PUBLIC ANNOUNCEMENT

In the morning news on Kalman radio, unverified statements have been made concerning the condition of Hotel “Maršal” Bjelašnica, including the information that the Minister Muharem Šabić did not want to speak with the workers of the Hotel, and the information that the workers are currently leaving the Hotel.

Concerning this, we publish the following public announcement:

The Director of Hotel “Maršal” Bjelašnica”, after acquiring the necessary conditions for retirement, submitted a request for his termination of office because of retirement. On 28.01.2016 Minister of Economy of Canton Sarajevo brought about a Decision on the termination of office for the Director of Hotel Maršal “Bjelašnica”.

Because of the difficult condition in aforementioned enterprise, at the same time, Minister brought about a Decision on the introduction of contemporary measures for the sanation of the Hotel and on appointing a new temporary administrator.

The temporary administrator hired an audit firm that did business auditing for the period of 01.01. - 31.12.2015.

Among other things, the audit firm diagnosed an accumulated loss in the amount of 1,232,535.00 BAM, short term indebtedness of the enterprise in the amount of 1,389,910.00 BAM, of which 41,145.00 of short term financial indebtedness, business indebtedness in the amount of 561.058,00 BAM, indebtedness concerning salaries of the employees in the ammount of 681,258.00 BAM, other indebtedness in the amount of 34,321.00 BAM, VAT indebtedness of 1,661.00 BAM, other tax indebtedness 69,360.00 and finally income tax indebtedness of 1,107.00 BAM.

The Ministry regularly informed the Government of Canton Sarajevo on the condition of Hotel “Maršal” and it tried to find solutions for the hotel's condititon. The Ministry has ordered a study on economic justification of the merger of the Hotel “Maršal” with KJP “ZOI'84” OCS d.o.o. Sarajevo and informed the Government about the results of the study. The merger initiative wasn't adopted.

Moreover, in the Canton Sarajevo Budget for the years 2016 and 2017, a certain amount of funds has been planed for the sanation of Hotel “Maršal”. The funds have been partially implemented, and the rest of the funds can not be allocated because the account has been blocked. Because of the determined irregularities and because of the responsibilities of certain employees who's employment has been linked with nepotism, these employees are trying to misinform the public.

The Ministry informed the Team for anti-corruption of the Government of Canton Sarajevo which received all the documentation for further action, which, among other includes raising a lawsuit at the competent court. The temporary administrator regularly informs us on the condition of Hotel “Maršal”, and by the most current information, their account has been blocked by the Tax Adminisration in the amount of 455,000.00 BAM.

We are looking for alternatives for prolonging the payment of indebtedness and unblocking of the account. A memo-plea for postponement of payment for a 5 year period starting from 01.12.2017 has already been sent. We sent all the necessary documentation to the Tax administration and are now waiting for an answer. Moreover, Municipality of Trnovo blocked the use of building land because of debt in the amount of approximately 29,000.00 BAM for the period od 2012-2014.

Energopetrol d.d. submitted a warning because of debt from the year 1999 in the ammount of 144,328.54 BAM. Debt to the Bramac krovni sistemi d.o.o. Sarajevo ammounts to 25,000.00 BAM, Sarajevogas d.o.o. Sarajevo 54,813.25 BAM, KJKP Vodovod i kanalizacija approximately 10,500.00 BAM, Elektrodistribucija Sarajevo 1,600.00 BAM.

It is evident that the current condition is very difficult, and because of it, we are negotiating with the Federal Government concerning previous investments in the reconstruction the Hotel in order to finally solve the status of this enterprise. The intention is to sell this object.