize the construction of the new brewery, to expand the canning line capacity and develop distribution and logistics. This investment will ensure an increase of production capacity to 2 million hl by the end of 2007.

Environmental safety remains one of the company"s priorities - the project to double the factory"s production capacity complied with E.U. environmental standards. In this respect, the sum invested in 2006 - which represents the total investment in a carbon monoxide recovery system - exceeded $900.000. Presently, the packaging for raw materials and for materials used in the production process is 95% recycled.

The 55 factories owned by Carlsberg Group worldwide undergo a series of monthly tests that measure production performance, quality, and environmental and work safety. Following the tests carried out in June 2006, the Tuborg factory, the Group"s single production unit in Romania, reached first place worldwide, and in the final classification of 2006, it was ranked among the top five positions.