Maxi – the leader in the Republic of Srpska - Delta Holding

IN BANJALUKA A CONTRACT WAS SIGNED ON THE TAKEOVER OF THE TROPIC TRADE FRANCHISE
Maxi – the leader in the Republic of Srpska
Delta Holding has made the first big step in the
spreading of its business activities throughout the
region. With the signing of the contract in Banjaluka,
in the presence of the top representatives of the
governments of the Republic of Serbia and the Republic
of Srpska, Delta Maxi has taken over the
ownership of the Tropic trade franchise, the largest
franchise in the Republic of Srpska and second
largest in the whole of Bosnia and Herzegovina.
The contract, amounting to 35 million euros, was
signed by Dragan Filipović, the general director of
Delta Maxi, and Mirko Risović, the general director
and co-owner of the Tropic Retail Company.
The celebration was attended by the President of
the Government of the Republic of Srpska, Milorad
Dodik, the Minister of Commerce in the Government
of the Republic of Serbia, Predrag Bubalo, his
colleague in the Government of the Republic of
Srpska, Predrag Gluhaković, the president of the
Delta Holding, Miroslav Mišković, and the vicepresidents
Milka Forcan, Robert Ferko and Laurent
Pellet, as well as the president of the Delta
Generali Insurance, Nebojša Divljan.
“We are extraordinarily pleased with the signing of
the contract on the taking over of the Tropic trade
franchise as it is, officially, out first appearance on
the markets in the region” said director Filipović.
“The Tropic Retail Company has existed for five
years now and has achieved an exceptional success
in the said time period. With the purchase of the
company, Delta Maxi has become the leading retail
chain in the Republic of Srpska and second largest
in the whole of Bosnia and Herzegovina. Our goal
is to become, soon, the leader there as well. The
signed contract will surely exert considerable positive
effects on the economies of both countries and
I am certain it will contribute to the strengthening
of the ties among the economic entities in both
countries.”
Filipović added that Delta Maxi would continue its
spreading in the Republic of Srpska through greenfield
investments, as well as on the territory of the
whole Bosnia and Herzegovina, with the goal of becoming
the regional leader in this area as well. Further
plans of Delta Maxi concern the spreading of
the network in Montenegro, Macedonia, Albania,
Bulgaria, Croatia, Ukraine and Moldova.
To be continued on page 2
COSTA COFFEE
IN SERBIA AND THE
REGION
The signing of a contract
between Delta Sport
and a well known British
company
DELTA CITY
Finish line
AQUA GALA
An agreement between
Delta Holding and the
best tennis player of
Serbia
DELTA BRINGS
InterContinental
in Serbia

Continuation from page 1
InterContinental Hotels Group (IHG) returns to
Belgrade with a new hotel with 325 rooms.
The management contract was signed on 17 May
by Miroslav Mišković, the president of Delta
Holding, and James A. Kaplan, the vice-president
for the development of InterContinental Hotel
Group for Europe, Middle East and Africa.
Hotel InterContinental Belgrade will be located
in the heart of contemporary complex of mixed
purpose facilities that the Delta Real Estate, operating
within Delta M Group, is erecting in Block
20 in New Belgrade at the site covering an area of
1.2 ha. On the location in the immediate vicinity
of the Delta Holding building a total of 110,000
square meters of office space will be erected. An
office building 35 stories high and an InterContinental
hotel with 13 stories and a shopping arcade
with luxury goods shops are planned. The three
2
The Tropic trade enterprise was founded
20 years ago. In 1991 the first sale facility
was opened in Banjaluka. The largest sales
facility – the Tropic center in Banjaluka,
with an area of 13,500 square meters - was
opened in 2002. In addition to four sales
outlets in Banjaluka, Tropic has facilities in
Prijedor, Novi Grad, Jajce, Prnjavor, Doboj,
Bijeljina, Brčko and Bosanski Brod. At
present, Tropic d.o.o. employs 1,000 workers.
In 2005 and 2006 it was voted the most
successful trade company in the Republic
of Srpska.
In the opinion of the Prime Minister of the
Republic of Srpska, Milorad Dodik, the
contract between Delta and Tropic is a confirmation
of close economic relations be-
DELTA M GROUP AND INTERCONTINENTAL HOTELS GROUP (IHG) SIGNED A CONTRACT ON MANAGEMENT
Hotel InterContinental in Block 20
complexes will be interconnected with a three
level underground garage.
The beginning of the construction has been
planned for the beginning of the next year and
the opening for the first half of 2010. The total investment
amounts to 150 million euros.
The InterContinental Hotels Group, by the
number of rooms, is the largest hotel group in
the world. It owns, manages, rents or franchises,
through numerous daughter companies, more
than 3,700 hotels and 556,000 rooms in some
100 countries the world over. The Group owns a
portfolio of renowned brand name hotels including
InterContinental.
The contract with Delta M is a continuation of
the exceptional development of InterContinental
brand in Europe.
The hotel of the latest generation will contain, in
its offer, the traditional comfort and luxury associated
with the InterContinental brand, as well as
three restaurants, a bar and a luxurious wellness
center with a swimming pool. The hotel will also
offer modern, well-equipped and luxurious conference
halls intended for businessmen from the
country and abroad.
Strategically located in the most important business
center of Belgrade, composed of three interconnected
wholes, this project will meet the
contemporary business demands – a combination
of an ideal location and extraordinary conveniences.
New contracts
tween Serbia and the Republic of Srpska. “For
us here, the arrival of Delta and its intention to
stay here and become the leader in Bosnia and
Herzegovina is very important” said Dodik, announcing
the support of the Government of the
Republic of Srpska. He expressed his belief that
the appearance of Delta “will introduce a new
dimension” by introducing the high standards
and creating new employment opportunities.
Minister Predrag Bubalo estimated that this
contract followed the direction of the Central
European Free Trade Agreement (CEFTA) as
well as the special parallel relations cherished
by the Republic of Serbia and the Republic of
Srpska.
“We are proud of the fact that the new, luxurious
InterContinental hotel will be located in the heart
of New Belgrade as a part of the mixed-purpose
complex. We were present in Belgrade in the past
and we had managed to secure an exceptional
location for our new hotel in the city, which testifies
to our belief in this city and the country” said
James Kaplan. “Also, we are particularly pleased
by the fact that we have an excellent local partner,
such as Delta Holding company. Delta has an excellent
knowledge of the local market conditions
and is an ideal partner to IHG for the development
of this project.“
“InterContinental is one of the best hotel brands
in the world, supported by the largest hotel group
of the world, the InterContinental Hotels Group.
The complex we intend to build will be the symbol
of Belgrade and we are proud of the fact that
the InterContinental hotel will be an integral part
of this exceptional project” said Dejan Racić, the
director of Delta Real Estate.

Constructions
Dragan Buđevac, Ph. D, professor, director Delta Invest
Hot summer DELTA CITY 67 BELGRADE
BELVILLE BLOCK 67
The Delta M Group has become a part of the consortium
taking over the project of building the University Settlement
in Belgrade. The Delta M Group and the Hypo Group
make up the consortium as equal-rights partners and investors.
Delta Invest has already taken over the management
of the construction.
The settlement, to be built for the needs of the organization
of the 2009 Universiada to be held in Belgrade consists of
14 accommodation facilities (1,800 accommodation units,
from studios to four-room apartments) with business
premises on the ground floor and two business facilities
with the total area of 255,862 square meters. Underneath
all those facilities there is an underground garage. At this
stage of the construction, all the diggings and excavations
have been completed,
the necessary exchange
and compacting
of the soil has been
carried out and 60% of
all the piles have been
inserted. Following
the announced tender,
eight general contractors
for the reinforced
concrete construction
have been chosen.
WATER FACTORY
MIONI
In the vicinity of Mionica, in
a record-breaking time period,
in four months, a water
factory, Mioni, has been constructed.
It spreads over an
area of 8,500 square meters complete with infrastructure,
the spring, hydro-technical installations, parking space, the
regulated river and stream, .embankments and state-of-theart
technology.
for Delta Invest
At this moment, at the Delta City facility in Block 67 in
Belgrade, the utilities installations are being completed.
The structure is finished, the glazing of the roof lanterns
and the stairwell lights is completed making work in two
shifts in the interior possible. All the escalators and transport
strips, the largest and the
most difficult parts of the equipment,
have already been placed
in their designed positions and, at
the moment, the elevators are being
mounted. The mounting of the
facade construction made of granite
ceramic, aluminum and glass
has progressed considerably. In
the interior of the structure, 90%
of the installations in the public
area have been completed. At this
moment, the polymer floor covering,
plaster and wall-painting activities
are underway.
DELTA CITY
PODGORICA
At the Delta City Montenegro facility the design of the
second stage construction has been completed. So is the
supporting reinforced concrete structure of the mall. The
steel roof structure over the cinema theater has been
mounted together with the beams of the theater stands.
Next come the mounting of the cinema roof and the placement
of electrical and thermo-technical installations of
the first stage construction.
3

Robert Ferko, the new Delta Holding vice-president
for food processing
Food for the region
4
As of July 1, Delta Holding vicepresident
for foodstuffs production
is Robert Ferko (42). The hiring of
this renowned businessman from
Slovenia, with enormous experience
in foodstuffs production, coincides
with the ambitions of Delta to
take a decisive step into the area of
food processing on the national and
international markets.
“The possibility to work together
with Delta appeared at the moment
when I, in my previous engagement,
took a different view concerning
further development of the company.
I have already had an opportunity
to meet Delta in real estate
activities, in retail and, even, in the area of foodstuffs production.
I knew it was a company striving to meet the highest standards in
everything they did so that, when the opportunity arose for an engagement
covering such diverse areas I could not refuse.”
Robert Ferko told us that he was familiar with the countries of the
region because his business took him three or four days a week to
Serbia, Bosnia and Herzegovina, Macedonia, Albania, Croatia.
Business and pleasure
Robert Ferko declares himself a sportsman. He gets up early
and jogs every morning .His business, he says, is his hobby.
He has a Master of Science degree in foodstuffs technologies.
He is completing his doctoral studies at the University
of Ljubljana. He has worked in food industry since 1989. His
last position, before coming to Delta, was the position of the
top man in Droga Kolinska.
He is married and has two children.
“Upon my arrival in Belgrade, to this company, I saw for myself that
Delta was something special in Serbia. When I enter the company
I feel as though I were in a different world; this is a company that
maintains the highest western standards.”
Robert Ferko, a man with 20 years of experience in foodstuffs production,
says that Delta’s decision to unify food processing is logi-
We present...
cal and very useful. All efforts in this part of the company will be
focused on the market and positions of certain brands which would
not have been possible if the food business had been a part of some
other area.
“At this moment we are completing the preparations for launching
Aqua Gala water on the market. Toward the end of August regular
production of the Mioni water factory in Mionica will start. As of
September 1, Mioni water will appear on the shelves of retail outlets.
To the end of the year four million liters of water will be placed on
the market. Next year no less than 22 million liters will be marketed.
We know our plans are very ambitious but we believe that with the
DMD distribution and cooperation with our retail service this will
be possible.”
At the same time, two new projects are being prepared – coffee and
confections factories. Both production lines are tied to Stara Pazova
where Delta already owns a location. Until the mid-2008, the first
coffee packs and the beginning of the confections production are
expected.
“Yuhor is a pretty well equipped factory with an impressive technological
discipline which make it possible for the factory to meet and
maintain the highest standards” says the vice-president of Delta
Holding. “Yuhor is a good and well-known brand, but still we have
to extend our efforts to develop sub-brands of certain products associated
with the Yuhor name. What is necessary is the profiling, the
definition of the products that this factory production will be based
on. Also, in accordance with the world trends appearing on the Serbian
market in ever larger numbers, we will pay greater attention to
the chicken meat products.”
Along the financial stability characteristic
for the Danubius so far,
Robert Ferko announced an increased
focus on the demands of
the market. Innovations in the area
of durum pasta and the redesigning
of the packaging are examples
of such activities and Robert Ferko
announced new activities in the
area of milling industry, a closer
cooperation with the bakers, manufacture
of semi-finished products
for some other industries as well as
the new health food products.
“Delta has decided to develop food industry brands not only on the
domestic but also on the foreign markets. This means that our products
will not be marketed only in Serbia, but also in Slovenia, Croatia,
Rumania, Bulgaria and Albania. At this moment, we are establishing
the architecture of the whole organization of food processing. Our
plans are very ambitious and cannot be reached exclusively through
organic growth. Because of that, our vision includes business and
technical cooperation on the regional markets, even acquisitions.”
Jugohemija at the Symposium of Pharmacologists
In the middle of June, on Kopaonik, the Association of Pharmacologists of Serbia organized the 49th Symposium
of Pharmacologists.
In addition to the official program, a number of mini-symposia were held. One of the best attended was the
educational and professional gathering organized by Jugohemija. The theme of the gathering, “Is there a
cure for the future?” was addressed by the general director of Jugohemija, Smiljko Mileusnić-Adžić, the director
of Jugohemija-Farmacija, Vladimir Gravara, the director of the Fund for Health Insurance, Svetlana
Vukajlović, and some others.

Delta Generali
INNOVATIONS IN THE RELATIONS WITH THE USERS OF INSURANCE COMPANIES SERVICES IN SERBIA
The first step – the call center of Delta Generali
With the slogan “insured summer holidays”, to the clients who buy a foreign
travel health insurance policy, Delta Generali Insurance company will give
home insurance free of charge.
This unique offer on the home market makes it possible for the citizens, during
their stay abroad, to cover simultaneously, with a single insurance contract,
the costs of emergency medical services, should they need them, as
well as the damages to their households, should they occur during the said
period. Should the clients residence be flooded, insurance could cover up
to 15,000 dinars, theft and robberies could be covered with up to 100,000
dinars, fire 300,000 dinars while the damages resulting from fire and other
dangers to the architectural value of the residence could be covered with the
payment of up to 1.5 million dinars.
For farmers
at the door steps
Delta Generali Insurance has presented to the public the first call center in insurance companies
in Serbia. The center, organized in accordance with the world’s most up-to-date
standards in this area, makes it possible for the clients to get all information about Delta
Generali Insurance and the services it offers with a single phone call, e-mail, SMS, webchat
or fax.
Through the new call center of Delta Generali Insurance the clients can get, faster, the information
they need about the status of their insurance policies, the payment of the damages,
special demands, additional benefits and promotion activities of the company.
Beside the raising of efficiency of managing the relations with the clients, the new call
center makes it possible for Delta Generali Insurance to offer its clients new insurance
products.
The advancement of the communication system ensures faster, simpler and more accessible services for more than 700 thousand clients and
millions of potential users of Delta Generali Insurance.
WITH FOREIGN TRAVEL HEALTH INSURANCE
Home insurance free of charge
IN COOPERATION WITH BANCA INTESA
The cooperation between Banca Intesa and Delta Generali Insurance makes it possible for the farmers to insure quickly and simply their
crops, structures, stocks, cattle and agricultural machinery at their estate and negotiate a favorable loan for the advancement of production,
with no down-payment or deposit.
Delta Generali agro-packages, the new products on the domestic insurance market, cover a group of risks that the registered agricultural
household most frequently buy insurance for, both for the crops and architectural structures, stocks, cattle and agricultural machinery.
Contracts are signed quickly and efficiently with a single insurance policy. Prices are favorable due to a possibility of combining insurance
packages.
5

DELTA AGRAR AT THE INTERNATIONAL AGRICULTURE FAIR
Quality champions
The appearance of Delta Agrar at the International Agriculture Fair gets more and more
attention as time goes by. Nor was the 74th fair an exception. The awards given to Yuhor
and Delta Mechanization are only the tips of the successful appearance of Delta Agrar.
Yuhor won both the cup of absolute quality champion and the newly established “The
Best in Agro-Business” award. In his address following the receipt of the award, the
general director of Yuhor A. D. Dragan Miladinović announced an increase in domestic
production by 30% and a growth of export of 50% by the end of the year.
Delta Mechanization, appearing at the fair for the second time, presented itself at an
exceptionally well equipped counter and almost all of its fair exhibits were sold. Marko
Stojanović, the executive director
of Delta Mechanization,
at the champion dinner,
was presented with the big
champion’s cup for the highest
quality of the machines,
combines and the implements
for storing bulky cattle
food. The quality champion
in the tractor group was
already famous Fendt 936
Vario.
At the Agricultural Fair,
Danubius presented to the
public the innovations it had
implemented recently. The
director, Milorad Sredanović,
presented, among other things, six new durum pasta products manufactured by the
most up-to-date Italian technology and announced a big investment cycle. The Novi
Sad factory introduced the silos
temperature measuring system.
Also, money is invested in respirators
for cleansing the wheat at
the entry into the mill, in the new
modern sieves and the packaging
facility that will make new flour
packaging possible on the market.
The area of Delta Agrohemija at
the Novi Sad fair was visited, in
addition to numerous business
partners, by a significant number
of preparation manufacturers,
that is, primary producers, who offered their complements for the quality of our products.
We could see for ourselves that the activity of our professional service and all the
suggestions we place through the media and by telephone were really followed by a large
number of producers.
Delta Seme, in a joint action with the Pioneer company, organized the visit to the fair
by more than 250 farmers, buyers of Pioneer products, from all over Serbia. In the
record breaking sales season of seed products program numerous business partners
who had visited our joint counter announced an intensification of cooperation and thus
confirmed the fact that our business activities were making us the leaders in the sale of
seed products.
6
Agrobusiness
Danish training for
domestic farms
The project for the renovation of the Delta
Agrar swine breeding farms has been developing
as planned. More than 1,000 first rate
swine breeds have already been delivered
to the Stara Pazova estate together with the
so-called genetic material to be used later for
the production of the breeding and fattening
heads.
In the meantime, a group of agronomists
has passed a complex and serious training
in Denmark. After the stay of a number of
months in the country famous for the most
up-to-date swine breeding, the young profes-
sionals will return to the Delta Agrar farms
and implement the knowledge and experience
they had gained during the training.
The amount of attention given to agricultural
business in Denmark is witnessed by the
photograph of our colleagues with the Danish
Minister of Agriculture.
The first Career Day
for agronomists
Toward the end of July, the Faculty of Agriculture
in Belgrade, for the first time, organized
a Career Day that Delta Agrar took a
part in.
The interest in getting a job with our firm
was great – more than 300 graduates and
absolvents applied for a job with our company.
The Career Day fair made it possible
for Delta Agrar to recruit young agronomists
the best of whom will be given an opportunity
to start their careers in Delta business
system.

CSR (Corporate Social Responsibility)
DELTA HOLDING PROGRAM FOR
ABANDONED CHILDREN
The first employment
for the Fund’s grantees
The Fund for the
Future, the program
for caring about
abandoned children
implemented by
Delta Holding has
produced the first
results: the grantees
have successfully
completed the
school year and, in
the words of their
teachers, the level of
their achievement
has been increased by 30%, both in their school and center activities. The
thirteen grantees who have completed their secondary school will soon get
permanent jobs with the Delta business system, and 21 grantees already
have summer jobs in the Delta’s members – Tempo and Delta DMD.
At the press conference held at SOS – the Delta village in Sremska Kamernica,
the vice-president of Delta Holding, Milka Forcan, spoke about what
the project Fund for the Future implied – a program of professional development
of abandoned children from all over Serbia. Within this program,
Delta Holding takes care of 53 children from the four Belgrade centers and
the centers from Niš and Sremska Kamenica, aged 14 to 18 years.
As part of its regular activities, this summer, too, the grantees of the Fund
will, with the help and cooperation of Telekom Srbija, spend ten days in
Greece where, in addition to the rest, they will participate in educational
workshops, sports and other activities.
A UNIQUE OFFER TO THE EMPLOYEES OF DELTA HOLDING
Without cigarettes for a day
All the employees in the Delta Holding members were recently offered a
possibility to get rid of the damaging vice – smoking, following the unique
and the method known the world over of Allen Karr.
This method was developed in London almost 35 years ago. Ever since, it
has helped more than 10 million people all over the world to give up smoking.
The method consists of a single five-hour therapy session. Allen Karr cooperates
successfully with the world known companies like Tesco, Ikea,
Microsoft, IBM, BMW, Marks&Spencer, ING, Henkel and many others for
more than ten years.
THE TEMPO DRIVE “HELP – FOOD IS LIFE”
Humanitarianism
in action
The Tempo center, together with the humanitarian organization
Banka hrane (Food Bank), organized, toward the end
of June, a drive for the collection of foodstuffs under the title
“Help – food is life!” In Serbia, this drive is organized for the
first time, while in the world, the food banks have been collecting
large amounts of food for years and have distributed
it to those in need and
to the poor.
In this drive, organized
in Tempo in New
Belgrade, the citizens
of Belgrade have
shown their humanitarianism
by buying
for their own needs
and, at the same time,
buying the products to
be given, as presents,
to the abandoned
children. During
the drive lasting five
hours more than 400 kg of food have been collected. Most
often, the consumers bought and gave, as a humanitarian
assistance, flour, rice, sugar, oil and biscuits.
Olympic games of the
children with disability
and special needs
This year, too, Delta Holding supported the organization of
the Children’s Olympic Games of the children with disability
held in the Anton Skala Elementary School in Belgrade.
In these games, held under the slogan “Wait a second you
strange world and listen to what your child is saying to you”
450 children with disability and special needs from Serbia
and Slovenia took part in the games and, for all of them,
Delta Holding prepared presents and sports equipment,
like basketball, football and tennis balls and rackets.
Swimming pools
for children
Delta Holding joined the drive “Swimming pools for children”
initiated by the Radio and Television of Serbia with the
intention of enabling the little children, in particular those
who this year will not be able to go to the seaside, to spend
their summer holidays in the swimming pools of Belgrade.
7

8
New business
Costa Coffee
The signing of a contract between Delta
in Serbia and the region
Sport and a well known British company
The guests of Delta Sport were also Andy Marshall,
the director of international development
and franchise operations in the whole world, and
Judd Williams, the regional director for Europe
who, in a short address, introduced the Costa
Coffee company and its plans for the area of the
Balkans, as well as the Costa brand coffee.
What makes this coffee so special is its particular taste, always the
same and always of the highest quality, said Judd Williams; it is
something that is achieved by extended roasting of the coffee beans,
between 18 and 22 minutes. An important role in the preparation of
espresso coffee is played by a barista who is responsible for all the
factors that might be controlled and which influence a perfect cup of
coffee. Judd Williams, with great pleasure, announced the partnership
with Delta Sport and said that he was looking forward to the first
impressions concerning Costa coffee in Serbia.
Goran Karić announced the spreading of Costa Coffee throughout the
countries of the West Balkans: “Serbia, Macedonia, Albania, Montenegro,
Bosnia and Herzegovina, Croatia and Slovenia will be the
countries where it will be possible to drink the best espresso served
in the global chain of Costa Coffee cafeterias. With Costa Coffee entering
Slovenia, Delta Holding and Delta Sport, this way, too, will be
confirmed as an example of the Serbian company doing business on
the territory of the European Union. Toward the end of July, already,
in Belgrade, we will open the first in a series of Costa Coffee cafeterias,
while by the end of this year nine of these facilities will be opened.”
John Derkach pointed out to the cooperation with Delta Sport. “We
are creating a brand with a potential to become an authentic global
institution, and we are building it by establishing partnership relations
with the best companies on the local markets. We believe Delta
is such a partner; we believe Delta will help us create good business
on this market and make it possible for the consumers to taste the
best coffee. It is not only coffee, but total experience of enjoying coffee,
excellent service and high retail standards.”
Minister Bubalo: “A historic place.”
The Minister of Commerce and Services in the Government of the
Republic of Serbia expressed his pleasure to be present at the moment
of signing yet another good business contract for Serbia, the
contract signed by Delta Sport. “This hall of Delta Holding has become
historical as it was here that the contracts were signed to create
businesses that are functioning successfully now – the contract with
Intesa on the takeover of Delta Banka, the contract with Generali Insurance,
with Unilever and the BMW company, etc. The arrival of
Costa Coffee to the market of Serbia shows that catering has entered
a stage of fast changes and represents an ever more demanding business
process bringing with it an increase of quality of services and, of
necessity, follows the trends in the world.”
Ambassador Wordsworth: "I can hardly wait!“
The British Ambassador Wordsworth is already for the second time
present at the signing of a contract between Delta Holding and the
leading British companies (last time it was the contract with the InterContinental
Group). ““Costa Coffee is one of the leading brands in
Great Britain; they have a network of shops all over Europe and I am
glad they chose Delta as a starting point for their spreading across the
Balkans. I am in particular glad that they have chosen Delta as their
partner as Delta has proved a reliable co-worker and a good friend. I
can hardly wait to drink my first cup of Costa Coffee in Belgrade.”.
After the ceremony of signing the contract those present had an opportunity
to taste the famous Costa coffee and see for themselves its
authenticity and quality.
AT THE SPOT:
COSTA CAFETERIAS IN LONDON
COFFEE MADE WITH LOVE!
On the wall of one of 85 Costa cafeterias in London, on a big poster,
it says: “Coffee made with Amore“. It has been like this ever since
1971 when brothers Costa, processing the magic coffee beans in their
own way, offered London, with a lot of love, the first cup of Italian
espresso.”
Although Costa Coffee is the leader on the market today, in its heart it

Costa Coffee
has remained a small family business that, with equal passion meets
the demands of the customers and makes top quality coffee. The
journalists from Belgrade were given an opportunity to see this for
themselves some time ago when, in the organization of Delta Sport,
they stayed in London and visited several Costa Coffee cafeterias and
a coffee roasting facility.
Their comments were: “Well,
this is real coffee.” And then,
using big, 560 ml coffee cups,
they also tasted other types
of coffee, coffee with milk,
with fresh cream and chocolate,
short or long espresso,
cappuccino. In the cafeterias,
along with coffee, the clients
are offered a rich assortment
of foodstuffs, sandwiches (I
recommend the ones with
chicken and lemon), pastry
(do not miss the almond croissant),
cakes and, a must
really, sweets, the famous muffins with chocolate or blueberry... Excellent
coffee, top quality service and perfectly satisfied customer
– that is Costa Coffee in 19 countries of the world and soon in our
country as well.
Our hosts explain that the high standards can be achieved and maintained
by strictly following the prescribed rules – and there 65 of
those applied to a shop and 15 to the making of coffee. This means,
among other things, that for a good espresso seven grams of coffee
is needed, that the water pressure must be precisely maintained, that
30 ml of coffee extract should flow through the machine taps from
both sides in 20 seconds... All this is regularly checked by a barista
who had completed extensive training and who had first learned that
in order to make the best coffee the four letters M are necessary: Mixture,
Milling, Machine and the Mastery of the barista’s hands.
A visit to Costa roasting facility was a special experience. Gennaro
Pelliccia, the production manager, showed us the process – from
the arrival of coffee to the storeroom to the demonstration of coffee
making. This Italian from Naples who has been engaged in the making
of coffee for 16 years regularly controls and tests the mixtures,
but also cleverly experiments with the new ones. In Great Britain he
is thought of as the leading coffee expert with the highest possible
training in the field.
Coffee reaches the roasting facility from trusted suppliers from Central
and South American states, from Vietnam, African countries...
In a year 3,600 tones of coffee is bought; it is then cleansed with water
or with sunlight and then mixed and roasted. Gennaro explains
that coffee is roasted for a longer time so as not to explode the beans
but also in order to reduce the acidity of the coffee. The whole process
does not exceed 45 minutes. However, the packaged coffee is not distributed
immediately but is left stored for two weeks to enable additional
loss of fat and acids. Because of that, Costa coffee is unique and
is enjoyed by more than two million coffee drinkers at various outlets
– hotels and restaurants, bookstores, department stores, airports, offices
and catering services. The large number of outlets confirms the
fact that Costa Coffee is the most widely spread and accessible real
coffee brand in Great Britain.
HISTORY
BROTHERS STARTED IT ALL
Costa Coffee was established in 1971 by two brothers, Italians, Sergio
and Bruno Costa. When they realized there was the demand
for high quality roasted coffee, the brothers organized wholesale,
selling roasted coffee to suppliers and specialized coffee shops in
Great Britain and surrounding countries.
The experience in roasting and mixing coffee from Parma soon
defined the unique Costa Coffee style of roasting coffee. Using the
traditional Italian barrel roasters, Sergio and Bruno Costa, in the
beginning, produced only smaller quantities of coffee. This was a
special espresso mixture of seven different types of coffee beans.
They roasted coffee beans for a longer time period over lower temperature
to achieve a fuller, less bitter taste.
The special mixture of Mocca Italia espresso and the technique of
slow roasting are still used to produce special and delicate taste of
Costa coffee.
Brothers Costa opened their first coffee shop in London in 1978.
The network continued to spread at the speed of two new shops a
year so that, in 1995, Costa Coffee network consisted of 40 outlets.
In October 1995, Costa Coffee was joined to the Whitbread group
which already contained the famous service and catering brands,
like Beefeater restaurant chain, Brewers Fayre pubs and Premier
Travel Inn hotels.
Today, Costa Coffee is the fastest growing brand in Great Britain.
With its 573 shops in Great Britain and 189 facilities in 19 countries
of the world, Costa Coffee in the last couple of years is going
through a period of exceptionally fast development opening, on
the average, one new shop every four days.
9

IN BELGRADE, NIŠ AND NOVI SAD
Three days of Tempomania
10
A special drive, under the title “Tempo
present day”, was organized in three
Tempo facilities during the month
of June in New Belgrade, Novi Sad
and Niš. Despite high temperatures,
22,000 persons visited the three
Tempo centers in three days.
As part of this big drive, the prices
of 70 most attractive articles were
reduced by 50%, while their rich assortments
contained technical goods
which were quickly sold. Special surprises
were prepared for the consumers;
every one hundredth customer got
his purchase free of charge, and valuable awards were distributed –
home cinema, cell phone, washing machines, refrigerator, camera.
The drive aroused great
interest. The scene of
the opening ceremony
was repeated – people
formed waiting lines in
the three cities already
around 21:00 hours of
the day preceding the
drive. Organization was
perfect. Free of charge
transport was organized
for customers from
the surrounding settlements,
while the Tempo
centers were opened until the last
customer had left the facility, in
the early hours of the day after
the drive.
The sensation and financial effects
of the drive can be seen in
the sales results. In the New Belgrade
Tempo center alone, for the
duration of the drive, 100 tones of
sugar were sold, 50 tones of Sunce
cooking oil, 30 tones of Mlintest
flour, 15 tones of Doncafe Minas
coffee, 11 tones of chicken meat...
DELTA DMD
May, the record month for Nivea
In the month of May Delta DMD achieved
a record sale of Nivea products. A steady
growth of the sales is the result of a
number of years of experience, good
planning and activity of the sales power
of the Nivea sales department. Although
the quality of Nivea products had been
confirmed long ago, the employees of the
Nivea shops educate the consumers every
day and familiarize them with the ingredients
and the quality of the products.
Retail
IN THE LAST THREE MONTHS ALONE
Additional 22 Maxi
supermarkets were opened
Delta retail continually opens new and renovates existing supermarkets
so that the network of Maxi supermarkets and Mini Maxi sales outlets,
in the familiar combination of the red and green colors, increases daily.
In the last three months alone, 13 new Maxi supermarkets and nine
Mini Maxi sales outlets were opened.
Smederevo, Lazarevac, Aranđelovac,
Kikinda, Užice and Čačak received
their first Maxi supermarkets. Five
Maxis and eight Mini Maxis were
opened in Belgrade, while Novi Sad got
its fifth Maxi supermarket.
In Kruševac, within a very short time
period, a Maxi supermarket and a Mini
Maxi sales outlet were opened. At the
beginning of May, a shopping center
Deva, at No. 1 Mirka Tomića Street, was opened. After 10 years, the
citizens of Kruševac got, in the center of the town, a modern business
center covering an area of 3,600 square meters. On the Deva ground
floor there is a Mini Maxi, nine shops and a coffee house. The first
floor of the building is reserved for Tehnomarket with its area of 1,300
square meters.
On the occasion of the opening of these two facilities, the Delta Maxi
company donated five computers each to Economic – Technical School
and the Gymnasium. In cooperation with the town authorities Delta
took part in the regulation of Trg kosovskih junaka and the surrounding
streets.
THE UNION OF THE INDEPENDENT TRADE UNIONS OF BELGRADE
The recognition of
the Maxi trade union
The Union of the Independent Trade Unions of Belgrade presented its
traditional award, Majski cvet (The Flower of May) to the Delta Maxi
Trade Union Organization as the most successful trade union organization
of all economic branches for the previous year. On behalf of the
Trade Union Organization the award was
received by Vedrana Obradović, the president
of the Executive Board.
Thanks to its engagement so far, this
relatively young trade union organization,
established in April 2005, has a membership
of 1,000.
After a series of activities, organized exclusively
with the proprietary, membership
dues funds (comprising solidarity assistance
to the employees, organization of
free of charge excursions, distribution of
free packages containing school bags and
complete school sets, organization of ophthalmologic
examinations, organization of
vacations, purchase of goods to be paid in installments and many other
activities), an ever larger number of employees are interested in becoming
members of this trade union organization.

Retail
COOPERATION BETWEEN JUGOHEMIJA AND DELTA RETAIL
A pharmacy
in a Tempo center
THE SECOND CONFERENCE OF THE PROGRESSIVE MAGAZINE
All about retailing
in Serbia
The representatives of Delta Maxi took part in the Second Conference of the Progressive
Magazine in Vrnjačka Banja, from June 4 to June 6.
More than 220 national and foreign participants attended the presentations of the
leading persons of the national and international consumer goods sectors. The
main themes were retailing in Serbia, trade marketing, logistics and distribution. Particular attention was
drawn by the presentations of Rajko Mandić, the director of category management of Delta Maxi, about consumers’
habits – the trader to the buyer, and by Sanja Jevđenijević, the director of HR Delta Maxi, who spoke
about interim education processes and training.
ARTISTIC PRODUCTION IN MAXI
SupermARTket in Višnjićeva
In the Maxi supermarket in Višnjićeva Street in the center of Belgrade, between 10 and 20 May 2007, a salesexhibition
of contemporary Serbian artistic production was organized - SupermARTket. This unusual drive,
which came into being as a combination of the ideas of Remont, an independent artistic association, Delta
Maxi and Mosaic agency, is an ambitious attempt to have the everyday needs of the citizens meet with those
“other” intellectual needs.
Works of art were exhibited in light boxes usually used to advertise different products which is yet another
way to attempt original communication with the consumers.
The professional jury pronounced the work of Viktor Šekularac the winner, while the largest number of
consumers voted for the work of Žana Poliakov.
Inside the Tempo center in New
Belgrade, in Block 53, a Jugohemija
pharmacy was opened, the first
such in Delta retail facilities.
The pharmacy offers a large
number of medicaments, sanitation
equipment and auxiliary
preparations. On the day of the
opening, the pharmacy was selling,
at promotional prices, multivitamin
preparations, sun-tanning
lotions and top quality SebaMed
medical cosmetics.
Jugohemija pharmacies will be
opened in other facilities of the
Maxi and Tempo chains.
MAXI PRIZE WINNING GAME COMPLETED
Honda Jazz in Zrenjanin
The great Maxi prize winning
game “Keep the receipt and
submit its number” took more
than two months to complete
and, in all this time, Maxi received
more than 400,000
messages. The luckiest was
Darko Vukić, of Zrenjanin,
and the Honda Jazz automobile
went to his address.
11

12
Press clipping

News
AN AGREEMENT BETWEEN DELTA HOLDING AND THE BEST TENNIS PLAYER OF SERBIA
Novak Đoković to promote Aqua Gala
The promoter of the water soon
to appear on the market under
the name of Aqua Gala will be
the best tennis player of Serbia,
Novak Đoković. According to
the agreement signed between
the young tennis player and Delta
Holding at the end of May, Novak
will, in the coming two and
a half years, be the promoter of
the new water.
Milka Forcan, the vice-president,
explains the reasons that had decided
Delta for Novak Đoković:
“Novak is an example of a professional
and ethical behavior and
an excellent role model for the
young people in our country. With his decisions he has proved himself
a great patriot and this is why we have decided to establish cooperation
with the future No. 1 tennis player in the world.“
LECTURES IN THE REPUBLIC OF SRPSKA AND IN NOVI SAD
The vice-president of Delta Holding, Milka
Forcan, delivered a lecture about “Social responsibility
of large companies” at the PROAC-
TIVE 2007 conference held in the Republic of
Srpska, on Kozara.
Reminding those present that Delta Holding
was one of the first in our country that had recognized
the Corporate Social Responsibility
(CSR) as a new business practice, Milka Forcan
emphasized the importance attributed to
this type of business philosophy. It was agreed
that CSR today was receiving ever larger importance
as a measure of differentiation and
responsibility inside a social community.
“I am greatly honored and pleased because of my future cooperation
with the largest Serbian company. I will do my best to promote Aqua
Gala” said Novak Đoković.
The production and bottling of the Aqua Gala Mioni water will be
opened toward the end of August. It will cover an area of 7,000
square meters and will be equipped with the most up-to-date German
bottling equipment. The production lines of the water factory
have a capacity of 12,000 b/h in the PET containers and 6,000 b/h in
non-returnable glass containers. Investment in the bottling factory
amounts to 17 million euros, and the objective is the winning of the
leading position on the home market in the area of water bottling and
distribution.
Water will be bottled in the following types of containers: 0.25 and
0.75 liters in glass bottles and 0.5 and 1.5 liters of PET bottles. Special
PET containers with a sporting cap and the suitable volume of 0.75
liters is intended for active persons and sportsmen.
Toward the beginning of the next year, the Mioni water factory will
begin the production of carbonated and non-carbonated fruit juices.
Social responsibility of large companies
THE GUESTS OF TEMPO CENTER
A visit by the Austrian delegation
In May, in Belgrade, the trade department of the Austrian embassy organized an exhibition of Austrian
food industry. On the occasion, a delegation of Austrian businessmen, headed by the Minister of Agriculture
of the Government of Austria, Joseph Proll, visited, on May 24, the Tempo center in New Belgrade.
The members of the delegation arrived with the goal of becoming familiar with the market of Serbia and
they departed full of experience. They were pleasantly surprised with the high quality of the goods and
the modern organization of the Tempo center.
At the public gathering entitled “Be our
guests” held at the Novi Sad SPENS, Milka
Forcan delivered a lecture entitled “Socially
responsible business activities – new business
principle”.
To the numerous visitors in the Novi Sad
SPENS amphitheater, Milka Forcan presented,
among other things, the latest experiences
of the world’s companies in whose
business activities CSR had received an ever
more important place and an ever more significant
measure of their success.
13

14
A HUMANITARIAN SPECTACLE WITH THE SUPPORT OF DELTA SPORT
The farewell match of
Siniša Mihajlović
At the farewell charity match held on 28 May
in Novi Sad, in front of some 10,000 fans, the
legendary football player, Siniša Mihajlović, said
good-by to football.
In a nostalgic atmosphere a match was played
between Siniša, his friends, the club and Inter,
the club he had played for in the last two seasons,
and begun his coach career. The team of the
BUSINESS PARTNER 2007 DRIVE
Grand Prix for Delta Holding
As part of the traditional “Business Partner”
drive, Delta Holding was given the special
Grand Prix award entitled “Best Partner
2007“. This title is awarded only to a single
company elected, by secret ballot, by all the
laureates of the “Business Partner” drive held
this year.
This year, Delta Holding was also given a
“Business Partner Plus” award as a company
with the highest degree of social responsibility
and care of the local community.
TOURNAMENT EIGHT
Football players first again
The little football team of
Delta M won another match
at the traditional Tournament
8. Of the eight tournaments
held so far, our team
was first five times.
The event had a humanitarian
character and the special
guests of out team were the
children of the Fund for the
Future.
The Delta M football players defended the title of the best team in the
second competition as well, the Jelen pivo Foorball Cup, held at the international
level this year. Our team, as the defender of the trophy, won
the final match in Niš, and then beat the best team from Banjaluka.
Honours
Milan’s Inter won the team composed of Siniša’s
friends among whom were Dragan Stojković Piksi,
Predrag Mijatović, Vlade Divac, Simone Inzagi
and many other famous sportsmen.
Delta Sport as a company that always sides with the
best was the general and technical sponsor of the
spectacle. All the receipts of the charity game were
to the Children’s village in Sremska Kamenica.
The “Business Partner” drive organized for the
13th time is intended to promote companies
and institutions which, in their business activities,
are driven by high professional standards
and firm moral norms. One of the bearers
of the “Business Partner 2007” award is Delta
Maxi.
On behalf of the Delata companies the awards
were received by Mila Zavođa, the public relations
officer of Delta Maxi and Bojana Ristić,
CSR Manager.
AT THE WORKERS SPORTS GAMES IN ČANJ
The triumph of
Delta Maxi
The 26th workers’ sports games were organized by the Belgrade
town council independent trade unions in Čanj. The Delta Maxi
trade union organization chose a team of 20 participants who
competed in a number of sports events: little football, shooting
threes, beach volleyball, cross country race, darts, rope pulling,
plates throwing.
Enviable successes were achieved in all the sports. However, the
most important one is the first place won by the little football team.
The placement of the Delta Maxi team is ever more important as it
was their first participation in the games.

Events
DELTA GENERALI OFFICIAL INSURANCE OF
THE GREATEST FETIVAL HELD THIS YEAR
Always for Exit
Bazaar’s dragons
Delta Generali Insurance
was the official
insurance company of
all EXIT projects held
this year: EXIT 007
festival, Film festival of
Serbia, Green Fest - Red
Hot Chili Peppers and
Beck’sperience - The
Chemical Brothers.
The scope and the quality
of this cooperation
can bee seen in the high technical and production level as well as the
total number of visitors – more than 300,000.
At the Petrovaradin Fortress, Delta Generali Insurance, during the
EXIT festival, organized the KARAOKE STAGE. Hundreds of the
young people from Serbia and foreign countries presented their musical
and dancing abilities. Of particular interest was the competition
of accredited journalists held at the last day of the festival.
The Trade center Sad Novi Bazaar, as part of the Zmaj Children’s
Games, from 5 to 10 June in Novi Sad, organized a drive entitled “Be a
Bazaar dragon”. For each and every drawing brought to the trade center
the children received as a present a dappled dragon. All the drawings
were shown at
the big exhibition
in the Trade Center
Sad Novi Bazaar on
the last day of the
manifestation and
the dragons took
off from the Liberty
Square followed by
the enthusiasm of
the children.
Mexx styling
The semi-finals of the
Elite Model Look 2007
Serbia, held in mid-June
in the Colonial Sun club,
this year Mexx was engaged
for the styling of
the girls of the Elite Model
Look competition.
The finals will be held toward
the middle of September.
DELTA MOTORS ORGANIZED TEST DRIVE
Roadshow 2007
BMW AG and Delta Motors, the exclusive importer
and distributor of BMW vehicles for the Republic of
Serbia and for Montenegro organized at the beginning
of June on the plateau in front of the Košutnjak
swimming pool the presentation of their models from the series 1,
3 and 5 for their business partners and the representatives of the
media. The objective of this manifestation was the presentation of
the capabilities of these automobiles.
The test drive program consisted of three parts. The first part of
the program consisted of a panoramic drive along the circle road
in Košutnjak.
The second part was
carried out under the
supervision of professional
BMW instructors.
In a slalom drive
on the specially deigned
polygon, the driving capabilities
of the vehicles
were tested – the ease of
handling, road hugging,
safe breaking.
The third part was used
to introduce the BMW
four wheel drive known
as xDrive.
All those who have successfully completed the test drive received a
certificate of the completed BMW World Fascination show.
THE NEW SINGLE OF VLADO GEORGIJEV
Promotion in Maxi
Vlado Georgiev was signing
his new single in the Maxi
supermarket in Makedonska
Street on Friday, July 13.
The unusual promotion in an
everyday supermarket ambience
was a pleasant surprise
for all the consumers in the
Maxi supermarket that afternoon.
The fans who had
formed a line in the early
morning hours were patiently
waiting for their CD to be
signed. In an exceptionally
good mood Vlado Georgijev
signed his autograph, spoke
with the buyers, let himself
be photographed with the fans
and distributed posters.
15

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