Open - Ina

Retail DivisionSegments IFRS 2006 2007 % changesresults In millions HRK USD HRK USD HRK USDProfits* 5,669 971 5,850 1,091 3,2 12,3Income from operating activities 33 6 (90) (17) - -CAPEX 117 20 212 40 81,2 97,2* gross principleThe average throughput per petrol station maintainedthe level of achievement of 2006 and amounts to 2,816tonnes. Pursuant to the INA Retail Strategy, the numberof petrol stations in Croatia rose by five. In 2007, inoperating activities, the Segment showed a loss inthe amount of HRK 90 million (USD 17 million), whichrepresents a more unfavourable result by HRK 123 millionthan the previous year. This is a consequence of poorerresults in the fourth quarter of 2007 in relation to thefourth quarter of 2006, primarily resulting from sale ofreduced quantities by 1.2%, and 49% lower retail margindue to the adverse effect of capping motor fuel retailprices (which is divided with the Refinery and MarketingSegment in equal shares).Oil Products Retail12001000800600Owerall retailOther products400LPG20046965724511544576772641163Gas oil and fuel oils020062007Motor fuelCorporative functions and otherThe Segment has achieved HRK 994 million or USD 185million from operating activities in 2007, which is HRK142 million less than the previous year. Income frommaintenance services and other services of corporativesupport has fallen; while operating costs of corporatefunctions have increased (the increase was partially offsetby lower controllable costs due to the OptINA programmeof efficiency upgrade, while other costs rose mostly asa result of increased depreciation and reservation forenvironmental protection and severance payments.)62 Financial results