SECURITIES PROSPECTUS

Accounts receivable shall be recognized as short-term unless their maturityexceeds 12 months from the reporting date. The remaining accounts receivable shall berecognized as long-term. The above-mentioned period shall be calculated from the firstday of the calendar month following the month in which the asset is recorded in theaccounting books.9.2. Bad debt reserve shall be established once a year under a directive documentafter the annual inventory-taking prior to the preparation of the annual statements of theCompany. The amount of reserve shall be determined on a-case-by-case basis based onthe objective information about the solvency of the debtor.9.3. Other assets of the Company shall be valued at the actual costs as of the dateon which they are recorded in the accounting books.9.4. Accounts payable for obtained loans and advances shall be recorded andrecognized in the accounting books inclusive of interest payable at the end of thereporting period.Accounts payable to suppliers and other creditors shall be recorded andrecognized in the accounting books based on the amount of accepted invoices andaccrued liabilities.9.5. Additional expenses directly related to the obtainment of loans andadvances, placement of borrowings shall be included in costs in the reporting period inwhich they are paid.9.6. The accrual of payable expenses (interest, discount) on borrower's liabilitiesshall be recognized in the reporting periods to which these accruals relate under theexisting agreements.9.7. The accounting records of operations related to the issuance of bonds shallbe maintained in account 67 "Settlements for Long-Term Loans and Advances".9.8 Debts owed by the entity to its lenders secured by own promissory notesissued shall be recorded in account 66 "Settlements for Short-Term Loans andAdvances" (short-term) and in account 67 "Settlements for Long-Term Loans andAdvances" (long-term).9.9. Long-term accounts payable for obtained loans and advances shall not betransformed into short-term accounts even if in accordance with the terms andconditions of the loan and/or credit agreement 365 days are left before the repayment ofthe principal amount.9.10. In the event of issuance of a promissory note to obtain a cash loan andpayment for goods, work and services, the amount of interest or discount payable to thepromisee shall be included by the promisor in other expense evenly (on a monthly basis)using account 97 "Deferred expenses".9.11. The consolidated (grouped) amount of deferred tax assets and deferred taxliability shall be recorded in the financial statements.228