BCC Paper No. 48

Didzioji 5, LT- 01128

British Business & Trade in Lithuania

issue No. 48

Daiva Žumbakienė

Aelita Skaržauskienė

Bob Honiball

Charles Cormack

Approaches to Business and Tax: Current “Hot Topics” in the Lithuanian Business Environment

British and Lithuanian partnership in Higher Education

Brits in Lithuania

UK companies increasingly focusing on Lithuania

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Lloyd‘s establishes in Lithuania Mention insurance and the name Lloyd’s will come into the minds of most British business people. In 1688 Edward Lloyd's coffee house became recognised as the place for obtaining marine insurance and this is where the Lloyd’s that we know today began. 325 years later Lloyds is in Lithuania. Lloyd’s underwriters obtained authorisation to transact business in Lithuania on an establishment basis in January 2013. Tomas Kontautas, Lloyd’s General Representative for Lithuania, has kindly agreed to talk about insurance market in Lithuania and first steps of Lloyd‘s activities in the Lithuanian market: It is said, ‘Lloyd’s is not a company it is a market’. Could you explain how this works?

Although 325 years have passed, the model is essentially the same. Imagine Edward’s Lloyd coffee shop in Tower Street in 1688. A ship owner drinks coffee with three wealthy individuals who promise to pay the value of the ship in case she sinks on the way to India. Each wealthy individual accepts certain portion of risk (say 45%, 25% and 30%) and they all issue written confirmation of such promise – insurance policy to the ship owner. Ship owner did not find these gentlemen himself – he was introduced to them by the intermediary – insurance broker, who was socially well connected and knew in person many ship-owners whose ships go to India and many wealthy individuals who would like to insure ship owners or merchants.

Nowadays at Lloyd’s individuals or companies ("members“) pool their financial resources into the syndicates. There are 91 syndicate in the Lloyd’s market. Syndicates are managed by specialist entities – “managing agents” which are responsible for underwriting and paying the insurance indemnities. Currently there are 56 managing agents; sometimes one managing agent manages more than one syndicate. Underwriters employed by managing agents are approached by Lloyd’s brokers who bring the risk into the market. The risk in most cases is placed with several syndicates.

In addition to the traditional marine insurance risks, the Lloyd’s market also specialises also in casualty (or liability), property, energy, motor insurance and reinsurance business. Due to its unique structure Lloyd’s has a chain of security (assets) amounting to appr. 57 billion GBP and is capable in accepting huge and highly specialist risks.

Tomas Kontautas, Lloyd’s General Representative for Lithuania

continued on page 6 >

Considering business development and expansion? Consider Lithuania, since EU structural support will be available for foreign investment

profitable direct foreign investments and the opportunity to expand businesses in promising EU member states.

Radvilė Kymantaitė, Project Manager at PERITUS

Have you recently considered investing or launching new projects, requiring significant investment? Well, in that case it may be just the right time for you and your company to plan this expansion.

The definition of the right timing relates to the transitional period of European Union structural funding – the earlier financial period of 2007–2013 is over, giving the green light for the financial period of 2014–2020 investment to begin. Unsurprisingly,the advanced British entrepreneurial community (being among the top five biggest EU budget contributors) is looking for

During the EU structural funding period of 2007 – 2013, the direct foreign investment from Great Britain in Lithuania increased by almost €70 million and in 2013 accounted for more than €218 million. Over this period some of the ‘giant’ British companies (e.g. Barclays, Callcredit, Lloyd’s, etc.) successfully invested in Lithuania and are now expanding their investments, boosting the total amount of direct foreign investment.

The allocation of EU structural funds 2014 – 2020 for the two countries in question will be €6.8 billion for Lithuania and €11.8 billion for the UK respectively (excluding Rural Development and European Maritime and Fisheries funds). continued on page 7 >

Euromonitor International in Vilnius – expansion accompanied by hard work and excellence

Marius Dundulis, Director of Centre for Analytics Modelling and Innovation at Euromonitor International

Established in 1972, Euromonitor International is the world leader in strategy market research offering statistical databases, industry and company reports as well as Ad-hoc projects. It is headquartered in London and has offices in Chicago, Singapore, Shanghai, Santiago, Dubai, Cape Town, Tokyo, Sydney, Bangalore, São Paulo and Vilnius.

Euromonitor International‘s Vilnius office was opened in 2005. The headquarters in London were looking to expand to the Eastern Europe and talked to Marius Dundulis, then Head of Market Research Department, who was at that time

the only employee from this region in London office. Marius’s advice was of course “why not Lithuania?”, the country with excellent university education level, a variety of languages spoken, which could become an excellent analysts centre as well as an excellent start up location for company product sales to the Russian and Polish markets. After a number of visits and more detailed research relating the potential in Lithuania, the decision was made to set up and Euromonitor International-Eastern Europe regional office in Vilnius was opened on the 4th of July 2005. Marius Dundulis came back to Lithuania to run the company. Today Euromonitor International-Eastern Europe is employing 150 professionals of 17 different nationalities. We are extremely grateful to Marius for finding time in his busy agenda to talk to us about Euromonitor International and his personal story behind this. continued on page 7>

BCC paper issue No 48

BCC paper issue No 48

2 Members’ Discount Scheme Updates

The Case for Optimism / Reasons to be Cheerful Chris Butler, Chairman of the Board, BCC Lithuania

As a member of the British Chamber of Commerce and BCC Membership Card holder you can benefit from the following discounts and special offers: Northway Medical Centre – 20% discount for all medical consultations NEW!

AVIS rent a car– 25 % discount for short-term rentals within Lithuania and the Baltic states; special quotes for outbound and chauffeur drive rentals; tailor-made full leasing and fleet management offers; corporate Charge and Avis Preferred cards. Please note that these discounts are only valid when making direct orders through the AVIS Lithuania office. Ąžuolyno klinika, a private hospital- 15% discount for medical consultations Baltic American Medical & Surgical Clinic -10% discount for all medical consultations Baltic Surveys -10% discount for market research services in the Baltic states Best Western Hotel Vilnius & Best Western Central - 10 % discount from the best available rate for accommodation and 10 % discount from the A la Carte Menu.

Biuro Pasaulis - 22% discount for stationery Bunnahabhain– 20 % discount for Bunnahabhain; 10 % discount for other products.

Discount is valid in all Mineraliai Vandenys stores.

Calenberg- 15 % discount for local and international moving, relocation and transportation services for private and corporate accounts Cormack Consultancy Group: 15% discount for market research, export strategy, partner search services in the Baltics, Russia, Romania, India, Italy and the UK Delta Management Solutions - FREE Recruitment; FREE Replacement; ZERO Admin Fee for 1st Month (Waived) for Temporary Staffing Services.

Finreda – 10 % for corporate, accounting, audit organisation, legal, financial, tax and business consulting, and translation services Hotel Vanagupe & Amber SPA ( UAB Eskom) – 20 % discount of rack rates for accommodation in the hotel; 10% discount on food and beverages in the hotel restaurant, terrace and bar; 10% discount for SPA procedures ISM - 5 % for the open-programs (seminars, academies, long-term trainings)

JURIDICON Law firm - 20% discount for services, no hourly fee.

Kernaves Bajoryne, Conference and Leisure Centre - Free use of the outdoor tennis court facilities, 10% discount on guest houses for double rooms and separate wooden houses, 10% discount on events and 10% discount on saunas.

Le Meridien Vilnius Hotel -20% discount for "Green fee" at the V Golf Club; 10% discount for one time entrance to the Health Club + SPA Oasis; 15% discount for 3, 6 and 12 month Health Club + SPA Oasis memberships; 20% discount for combined Golf + Health Club + Spa "Oasis" Membership. 15% discount in restaurant "Le Paysage"; 10% discount from the best available rates of accommodation.

London International School of Languages - 15% for all our services and an initial promotional class or consultation for free Motieka & Audzevičius, Law firm – free of charge first consultation for BCC members

I read an article recently by a Lithuanian journalist Romas Sadauskas-Kvietkevičius which was utterly un-Lithuanian (indeed, un-British as well) in terms of optimism. In short Sadauskas wrote that there has never been a better time to be Lithuanian, in terms of the economic, political and security conditions in the country and that the outlook for the future is brighter and brighter.

Wow. This is not at all what we are taught to expect. How is it possible to be optimistic about the economy given the continuing levels of emigration from Lithuania which, combined with low birth rates, give serious cause for concern about future economic growth?

How is it possible to be optimistic about politics at a time when three of the four parties making up the parliamentary majority are either single-issue or single-leader parties? Amongst the politicians Lithuanians have recently elected to the European Parliament are Viktor Uspaskich (convicted of false accounting), Rolandas Paksas (impeached president) and Valdemar Tomasevski (who has openly worn a symbol associated with support for the Russian invasion of Ukraine).

And surely it is positively insane to be optimistic about security at a time when the invasion of Ukraine has highlighted in such stark colours the risk that the Baltic States face from Russia?

Maybe it is. Yet overall I rather tend to agree with Sadauskas-Kvietkevicius’ counter-intuitive thesis, and here is why.

On a whole range of measures the Lithuanian economy is doing better than it has ever done,

including the period immediately before the financial crisis. For example, there was recently an analysis done on the percentage by which countries within the countries that joined the EU in 2004 have increased their GDP per capita during that time. Lithuania came out on top with 55% despite the savage recession of 2009 – 2010.

In politics, despite the election of the individuals mentioned above, the recent European elections actually seem to have shown that a significant majority of voters supported “ideological” parties (liberals, conservatives, social democrats) rather than single-issue / single-person political forces.

Does it mean that overall the electorate is maturing and voting for ideas rather than political “messiahs”? Does it mean that a new generation of children born after 1990 is starting to make itself felt? It is just possible, and if is happening then it is very welcome indeed.

Even the invasion of Ukraine, whilst in no sense making Lithuania safer, does at least remind the people of Lithuania and their political leaders that freedom and independence are not a God-given right. They have to be fought for and protected.

For far too long Lithuania and her NATO allies have taken a relatively sanguine view of Russia as a somewhat badly behaved “partner”. Now, as a result of Russia’s actions it has become politically acceptable for Lithuania to increase its defence budget and for NATO to begin properly planning and executing the defence of its Baltic state members. Both of these things are long overdue.

So let us head into the short but lovely Lithuanian summer with hope that not only the weather will be good but that also, the situation in the country is pretty rosy too.

ODONTIKA, Dental surgery - 15% off all treatment & 5% off prosthetic work Publicum - 10% for all services and free of charge first consultation!

Peritus sprendimai – first consultation free off charge Quantum Capital - 10% discount for all services and free of charge first consultation Radisson BLU Astorija Hotel – 10% discount for official accommodation rates Radisson BLU Hotel Lietuva- 10 % discount on food and non-alcoholic drinks in the Riverside restaurant, Lobby Bar and Skybar; Special accommodation offers at Radisson BLU Hotel Lietuva, as well as CARLSON REZIDOR Hotel Group worldwide.

Regus - 15% discount on all products Shakespeare Boutique Hotel - 20 % discount for Shakespeare Hotel accommodation; - 15 % discount on all regular priced menu items in Sonnets Restaurant and The Globe Bar. VARUL, Law firm - free of charge first consultation; 10 % discount for all services Vinkleris and partners, Law firm - 25% discount for the services, no hourly charge, special priority while providing service.

When contacting the companies, please indicate that you are a BCC member, provide your company name and BCC Membership Card number. For more detailed information about special offers & discounts please visit our website www.bccl.lt.

The BCC Paper is the official quarterly publication of the British Chamber of Commerce in Lithuania, covering a wide variety of subjects related to promoting and encouraging bilateral business relations between the UK and Lithuania. The BCC paper also provides an outlet for the chamber and its members to publish their latest news and offer their professional views on current political, economic, European and cultural topics. The paper is widely circulated: available from Lithuania’s two main airports, business centres, hotels and the UK and Lithuanian embassies, in addition to being sent to all BCC members and business contacts, meaning it offers premium advertising space to companies wishing to engage with the Lithuanian business community.

Next publication date: September-October 2014

Tyne to look at the North East?

As an international trade adviser working for UK Trade and Investment here in the North East for the last four years, I’m normally encouraging companies to think about the opportunities overseas, so when Sandra Kundrote, asked me to write this article, I was obviously thrilled but had to take a moment to think about what you might like to know about this beautiful area of the United Kingdom.

With excellent transport links, Leeds and Manchester within a couple of hours South and Edinburgh less than two hours North, the North East is fast becoming an exciting choice for those looking outside of London. The North East is also the only UK region with a positive balance of trade where we export from the region more than we import into the region Having made my first visit to Lithuania three years ago, returning last year and planning to come back in September this year, there are many similarities between the North East and Lithuania.

We aren’t as advanced as you yet in terms of digital connectivity but we will be soon, as councils have invested significant funds into offering superfast broadband – this is aimed to be completed by 2015.

We also have access to three major ports, and the East Coast train line means you can get to London in just three hours. Since 1995, North Tyneside (the local area I live in), has been twinned with Klaipeda.

If we look at sector strengths this is another area I can see commonality. We have one of the most vibrant creative clusters outside of London, with creative hubs on both Tyneside and Teesside together with lots of networking events and collaboration. Businesses include, Enigma Interactive, Hedgehog Labs, Gospelware and Eutechnyx.

Life Sciences and Healthcare, Newcastle is one of only six designated UK science cities, with key strengths in ageing, biomedical and clinical trials.

We have some fantastic hospitals too. Home of some leading companies including SCM Pharma and Procter & Gamble. We also have a number of emerging life science and healthcare spin out companies from our five thriving universities here in the North East.

From a manufacturing and engineering angle, we’ve been the home of some amazing inventions including Stephenson’s Locomotive and have companies such as Komatsu and Nissan.

From a social point of view we have some amazing theatres including the Theatre Royal and the Sunderland Empire, as well as a thriving nightlife with bars and restaurants including Jamie’s Kitchen, and Marco Pierre White Steakhouse, Bar

BCC paper team: Editor in Chief – Chris Butler Editorial support: Helene Ryding, Alistair Day-Stirrat, Sandra Kundrotė Members section - Jurga Prakapaitė, advertising – Sandra Kundrotė, e-mail: Sandra@bccl.lt , tel. +370 5 2690062 Proofreading – Shaun Harvey Layout - Tautmilė Stanevičiūtė Advert sizes and prices Prices Size

Size mm

BCC Member rate

BCC Non member rate

Back page 1000 cm²

273x366

1250 LTL

363 €

1560 LTL

453 €

Full page right 1000 cm²

273x366

1125 LTL

326 €

1400 LTL

405 €

Full page left 1000 cm²

273x366

1000 LTL

300 €

1250 LTL

363 €

½ page 129 cm²

133x368

700 LTL

210 €

850 LTL

256 €

½ page 129 cm²

273x183

700 LTL

210 €

850 LTL

256 €

1/3 page 326 cm²

273x119

420 LTL

130 €

600 LTL

180 €

1/3 page 326 cm²

133x245

420 LTL

130 €

600 LTL

180 €

Small 129 cm²

273x47

200 LTL

65 €

300 LTL

95 €

Small 129 cm²

133x97

200 LTL

65 €

300 LTL

95 €

Small 129 cm²

63x200

200 LTL

65 €

300 LTL

95 €

For further information or to book your ad space, please contact the chamber: Tel. +370 (5) 269 00 62/84, e-mail: Sandra@bccl.lt

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British Business & Trade in Lithuania

From the Chairman

Newcastle Quayside

BCC member Marine-Forensics Ltd: “Business in Lithuania is built on trust”

Marine-Forensics Ltd was established in early 2013 in Newcastle upon Tyne by two former Senior Police Officers Phil Butler and Iain Logue who had a strong background in forensic investigations particularly Fraud, Money Laundering and other areas of serious and organised crime, particularly relating to the tracing and seizing of assets.

Lissa Balmer, International Trade Adviser at UK Trade & Investment North East

“The people in North East, just like in Lithuania, are friendly, really approachable and always more than happy to help so if you’re looking for a new destination to visit in the UK or simply just want to venture further north than London I’d encourage you to think about coming up to the North East.” & Grill Newcastle. Art galleries such as the Baltic and the Laing, and museums including The Great North Museum Hancock, Bowes Museum, Science Museum and Centre for Life.

We also have some outstanding areas of natural beauty, including an impressive coastline and blue flag beaches, such as Tynemouth. We have places of interest including National Trust properties, castles & gardens, and Hadrians Wall. For those of you who are Harry Potter fans, some scenes were filmed here at Alnwick Castle and Durham Cathedral.

From a sporting point of view we have three premier league football teams, Newcastle United, Sunderland AFC and Middlesbrough. For rugby fans, we are home to Newcastle Falcons and also we have our own basketball team, Newcastle Eagles which I know is a sport that Lithuanians are fond of. In addition we have some amazing horse racing tracks including Newcastle and Sedgefield.

The people here, just like in Lithuania, are friendly, really approachable and always more than happy to help so if you’re looking for a new destination to visit in the UK or simply just want to venture further north than London I’d encourage you to think about coming up to the North East.

Feel free to get in touch if you do decide to come over and want to know more and I’ll do my best to give you some more hints and tips.

Managing Director Phil Butler is currently a member of a 30 strong group of experts worldwide, appointed by the United Nations to tackle serious fraud.

Many people ask us how we became involved in the Marine Industry and also Lithuania. Basically due to our area of expertise we were encouraged by a leading firm of Marine Lawyers in Newcastle upon Tyne, Campbell Johnson Clark to ply our investigative skills in the Marine Industry. Since then Marine-Forensics Ltd have carried out a diverse range enquiries on behalf of Marine Lawyers, Insurance Companies, Ship Owners, which helped to establish our business in the Industry.

Like every new business we needed to expand into new areas, which could provide opportunities for growth.

Through our association with United Kingdom Trade & Investment (UKTI) we were provided with an International Trade Advisor, Lissa Balmer, who promoted Lithuania to us as a vibrant and growing economy, which could provide us with opportunities for our expansion into new markets. At first we were to say the least skeptical, purely based upon our preconceived ideas and impressions of life in Eastern Europe.

However, as we gave this more thought it became apparent that our UKTI advisor Lissa Balmer might be on to something, especially when you consider Lithuania’s geographical position on the Baltic and secondly the synergy that runs through those emerging economies in neighbouring countries Latvia, Estonia and Poland.

The British Embassy in Vilnius was our first port of call to meet and be briefed by the British Ambassador Mr David Hunt who promised his support and that of the Embassy Staff then and in the future. This was the start of a most fascinating journey of learning and absorption of both the culture and opportunities, which exist for British Businesses in Lithuania.

Firstly let me say, clear your mind of any preconception you may have of Lithuania and other Eastern European countries. We found the vibrancy of the city and the energy of the people almost palpable, with clear evidence of the prosperity of a growing and stable economy, extremely proud of their Presidency of the European Union.

Secondly and importantly English is widely spoken, especially within the business and service industries.

Iain Logue

Phil Butler

Important to any business expanding into new markets is the lifestyle for those who may be domiciled in a new country. Our experiences are mainly in the business areas of both Vilnius and Klaipeda and can give assurances with regards to both the quality and quantity of hotels, restaurants and retail outlets many of which, would not be out of place in any of Europe’s leading Capital City’s.

Having been seriously impressed with Lithuania, its people, the economy and the obvious business opportunities, which existed for us, we made a decision to open an office in the capital city to exploit these new markets. With the help of BCC Lithuania we established an office in the business sector of Vilnius, and have been encouraged by the amount of work we have received since doing so.

Our experience has shown that business in Lithuania is built on trust and relationships; it can take a short time to break into service provision markets and sustain a steady flow of work. Regular visits to the office in Vilnius have proved excellent in developing these relationships and providing confidence to our clients that we are in it for the long haul.

“It cannot be all good surely?” is a question I would assume to hear! To start with the transport system in Lithuania is on the whole good and the road infrastructure is good / excellent. However the air transport in and out of Lithuania from the UK is in our opinion poor, especially during the winter months, when it is difficult to secure flights other than out of Luton Airport.

When travelling from northern towns and cities this can be a major drawback with regards to flexibility of travel especially when needing to react quickly to client needs or expectations.

As a vibrant emerging country with a strong and growing economy, access by air to foreign business is essential to both sustaining and further developing this growth.

Our experience in Lithuania as a relatively new and expanding business to date has been one of real pleasure both from a business and private perspective. The people of Lithuania will give you a very warm welcome; you can also be assured of excellent support from UKTI and BCC in establishing your business.

Su padėka mūsų Lietuvos draugams!

BCC paper issue No 48

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BCC paper issue No 48

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British Business & Trade in Lithuania

British Business & Trade in Lithuania

APPROACHES TO BUSINESS AND TAX: CURRENT ‘HOT TOPICS’ IN THE LITHUANIAN BUSINESS ENVIRONMENT

British and Lithuanian partnership in Higher Education

Daiva Žumbakienė, Director-Auditor, UAB Raimda auditas A member of ACCA (Association of Chartered of Certified Accountants) Graduate Oxford Brookes University

These days, more and more EU citizens set up businesses in different countries. In general the legislation for businesses is based on EU Directives, but each country is allowed to transpose the Directive into its own laws, which take into account both the history of its own legislation, and its own ways of managing business. Rules in another country which are different to what one is used to, are often called bureaucratic, whereas they may simply just frame a different approach.

On the other hand, existing rules may make less sense when compared with different or simply more modern approaches adopted in other countries more recently.

Some people consider that to develop business in Lithuania is simple and easy, to others it seems that business in Lithuania is difficult to develop because of bureaucracy. As an example, to establish a company in Lithuania takes one day whereas to close a company in Lithuania is quite complicated. One side concludes that the Lithuanian tax system is quite favourable to business environment, but the other states that the tax system is unfavourable.

In this article I would like to address some issues in the Lithuanian business environment, where things could be improved, giving concrete examples, including some points that are ‘hot topics’ today. First I will cover some general problems for business, often relating to problems small businesses have in complying with complex regulations.

REQUIREMENTS OF SAFETY AT WORK It is an obligation in Lithuania for the Director of a Limited Company to have all the appropriate certificates for work safety. There are no exemptions for EU citizens who do not understand Lithuanian. The person must take appropriate courses in Lithuanian and also take exams in Lithuanian language. I suppose that the requirements for safety in Lithuania could be considered excessive, though this is a common complaint in the UK as well, though perhaps for different reasons.

Companies must record in appropriate journals and registers which takes a lot of time in order to record it correctly. The State labour inspectorate looks carefully at the ‘letter ‘of law. Otherwise nobody looks at the essence – is it worthwhile for the business economically? Sometimes it seems that these requirements are only for employees of official institutions to have work i.e. to check organisations also heard a lot in the UK. I have not heard in UK or any other EU country that requirements for the small company should be the same as for large factory.

ELECTRONIC SIGNATURE Almost all important documents can now be provided with the device – electronic signature.

Unfortunately only persons who have a Lithuanian personal identification number can acquire this small device. Foreign citizens (without registration in Lithuania) have no possibility to receive it at the moment. I hope that in the near future IT (information technology) specialists will help to solve this problem for the State Registration Centre for Enterprises.

OFFICE OF THE CHIEF ARCHIVIST OF LITHUANIA that the real purpose (if any) of this regulation needs to be made clearer.

According to the regulations of this institution, Now we will move on to the Lithuanian social security system and tax system and compare it with companies have strict obligations to keep a lot that of the UK. of different types of documents for many years.

The list of documentation is very long: business SOCIAL SECURITY PAYMENTS trip documentation, orders, protocols (minutes), The Regulation EB 883/2004 On the coordination of social security systems has been valid since last strategic plans, statistical reports, declarations autumn in Lithuania. The essence of this document is that a citizen of the EU who has been employed in etc. E.g. the company must keep labour contracts several countries is applicable for social security only in one country. In other words, a person’s social for 50 years, after the contract period is finished. security payments should be paid in one country. This is quite a new document and not everybody Some type of documents must be kept forever, al- knows that it could unburden some companies with regard to social security payments if an EU citizen though it is not clear how long the printing ink or is employed in Lithuania. The first table compares the social security payments for employees in the UK the paper will last. with those in Lithuania, and the second shows payments by employers for each employee.

Lithuanian companies are faced with the probPayments as % of salary lem of where to store the documents for 10 years.

I suppose that UK social security payment Employee in UK Employee in Lithuania For large commercial organisations, the obligation below £7605*/**/*** Between £7,606 - £42,475 fixed rate 9% (National Insurance contributions) system is (31,482Lt – 175,808Lt) (4,1391Lt – 31,478Lt) 0% to save cash-register rolls means that companies 12% more favourable, if to compare with Lithuahave to store these documents in huge hangars. nia, because employer/employee payments above £42,475 (175,808Lt) This obligation also applies all VAT invoices both 12% +2% in UK are nearly the same, whereas in Lithuafor sales and purchases. *2013 tax year: 06 04 2013 –05 04 2014 ** rate 4,139 Lt 31 12 2013 nia, the employer has to pay more than three This problem was solved many years ago in ***All numbers are rounded in this article times what the employee pays. This very other EU countries with the device of electronic Payments as % of salary much discourages the creation of new jobs. signature. Invoices are scanned with powerful Employer in UK Employer in Lithuania scanners-equipment and all these documents are below £7,488 (30, 994Lt) 0% fixed rate 30,98% above 30,994Lt 13,8% included to ‘electronic-container’. All paper docuINCOME TAXES ments are destroyed as soon as they are provided In Lithuania it is quite favourable (a very as a percentage of income with electronic ‘backups’ and signed with elec- Tax paid simple model) to work as an individual person with a certificate of individual activity (Individuali veikla Lithuania UK tronic signature. The solution to this problem has Annual income tax-free 6840Lt Allocation to 3 groups of income: pagal pazyma). This generally corresponds to theNormal term “self-employed’ in the UK, but implies some kind Remaining income, (including dividends) 15% Income Dividend been delayed in Lithuania for many years. rates % of work as a professional on personal contracts. rates % up to £34,370of 20 For example, a personal income per annum 30 000Lt10can deduct 30% (‘notional‘ expenses) to proBasic rate STATISTICS REPORTS l42,261Lt vide a taxable income as follows: 30 000 – 9000 = 21 00032.5 Lt. However, SODRA is also payable at 37.50% £34,371 40 Higher rate It is an obligation for companies to provide busi£150,000 is around 18,75% (comparable with the UK but with only 70% ness statistical reports to the State Department x 1/2 so that overall the rate of taxation (142,262 620,865Lt) of ‘notional‘ charges means that the State allows the person to have of Statistics. Much of this information could be of income taxable). The definition 50 42.5 Additional Above £150,000 of expenses as proof. rate acquired by the Department of Statistics from 30% deducted without any documentation (620,865Lt) other official institutions. For example, how many  This simple scheme could be applicable for very small companies, eg sole-traders in the UK. Unfortuemployees are employed in the organisation, the nately,  at the moment it is not allowed. gender of employees, the size of each employee’s  Tax paid as a percentage of income salary, sales of the company, financial reports Personal INcome tax Lithuania UK  Annual income tax-free 6840Lt Allocation to 3 groups of income: (balance sheet, profit/loss account etc.) Some of In Lithuania, an advance payment for the indiIncome Normal Dividend Remaining income, (including dividends) 15%  rates % rates % the information, mentioned previously, could be vidual’s tax is not required. Individuals (persons) up to £34,370 20 10 Basic rate found in the State Social Insurance Fund Board  in the UK pay income tax either as a monthly del42,261Lt 40 32.5 Higher rate £34,371 (SODRA), the State Tax Inspectorate and the State  £150,000 duction from their salary (if employed) or in two (142,262 Registration Centre for Enterprises. In the case 620,865Lt) payments (one in advance, one at the end of the Above 50 42.5 Additional when a company is late to provide information or £150,000 rate year) if self-employed.

(620,865Lt) it is not correct, the penalty could be up to 500Lt  This is only a short comparison between (in rare case up to 2000Lt). In comparison ten years ago penalties were until 3000Lt. I suppose Lithuanian and the UK tax systems of personal income tax. That of the UK is without any doubt more sothat official institutions do not work in an inte- phisticated, wider developed, and more complicated looking from all points. Here are some examples: grated way with each other. In the UK there is a • Pension accumulation schemes in order to make personal savings for pensions more attractive. frequent complaint about “not enough joined up • Different forms of trust funds, eg discretionary trust (when grandparents accumulate funds for the government” which is the same problem. grandchildren’s education). In Lithuania setting up trusts is only at the first steps.

This is an enormous large burden for businesses.

• Special saving accounts (ISAs) which have tax-free interest.

The solution could be either (a) the state should • Companies can provide cars for business use by their employees, but tax is paid when the car is used for pay for the companies for the working time (time private use, including commuting to work. spent for the preparation statistics report) or (b) • Incentives to buy shares either through savings or buying shares in the company where you work. dismiss at all statistics reports.

TRANSPORT SECTOR According to the Lithuanian labour code requirements, when certain criteria are satisfied, the Rest (time when an employee does not work) of long-distance drivers can be explained in different ways. It could be treated as idle time: as a result, an employer must pay money for this period. The essence of the problem is that the definition ‘rest’ does not look at the fact (working or not working time period) but at the financial position. Let’s say the driver receives a not very large salary, say 1301Lt. In this case ’rest’ could became ‘idle time’ and employer must pay for this period. On the other hand, a driver could receive a larger salary, let’s say 5000Lt. In this case, the ‘rest’ is really ‘rest’ as a result employer does not have obligation to pay for the rest. This assumption of the legislation is applicable not only for the drivers in transport sector, but also in organisations where summary recording of working time is provided.

In the UK the situation is not dealt with in this way. It is difficult to understand for a foreigner why a Lithuanian employer must pay for the rest time when nobody is working. Should not Lithuania look at the real facts (work/rest) rather than at the financial side?

‘GREEN’ REPORTS It is an obligation for companies to provide reports-about the ‘movement’ (from one country to another) of batteries and accumulators. It relates not only the trade of those particular products but all equipment, or machines that contain them. The weight of the batteries/accumulators must be known without having to dismantle the equipment. This obligation is applicable both to large and small companies. If an enterprise sells different types of calculators, it must know the battery weight that is included in every calculator.

Large companies could have a special work place appointed for this job. There is no benefit for the company in knowing this information. I suppose

So for Lithuania, there are plenty of ways to develop the personal income tax system. But confidence in savings being useful depends on confidence in banks and confidence that inflation will be controlled. Perhaps that will come when Lithuania joins the Euro.

Lithuania Depends on turnover and other criteria: 5% or 15% (Also could be 0% or 7, 5%)

UK Calculation according to special formula Small company 20% Large company 24% Different rates applicable according to company profit • Lower limit £300,000 (1,241,730Lt) • Upper limit £1,500,000 (6,208,650Lt)

COMPANY TAX Here is a similar comparison for company tax, in the UK it is called corporation tax.

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In addition, in the UK, there are special tax-free benefits for companies for example, for: • Capital allowances to promote investment • Research and Development • Gifts to charity The aim of capital allowances is to give tax relief for the reduction in value of qualifying assets that you buy and own for business use by letting businesses depreciate their cost against the taxable income of their business. Capital allowances are available to sole traders, self-employed persons or partnerships, as well as companies and organisations liable for Corporation Tax. INHERITANCE TAX In Lithuania this law is one of the most simple while in UK it is one of the most complicated laws. In general in the UK, tax avoidance is legal whereas tax evasion is illegal. So lawyers find loopholes and structures, which are ‘just about’ legal, to minimise inheritance tax (and other tax as well), and the tax authorities over time change the law to get back the tax avoided. This is a never-ending cycle of lawyers and tax authorities catching each other out.

CONCLUSION I suppose that such a small country as Lithuania should find possibilities to reduce the requirements of bureaucratic institutions that are really excessive, particularly for small companies. In order to improve the Lithuanian economy one of the small steps could be a more sophisticated Lithuanian tax and legal system.

The legal system of the United Kingdom has been in development since the year 1066. The name of Lithuania appears for the first time in the year 1009 on the Annals of Quedlinburg. I suppose that experience in the UK legal-tax system is wider than that of Lithuania. It would be worth for Lithuania to adopt some experience from other countries in order to attract investors with a more favourable business environment.

Prof. Dr. Aelita Skaržauskienė, Director of the MRUNI Business and Media School (BMS)

In 2012 Middlesex University (MDX), London, and Mykolas Romeris University Vilnius (MRU) signed a collaborative agreement for dual award degree programmes in the areas of Business and Media. This marks a pioneering step: the first time that Lithuanian and British institutions of Higher Education have joined hands to work in partnership in this way for the creation of close academic cooperation.

Graduates of a dual award programme will receive two diplomas, one from MRU and one from Middlesex University. The degree programmes, which have been developed and are delivered by MRU in Vilnius, are quality assured by Middlesex University.

Middlesex University is a British university based in London, with a distinguished heritage of excellence and innovation in Higher Education. It has over 40,000 students worldwide studying at campuses in London, Dubai, Mauritius and Malta and with prestigious academic partners across the world.

We are discussing this important new collaboration with Myra Perry, Pro Vice-Chancellor and Director of Academic Partnerships from Middlesex University London and Prof. Dr. Aelita Skaržauskienė Director of the MRU Business and Media School (BMS), and looking at the advantages of such programmes operating in Lithuania following the first year of this partnership: Middlesex University has an established network outside the UK. We are interested to know why Lithuania was chosen?

First of all, Lithuania is in the EU, therefore regulation and monitoring are much easier and the quality assurance procedures are similar to

our own. In addition, several hundred Lithuanian students come to at Middlesex University in the UK each year, so the Middlesex name is familiar to many Lithuanian students and their families.

This collaboration very much supports Middlesex University’s global strategic vision and MRU, with its own history of academic excellence, is a highly-valued partner in the area of transnational education.

The advantages in this partnership agreement for both institutions include the added global reach, enhanced knowledge of one another’s culture and education systems, increased mobility and research opportunities for staff. The advantages for students include the ability to undertake a British degree locally, with greatly-reduced living costs; the opportunity to enhance their Englishlanguage skills and the benefit of having a degree accredited and recognized internationally.

Aelita, could you introduce us to what are the courses available on these dual programmes?

At the moment we deliver 5 MDX validated programs, two undergraduate and three Master degree programs: Bachelor degree BSc (Bachelor of Science) Honours Financial Economics ( 3.5 year) BSc Honours Business Informatics (3.5 year)

“Vilnius is a superb location for international students. It has a rich historical and cultural heritage, and is an established centre of learning as well as having all the social amenities and activities that enrich the overall student experience. “

Master degree MA (Master of Art) Communication and Creative Technologies (1.5 year) MSc (Master of Science) Electronic Business Management (1.5 year) MSc Financial Markets (master of economics in 1.5 year)

Finally, Vilnius is a superb location for international students. It has a rich historical and cultural heritage, and is an established centre of learning as well as having all the social amenities and activities that enrich the overall student experience.

In our future plans is the Bachelor program for Creative industries, we think, the experience of MDX in the field could be very valuable for creating new interesting program.

How was the decision made to establish a partnership with a Lithuanian University and what advantages do you see in the future?

MRU is a natural partner for Middlesex because of the similarities in our respective ethos and traditions. The evaluation process involves extensive, in-depth checks of the programme content, teaching and learning methodologies and student experience at MRU.

Are there plans to offer further programmes of study?

The courses have been running for over a year. Has the partnership proved popular with students, and have enrolments increased?

We don`t know the enrollment numbers for this year, because the application procedure is in progress, we have recruited more than 100 students last year and expect increased number of students. International students like to study in Lithuania, because of attractiveness of our country: they feel safe, have reasonable living costs, modern facilities at university. Lithuanian students value international environment, external speakers and visiting professors.

In that time what have been the main benefits for students, lectures, and the Universities themselves?

The main challenge for our school is to follow the UK higher education study quality requirements, which differ from our study procedures.

We learn a lot from our colleagues in Middlesex: how to implement student centered approach, how to build modern quality assurance system etc. Learning or English language assistance are traditional student support systems at British universities which should be developed at our school as well. According UK rules external examiners from other European universities should be involved in assessment boards and have to confirm our student`s exams results. By implementing all these study quality procedures we seek to deliver contemporary European level study programs.

The learning outcomes in our programs are formulated according British universities requirements, many teaching methods were changed according recommendations of MDX professors.

Together with our partners we focus on practice oriented learning.

The recent phenomenon of on-line University Degree courses is seen as a threat to established method of class room studies.

How much is this a real threat? And how much should established universities embrace the need to deliver courses in a manner relevant to the 21st century?

We have discussed on-line courses possibilities with our partners at MDX as well and agreed about class room studies combined with some online courses. We don`t think it’s a threat for universities, it`s rather expansion of learning possibilities in networked society. By learning in classrooms students gain personal contact with teachers and learn to adapt their knowledge in practise, get skill to work in teams etc. As long as computers are not able to be our friends or colleagues we will enjoy the attractiveness or learning together.

Prepared by Alistair Day-Stirrat, Editor of BCC paper

BCC paper issue No 48

6

BCC paper issue No 48

“British Investment in Lithuania: present and future”

Lloyd‘s establishes in Lithuania < continued from page 1

The Corporation of Lloyd’s which I represent in Lithuania oversees and supports the market, and promotes Lloyd’s around the world. This includes determining the capital that members must provide to support their proposed underwriting, assessing business plans, working with the management of syndicates to improve performance, undertaking financial and regulatory reporting for the Lloyd’s market, managing and developing Lloyd’s global network of licenses (which also includes establishment in Lithuania) and the Lloyd’s brand.

The special status of Lloyd’s is recognised in EU insurance directives and, consequently, in Lithuanian legislation.

How does this structure work in practice in Lithuania; Marketform is the first managing agency at Lloyd's with a coverholder in the Baltic region?

Lloyd’s has been offering insurance solutions on freedom of services basis since 2004. This meant that Lithuanian companies who wanted specialist cover were addressing Lithuanian brokers. Lithuanian brokers were contacting their cooperation partners - Lloyd’s brokers, who placed the risk at Lloyd’s market. Such structure is still used for large specialised risks.

“Lloyd’s presence is a signal to other British businesses that Lithuania is a fast growing economy with good business potential. It is also a signal that the legal environment is right in Lithuania.”

A local establishment licence is the next step to better compliment the local insurance market and write local insurance policies. From 2013 Lloyd’s managing agents are entitled to appoint coverholders – insurance intermediaries who have a right to sell insurance. This means that Lloyd’s came closer to Lithuanian customers.

Our first Coverholder - Balto Link - appointed

by Marketform Managing Agency will offer accident, health and travel insurance. Classes like professional indemnity, general liability, directors & officer’s liability and medical malpractice are envisaged for the future.

My role as Lloyd’s General Representative’s functions does not cover underwriting (as this function is allocated to coverholders), I would rather describe my functions more of a compliance nature – I am the first point of contact for Lithuanian authorities, including insurance supervisor – Bank of Lithuania, and also the first point of contact for Lloyd’s market players – to explain legal environment they will face in Lithuania. Also I have to assess the suitability of potential Lithuanian coverholders – whether they meet high Lloyd’s standards applied to them and their activity and report any irregularities in their operations.

Notably, in addition to insurance activities, Lloyd’s is also active in reinsurance – i.e. insuring Lithuanian insurance companies who transfer part of the risk to the Lloyd’s market. Due to Lithuanian insurance market structure practically all insurers have strong parent insurance companies which put Lithuanian insurance risks into their reinsurance

programs placed with specialist reinsurance companies, including Lloyd’s. Therefore, even if you as a Lithuanian customer have simple motor insurance or property cover, it is very likely that some part of this risk is ceded to Lloyd’s.

< continued from page 1

Lloyd’s is renowned in the field of property insurance. Do you also insure the ever popular Lithuanian coffee house or indeed expanding restaurant chains? What are the typical products Lloyds is looking to offer for the Lithuanian market?

Indeed, commercial property insurance is one of the areas where Lloyd’s players are particularly strong. Some of the industry sectors where Lloyd’s can provide insurance solutions are: energy, ports, aviation, infrastructure (rail and road) and professions. Classes of business include commercial property, commercial liability, professional indemnity / D&O, aviation, marine but also accident & health and travel insurance.

We definitely see opportunities for emerging risks, particularly cyber risk, given the advancing state of Lithuanian economy.

With respect to EU structural funds in Lithuania for the business sector (mainly managed by the Lithuanian Ministry of Economy) the biggest part (more than €531.5 million) of the total available funding is planned to be allocated for increasing the competitiveness of SME’s.

Tomas, could you tell us about Lloyd‘s establishment in Lithuania and what does it actually mean for this market?

We see our comparative advantage in providing specialist insurance that others cannot or will not offer clients, thereby complementing local insurance capacity rather than competing with the local market.

In the preliminary documents it is indicated that a significant part of the available financial support in Lithuania will be allocated for research and development programmes (R&D). Investment into R&D from EU structural funding will exceed €326.1 million, of which approximately €29 million is directly allocated for foreign investors or foreign company subsidiaries. However, the proposed funding documents are still to be approved by the European Commission later this summer.

Does existence of Lloyd‘s in a market create a certain level of confidence and can encourage more significant businesses or investors to this market from the UK? Definitely, Lloyd’s presence is a signal to other British businesses that Lithuania is a fast growing economy with good business potential.

The financial measure for foreign investment into R&D “Smartinvest Lt+” provides financial support (in the form of subsidies) for:

It is also a signal that the legal environment is right in Lithuania. Lithuania has sound insurance laws and regulatory supervision – we reviewed the regulatory and commercial environments in all three Baltic countries and concluded that Lithuania had the most suitable legal provisions for the Lloyd’s coverholder model and also, as previously mentioned, provided the most commercial business opportunities.

• experimental and technological R&D; • start-up investment for the establishment or expansion of R&D infrastructure in a company; • implementation of the process and organizational innovation.

Do you have a vision of Lloyd’s in Lithuania and Baltics after 5 years and if so what it would be?

The maximum amount of funding available varies significantly between large companies (from 15% up to 65% of the total eligible project budget) and SMEs (from 50 % up to 80%) and depending on the field of activity (from €1.2 million up to €2.9 million).

We would like to expand our business in the Baltic region, which is currently around €11 million annual insurance premium. The Baltic States forecast growth rates double the EU average and growth of insurance market is even higher. Also the more advanced the economies are the greater the demand for sophisticated insurance solutions were Lloyd’s compliments local insurance market.

Establishment authorisation in Lithuania provides Lloyd’s with a hub in the Baltic region.

Lloyd’s coverholders in Lithuania can be accessed by insurance intermediaries from Estonia and Latvia and all EEA member states.

The event will showcase the advantages of investing in, and doing business with, the Baltic States. It will provide remarkable investment and business growth insights and reveal the success stories of UK investors. Additionally, there will be an opportunity for participating companies to receive specific advice about entering these markets and achieving or sustaining rapid growth.

AGENDA: 1.30pm-2.00pm Registration and welcome coffee 2.00pm-6.30pm Presentations, panel and Q&A sessions 6.30pm-8.00pm Networking reception

It wasn’t easy. We carefully considered number of locations ranging from Central European cities like Prague to eastern side of the region like Moscow. Vilnius was chosen at the end.

The results far exceeded the expectations. Back in 2005 we moved into the office space for 50 people and were wondering whether that wasn’t overly ambitious, whether we would ever fill in that space. Two years later we had to look for additional space and now have over 150 employees and growing.

In the beginning, ships and their cargo were insured by their owners. The picture is the first known reference to Edward Lloyd’s coffee house in Tower Street (London Gazette 18-21 February 1688)

Today, Lloyd's is housed in an award-winning modern building in Lime Street in the City of London.

Objectives of the Forum: • Raise awareness of the Baltic States as a business and investment destination • Provide insight into the current economic situation, challenges and opportunities in the Baltic States • Enhance inter-regional business links between the UK and the Baltic States • Network with, and learn from, the experience of UK companies that have successfully entered the Baltic States market The Baltic Business Forum will be also attended by representatives and members from the British Chambers of Commerce, actively operating in all 3 Baltic States.

Sponsor:

The significant amount of EU structural support available in Lithuania will be devoted to enhancing competitiveness at both national and regional levels. Increasing competitiveness among companies will involve the promotion of entrepreneurial skills, boosting productivity, the implementation of eco-friendly innovation and encouraging international collaboration.

While planning the allocation of EU structural funds, great attention was paid to the development of human resources – more than €106.9 million is planned. €11.6 million is set to be allocated for foreign investors to improve employees (planned funding 50 – 70 % of the total eligible project budget and up to a maximum of €579,000 for a single project).

Why invest in Lithuania?

Partners:

As project fundraising experts, PERITUS has helped several foreign companies and individual investors in preparing project funding application documents. For most of those companies this specific project was their first investment in Lithuania and EU structural funding was one of the reasons to choose Lithuania as the best location to expand or start new activities.

EU structural funds are just one of the reasons to choose Lithuania as a location for business

development and expansion, e.g. establishment of the company’s R&D centre, service centre, etc. The other reasons for investing in Lithuania rely on the attractiveness of Lithuania in the business world. Many great companies recognise that Lithuanian employees are well educated (about 49% of age group 25 – 34 hold a higher education degree) and talented workers who are willing to attain their ambitions. Other substantial advantages of entrepreneurship in Lithuania create even more conducive surroundings for investment: the country's geographical location and great infrastructure that provide a wide logistics network throughout the country; the ITC network is one of the fastest and most reliable networks in Europe; Lithuania also has a favorable taxation environment for companies.

The process of fundraising from EU structural funds The process of applying for EU funds is largely identical for national and foreign investors.

In each case, the great future investment is transformed from an idea into a project. Moreover, the application for the funding is completed according to the guidelines of the applicable program just after the relevant call for applications is published. After the evaluation process of the project, which lasts approximately six months, the implementation of the project starts. Funding beneficiaries should plan resources for interim and final reporting in addition to to the regular project reporting that the company does internally, while implementing the investment projects.

When choosing a destination for your investment, why not choose a country with a flexible business culture, the provision of necessary funding for projects, a country which is described as “welcoming” by most investors?

Therefore, before starting your next investment or business development do not make a decision before considering Lithuania as the destination for your investment and do investigate if EU structural support is available for partial funding of your project.

NB: As of January 2014, the total paid out from EU structural funds in Lithuania for projects had exceeded €5.4 billion, and Lithuania has one of the highest EU structural fund absorption rates of any of the EU CEE-12 states and only comes second to Estonia. Lithuania's absorption rate overtook a number of CEE-12 countries including Poland, Slovakia and the Czech Republic. According to EC data, the absorption rate for EU funds in the 2007 – 2013 period in Lithuania was 78.8%. This rate is significantly higher than the CEE-12 average of 59.6%. One of the reasons for the high absorption rate is an efficient management system and professional project management that can always be supported by local professionals.

7

Euromonitor International in Vilnius – expansion accompanied by hard work and excellence Bringing the memories back, could you tell our readers about the Euromonitor International expansion to Eastern Europe plan in early 2005. Was it difficult to convince the company decision makers that Lithuania could be their right choice? Looking at today – did this investment meet their expectations?

London, United Kingdom

This event will be the first stop for any UK company seeking to enter the Baltic States market and will serve as a networking event between UK and Baltic businesses to highlight the investment opportunities in Lithuania, Latvia and Estonia. It will bring together entrepreneurs, investors, corporate strategists and commercial professionals.

Considering business development and expansion? Consider Lithuania, since EU structural support will be available for foreign investment < continued from page 1

BALTICS TRADE AND INVESTMENT FORUM On Tuesday 11 November 2014, the London Chamber of Commerce and Industry (LCCI) will host the Baltics Trade and Investment Forum.

This is a unique opportunity for investors and business communities to hear about the latest developments and investment projects in Lithuania, Latvia and Estonia.

“British Investment in Lithuania: present and future”

With Lithuania’s large emigration to the UK, do you think that a reputable performance of the educated Lithuanians could be a growing potential in the field of attracting more British investors to Lithuania, like in your case?

Hard working, bright, well-educated Lithuania diaspora is certainly a significant factor in attracting investment. There are numerous well known examples of that.

Even in our London headquarters we have quite a few employees from Lithuania. Some found the job independently, others started in Vilnius office then moved on. Notably, most of them have eventually come back to Vilnius office or are planning to do so.

Having said that, I think that importance of location of Lithuanian professionals is diminishing. From our Vilnius office we talk directly to headquarters of our clients, blue chip companies around the world: UK, USA, Germany, Brazil, Japan – you name it. We provide services and create information products for the strategists, decision makers in these multinational giants. They talk to us and they know it is “made in Lithuania”. In my opinion it is a very effective, even though indirect way of making Lithuania known and attracting investment.

In relations to Russian and Polish markets, does Euromonitor International have the same operations as in Vilnius, or are these both markets of your interest just to sell company products? If so, could you briefly tell about the potential and your current activities over there?

Russia and Poland are among the largest markets in Eastern Europe, so naturally they are key markets for us in terms regional client base. Vilnius office fully support these clients and ensures continuous growth of our business in these countries. A lot of our colleagues are native Russian and Polish speakers.

Could you also tell us about your employees in Vilnius? What type of skills or education is required to become a member of your team?

Am I right to understand that you have got market analysts department and also company products sales department?

Generally the brightest graduates with business or economics degree could expect to find employment with us. But we are not just a research or sales company. We are technology company too and in Vilnius office in particular we are engaged in R&D activities. We have a large IT team, teams of econometricians, mathematicians, futurologists and data scientists.

What are the products that you create in Vilnius office and how they meet the market demand Globally?

Our bread and butter is of course market research. So Vilnius office being a regional office focuses on Eastern European and Scandinavian markets. This data and analysis from all our regional offices is then assembled into the global product, so that clients can see the global picture.

On top of that Vilnius office has additional unique functions: we provide micro and macro economic analysis, build econometric models for our clients globally. In Vilnius we also specialise in industrial,

B2B and value chain research, urban economics and city statistics. We have recently opened our R&D arm: the Centre for Analytics, Modelling and Innovation (CAMI) - that is also based in Vilnius.

How do you co-operate with local Universities? Do they provide the young specialists that your company needs? What professions or skills are priority for Euromonitor International in Vilnius?

Among our Vilnius staff we have 12 PhDs in the fields ranging from business, economics, mathematics, econometrics to philosophy. Many of them also lecture in local universities. This is mutually beneficial, as students can learn how theoretical knowledge is applied in business, while we have direct access to the talent early on.

We do advise some universities on study programmes, what courses would meet the latest needs of business world; while academics share with us the latest trends and developments in their field and we explore the applicability of this.

We also have extensive graduate programs. Every year number of bright trainees are joining us to learn the tricks of our trade. We ensure their work assignments would relate to their BSc thesis.

What do you think is the future for Euromonitor International in Lithuania and globally?

I see a lot of potential for growth both globally and in Lithuania. We see a very strong demand for our products and services, for innovative solutions in particular.

Prepared by Sandra Kundrote, Executive Director of BCC Lithuania

BCC paper issue No 48

BCC paper issue No 48

Chronicle of BCC Events 8 Continuing series of BCC Professional Workshops Breakfast Technical Briefings

Akvilė Bosaitė, Head of Banking and Finance Practice Group, Managing Associate at Raidla Lejins & Norcous

Alan Gunko, GrECo JLT Lietuva

Breakfast Technical Briefing in May, hosted Alan Gunko from GrECo JLT Lietuva, who made a presentation “National Healthcare System and the way to better treatment”. The topic mainly focused on the persisting problems in

the healthcare systems in Lithuania and the UK, also dissatisfaction expressed by the general population and the professionals.

In the end of June, just before stepping into summer holidays season, the chamber had a pleasure of inviting members and friends to attend the last Breakfast Technical Briefing with

Jūratė Baltrušaitytė, Commercial Director at Vilnius Airport

Jūratė Baltrušaitytė, Commercial Director at Vilnius Airport, who made presentation “Lithuanian Airports Network Development”.

The presentation covered the latest news on Lithuanian Airports merging project and explained the Airports’ economical impact on the overall economy. As usually, before presentation and the discussion, the participants enjoyed excellent English breakfast, and afterwards stayed for more networking and discussion near coffee at the Shakespeare Hotel.

As always, new BCC members had the opportunity to meet other BCC members and make short introductory presentations followed by networking over a glass of wine and delicious snacks. Members of the chamber were kindly welcomed by the host Inga Grajauskienė, Managing Director of Campanile Vilnius Airport Hotel. The event was moderated by Toma Vevelstad, BCC member of the Board and Director at Amber Staff.

BCC Speaker’s event with John May, Secretary General of The Duke of Edinburgh’s International Award In the end of May, members of the British Chamber of Commerce were invited to the British Ambassador’s Residence to attend a “Speaker’s” event with Mr John May, Secretary General of The Duke of Edinburgh’s International Award, who delivered an inspiring speech “Ready, Willing and Able: Preparing the Next Generation of Global Business Leaders”. The event was organised in partnership with the Duke of Edinburgh’s Award programme in Lithuania, kindly supported the British Embassy.

John May, Secretary General of The Duke of Edinburgh’s International Award during his speech

Nearly 40 BCC Members gathered to welcome New BCC Members

New BCC members: Petras Budvytis, D&T Global and Auksė Rainienė, Angvila

British Embassy ir The Duke of Edinburgh Awards

BCC CURRY COOK-OFF

Indian Curry cooking contest and a true feast for spice & curry lovers

On June 5th, The British Chamber of Commerce invited members, friends and all curry fans in Lithuania to attend the 2nd Curry Cook-off social event, this time held in the beautiful garden at the British Ambassador’s Residence. Nearly 80 people came to taste a great variety of different Indian curries pre-cooked by 7 teams in the innovative and modern premises at Čiop Čiop cooking studio, which was the event partner for the 2nd year. The Honorable judges the British Ambassador David Hunt, Rajinder Chaudhary, the owner of Sue’s Indian Raja Restaurant and Beata Nicholson, famous journalist & author of recipe books were challenged to select the 3 best curries. The audience did their part and voted for the “Audience choice” curry. The winners were awarded with various prizes, kindly provided by the sponsors. After presenting the awards, the guests were invited to taste more curries, kindly served by Sue’s Indian Raja Restaurant and also the 2nd Curry Cook-off beer - fresh and new American IPA (India pale ale) "Bocmano Ūsai", brewed in Raudonų Plytų Alaus Dirbtuvės. The event ended with Traditional Indian dancing, enormously enjoyed by all in attendance.

The British Chamber of Commerce expresses its utmost gratitude to Partners and Sponsors

®

A special thanks to the British Ambassador David Hunt for allowing this to happen at the magnificent garden of the Residence

Congratulations to the 1st Curry Cook-off winners: 1st Best Indian Curry – CSC Team “Curry IT” (Miglė Gudonytė & Žydrūnas Neverdauskas) 2nd Best Indian Curry – The team “Laisvalaikio dovanos” chefs (Aurimas Mažylis & Ieva Tautkevičiūtė) 3rd Best Indian Curry – Cricket Club of Lithuania (Stuart Kemp & Darren Coltman) “Public Choice” – Kernavės Bajorynė team (Danutė Pažusienė & Girius Ivoška)

The opening speech by the British Ambassador David Hunt

Short presentations were made by the following new members:

West Express team “We cook” (Vilija Malinauskaitë, Nira Koltun)

CAMPANILE Vilnius Airport Hotel, LitCapital Asset Management, NORTHWAY, SORPS, and WEST EXPRESS. The British Chamber of Commerce would like to express a great deal of appreciation to the new BCC Member CAMPANILE Vilnius Airport Hotel for kindly hosting and sponsoring the event.

The team “Laisvalaikio dovanos” chefs (Aurimas Maþylis & Ieva Tautkevièiûtë) winners of 2nd Best Curry award

The Judges are preparing their verdict

BCC member Baltic American Clinics invites In June, BCC Corporate member Baltic American Clinic invited members to their premises for an interactive evening of food making and tasting.

Over 30 BCC members absolutely enjoyed the lecture on current trends and beneficial healthy food choices presented by Chef Gian Luca Demarco, a short tour in a clinic and of course networking over delicious snacks and wine.

Inga Grajauskienė, Managing Director of Campanile Vilnius Airport Hotel welcoming BCC members to newly opened Campanile Vilnius Airport Hotel, BCC new member and also Sponsor of the evening

Norma Foster, Expert in Export communications

i i1 1 1 1

The chamber expresses thanks to Pearson, leading educational publisher of English Language Teaching resources for kindly establishing excellent prizes during the season.

BCC New Members Evening On May 8th, Members of the British Chamber of Commerce were invited to the New Members’ Evening, held at the newly opened Campanile Vilnius Airport Hotel.

At the beginning of May, the chamber invited participants to the spring workshop focusing on website optimization for international visitors with the title “Create better International websites for more online enquiries and sales”. The workshop was lead by Norma Foster, an expert from the UK, who provided hints and tips on free tools and leading-edge web techniques to structure design and optimize a company website for international visitors.

The participants also had the chance to discuss and practice in small groups. As usual, the workshop was followed by a networking lunch this time held at Best Western Hotel Vilnius restaurant.

nd

Winner of 1st Best Indian Curry CSC Team “Curry IT” (Miglë Gudonytë & Þydrûnas Neverdauskas) with Judges Beata Nicholson (in the middle), Rajinder Chaudhary and British Ambassador David Hunt.

Cricket Club of Lithuania team (Stuart Kemp & Darren Coltman) – the winner of 3rd Best Indian Curry award

The “Public Choice” winner Kernavës Bajorynëé team (Danutë Paþusienë & Girius Ivoðka) at pre-cooking in Èiop-Èiop cooking studio

New BCC member West Express represented by Avitalis Maizelis, Head of Corporate Sales (standing)

New BCC member Sorps, represented by Andrew Davies, company Director.

New BCC member LitCapital Asset Management, represented by Arvydas Saročka, Partner

BCC New member Northway represented by Rima Vaisietienė, Director for Marketing and Communications

rformance was dian Dancing pe Traditional In ts es yed by the gu thoroughly enjo

the General Kumar Malik, Mr Jitendra al Pet with ob Gl UAB Orion Director of wife Rita

Photos by Jurga Prakapaitė and Jurga Jankauskaitė

BCC Breakfast Technical Briefings continued to be a great success in 2014 second quarter and kept a high level of interest from chamber members and friends alike. In April, the topic “Comparison of cash raising methods (shares, bonds, private equity, venture capital, bank loans)” was presented by Akvilė Bosaitė, Head of Banking and Finance Practice Group, Managing Associate at Raidla Lejins & Norcous.

In her presentation the speaker compared the various methods to raise funds and analysed what different options would be preferable in particular circumstances. The topic attracted an interest from members and involved considerable amount of audience interaction after presentation.

It’s worth mentioning that this event also marked anniversary of 10 years of Breakfast Technical Briefings, with a first BTB held in April 2004!

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Chronicle of BCC Events

BCC paper issue No 48

BCC paper issue No 48

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Brits in Lithuania: Bob Honiball, a professional martial arts instructor Hi, my name is Bob Honiball and I am a professional martial arts instructor here in Vilnius, Lithuania. Our dedicated centre is very close to the British Embassy. The main subjects I teach are Karate, Tai Chi and Self-Defence Skills.

I have been practicing Karate since 1969 and travel to Okinawa, Japan on a regular basis, as this is the birthplace of Karate and this is where the headquarters of our association is based. I am Chief Instructor for our Association in Lithuania, Russia as well as being Technical Director for the United Kingdom. I have also been practicing Tai Chi since 1991 and am qualified to teach from my Chinese teacher who now lives in New Zealand.

The Self-Defence Skills we teach are based on my experience of working within the security industry for many years as well the study of the martial arts.

The benefits of studying the martial arts are many. Karate is very good for fitness and the development of self-defence skills. It also teaches self- discipline and respect for oneself and others.

Tai Chi is a softer form of martial art that relies on calmness of mind and relaxation which is very good for one’s physical and mental health,

“The Lithuanian people are great.

Teaching helped me find many friends. What I like about the Lithuanians from a teaching perspective is they are quite disciplined, they listen and work hard which is an asset for any teacher.”

Bob (in the middle) with Tai Chi students in Vilnius

especially in relation to stress related illnesses.

I was first invited to Lithuania in 1991 to teach a Karate seminar in Kaunas. Returning nearly every year since to teach Karate and later Tai Chi. So over the years I have seen many positive changes in Lithuania. In about 2005 I had the opportunity to turn professional, also I felt like a fresh start, so in 2008 I decided to move to Vilnius and open a martial arts school. At the time I was married to

one of my students who is Lithuanian, so this was of course a big help in organising and setting up our school. Other students helped in organising things and helping to create our centre. The most challenging thing I suppose at the start was the language, although most of the younger people understood English and were eager to help translating. Some students liked me to converse in with me anyway as it helped improve their

English. The other thing I found challenging was the bureaucracy involved in everything, so many bits of paper. Apart from that everything was good.

In the beginning obviously everything was a struggle trying to build things from scratch. The Lithuanian people are great. Teaching helped me find many friends. What I like about the Lithuanians from a teaching perspective is they are quite disciplined, they listen and work hard which is an asset for any teacher. We don’t have a huge amount of members but we have a strong hard-core of good people.

Being asked what are the benefits for business people from practicing the martial arts. I suppose the benefits are universal for most people, fitness, health, confidence building. But above all what I have found interesting, especially for those in occupations were there a lot of pressure relates to stress relief, that is when people come to practice, because of the nature of what is taught and the way it is taught, it enables them to let go their stresses (which sometimes manifests itself in the body) by concentrating their mind and energies on something positive.

DNB analysts: Lithuanian economic development sustainable, threats loom from the East

The Lithuanian economic growth is becoming more sustainable and better balanced as the lost export markets are counterbalanced by growing domestic demand. However, Russia's stagnating economy and the geopolitical tension between the East and the West will do a disservice to the country's economic growth, DNB analysts say.

According to DNB analysts' forecast, in 2014 Lithuania's gross domestic product (GDP) is expected to grow 3 per cent coming slightly behind Latvia (GDP growth forecast 3.5 per cent) but well ahead of Estonia (GDP growth forecast 1.2 per cent).

"This year we see much more of good news, especially for individuals: the salaries will keep growing, the price increase will be minimal making individual purchasing power noticeably better. This will undoubtedly have a positive effect on domestic-oriented businesses", says DNB Bankas’ chief analyst Indrė Genytė-Pikčienė presenting the latest outlook on Baltic economies.

The analyst underlined that the domestic demand is rapidly recovering after the downturn and the recovery is stimulated by rising expectations of private individuals and businesses as well as by growing income. This year the average sal-

Indrė Genytė-Pikčienė Chief analyst, Financial markets, macroeconomics

ary is expected to grow faster than the GDP, while inflation will be decreasing due to the cheaper energy resources. Upon agreeing on a lower price for gas supply, the average annual inflation in Lithuania will stand at 0.7 per cent this year.

The greatest risks on the country's economic development are Russia’s stagnating economy, the stress in major oil refinery, struggling fertilizer production, and vulnerable cross-border transportation sector. After two exceptionally good years, the agricultural sector is likely to be less successful this year.

Challenges to exporters According to the DNB analyst, Russia remains one of the largest export markets for Lithuania. It takes 7.1 per cent of overall exports of goods of Lithuanian origin, 25 per cent of service exports, and 43 per cent of re-exports.

"Russia will do a disservice to the rapid growth of economy. The conflict with Ukraine highlighted the sore structural economic problems in the

country, which are threatening to push Russia into a technical recession this year. Also, the depreciating ruble makes it more complicated for Lithuanian goods and services to compete with the local products. This might give an extra impulse to Lithuania's producers to search for alternative export markets, although less profitable at the beginning", commented I. Genytė-Pikčienė.

In January-March of 2014, exports of goods of Lithuanian origin decreased by 20 per cent yearon-year. Exports of oil products slumped by 48 per cent resulting from the poor performance of Orlen Lietuva. However, exports of goods of Lithuanian origin excluding mineral products decreased by only 2 per cent.

Focus on productivity The average monthly salary is expected to go up by 4 per cent in Lithuania this year. Real salary rise for the second year running will stimulate domestic consumption, so the recovering domestic demand will become the main driver for the Lithuanian economy. However, this will also mean higher costs for businesses. To maintain competitiveness businesses will have to focus on the increase in productivity.

"Last year's results demonstrate the longawaited breakthrough in this area, i.e. productive investments in manufacturing equipment and technologies increased at double-digit rates. To remain competitive on the cross-border level, the renewal of manufacturing factors must keep the same pace this year", says I. Genytė-Pikčienė.

The unemployment rate in Lithuania will continue moderate decline this year. As of the year-

end, it should stand at 10.5 per cent. Hiring will be impeded by acute structural unemployment problem with a high number of unemployed and lack of required specialists to employ at the same time. This will encourage businesses to further invest in less labour-intensive production.

Euro expectations heating up real estate markets In the first quarter of 2014, the number of real estate (RE) transactions topped 10 thousand, increasing by 43 per cent year-on-year. By the number of transactions the RE market reached the pre-crisis level of 2006-2007.

DNB analysts say that active RE market is stimulated not only by growing personal income and low interest rates, but also by the expectations the main driver for the Lithuanian economy. However, this will also mean higher costs for businesses. To maintain competitiveness businesses will have to focus on the increase in productivity. about the Euro introduction. The commotion in "Last year's results demonstrate the long-awaited breakthrough in this area, i.e. productive investments in the residential market mainly from manufacturing equipment and technologies increased at double-digitresults rates. To remain competitivethe on the cross-border level, the renewal of manufacturing factors must keep the same pace this year", says I. GenytPikien. expectations for increasing prices for housing folThe unemployment rate Euro in Lithuaniaintroduction will continue moderate decline this year.

As ofof the year-end, it should lowing the and lack alternastand at 10.5 per cent. Hiring will be impeded by acute structural unemployment problem with a high number of unemployed and lack of required specialists to employ at the same time. This will encourage businesses tives for investments. to further invest in less labour-intensive production.

Lithuanian Airport Network: emerging corporate culture, efficiency, route development and improved quality Newly established Airport Network is facing the challenge of improving the efficiency of infrastructure management, quality of airport services in the network, focusing on the segmentation of the airports’ business and reshaping the corporate culture at Vilnius, Kaunas and Palanga airports.

Strategic targets of LTOU include development of cargo business and Route Development Fund, which shall be main tool for improving connectivity and facilitating new routes from all three Network’s Airports, However, active involvement and commitment from both public and private stakeholders is required to make it happen.

“Sustainable business model is our overall priority. It’s highly challenging to run profitable any airport, which serves less than 2 m. passengers. ”, Gediminas Almantas, CEO of Lithuanian Airport Network.

1st of July 2014 marks a historical step of the Lithuanian aviation. A brand new State Enterprise Lithuanian Airports (LT. Valstybės įmonė Lietuvos oro uostai (LTOU) with its three branches – Vilnius, Kaunas and Palanga, has started its operations. Gediminas Almantas, former CEO of Vilnius International Airport, has been assigned the position of CEO of LTOU. “LTOU operates under the principle of Airport Network. We are not inventing the wheel, this form of airport management is well established in the region. The names speak for themselves – Swedavia and Finavia manage more than dozen of airports, where Norwegian Avinor runs 49 international, regional and military airports under the one umbrella. These are great examples to learn from”, Mr. Almantas argues.

Euro expectations heating up real estate markets

In "The the first quarter of 2014, the number of real estate (RE) transactions thousand, increasing by 43 fact that more than half oftopped RE10transactions per cent year-on-year. By the number of transactions the RE market reached the pre-crisis level of 20062007. made using own funds reflects a high level of are DNB analysts say that active RE market is stimulated not only by growing personal income and low interest individual savings and also the size ", - the analyst rates, but also by the expectations about the Euro introduction. The commotion in the residential market mainly results from the expectations for increasing prices for housing following the Euro introduction and lack says. of alternatives for investments.

"The fact that more than half of RE transactions are made using own funds reflects a high level of individual savings and also the size ", - the analyst says.

Key economic indicators of Lithuania

Key economic indicators of Lithuania Forecast 2012

2013

Real GDP, annual change, %

3.7

3.3

2014 3.0

2015 3.0

2016 4.0

Average annual inflation, %

3.2

1.2

0.7

1.7

2.5

2.6

4.8

4.0

4.0

5.0

13.0

11.0

10.5

10.0

9.0

General government budget balance, ratio to GDP, %

-3.2

-2.2

-2.0

-1.7

-1.5

Current account balance, ratio to GDP, %

-0.2

1.5

-0.5

-1.5

-2.0

Average gross monthly earnings, annual change, % 1) Unemployment rate (seasonally adjusted), %1)

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UK companies increasingly focusing on Lithuania

Artūras Stankevičius, former airfield operations manager at Kaunas Airport, has taken over the management of LTOU Vilnius branch.

Bruno Kaspar, former head of strategic development projects of Vilnius Airport manages Kaunas branch, while Marius Gelžinis, former head of ground handling at Palanga Airport, accepted the challenge to lead Palanga branch.

“Passengers flying from and to Vilnius, Kaunas and Palanga shall not be concerned about any negative impact. Aircrafts will take off and land as before; all operations of the airports shall run without interruptions. In the short term we aim to improve efficiency of all the three Lithuanian airports and in particular skills of our staff”, - Mr. Almantas promises. “State enterprise is our dress, but our body shall be fit and shaped as a one of well-established and competitive private enterprise”, he adds. The merger of three state enterprises, that hold a status of strategic objects for national security, is an absolutely unique process in Lithuania since the reestablishment of independence in 1990.

For the summer season 2014, Lithuanian Airports offer 54 routes to 26 countries in EU and beyond operated by 21 airlines. Vilnius, Kaunas and Palanga airports together served 3,5m passengers last year.

Publicum remains amongst PR leaders in Lithuania The Association of Public Relations Agencies in Lithuania announced the income of PR agencies for 2013. With increased turnover by 65 % from LTL 4,448m to LTL 7.346m, Publicum became the second leading PR agency in the country and for the first time was listed in the global ranking of top PR agencies. „Couple years ago Publicum had one of the largest public sector client portfolios, but sensed the market was shrinking and reacted accordingly.

The agency redirected its focus from public to business sector clients, which enabled both – client portfolio and team growth opportunities”, - says Ričardas Jarmalavičius, Chairman of the Board of Publicum. According to Mr. Jarmalavičius, PR-wise, the decline of public sector would have been even more dramatic, had it not been for the parliamentary elections in 2012.

The change in Publicum’s strategy is bearing the fruit - in 2013 income from public sector clients made up only a few percent of agency’s revenue.

This year the agency won the supermarket chain IKI account. Among its clients are Mastercard, Philip Morris, Samsung, Novaturas, Idavang to name a few.

In 2014 Publicum reenergized – appointed Daiva Bumblyte, as a new Managing Director, and hired a range of experienced communication professionals who will add strength in B2B and B2C marketing and integrated communication.

consultancy and training companies in the market.

We are currently running projects for “advisory” companies from a wide range of sectors including legal, financial, architecture, construction, PPP/PFI advisory, training, soil remediation and renewable energy.

The funding will also offer opportunities to UK companies who can offer specialist products in a range of areas from scientific research, to manufacturing and improving productivity.

Charles Cormack, Chairman, Cormack Consultancy Group Ltd If our business is anything to go by interest in the Baltic States, and Lithuania in particular seems to be growing again, we have been helping UK companies work in the Baltic markets for the past 14 years, and over that time we have seen good times and bad times.

The crisis hit the Baltic States particularly badly, and that certainly led to a drop in the number of UK companies coming to the market to sell goods and services. This was further compounded by the end of the last round of EU funding, for many UK companies the chance to get involved in EU funded projects is particularly attractive.

However market conditions drive demand, and we have seen a marked increase in UK companies who are looking at Lithuania as a place to either outsource development and production, or move one stage further and set up development teams directly. The last few months have been particularly busy with a number of UK IT and technology companies setting up deals with local companies to work on IT development projects.

We also have seen a move to higher value “outsourcing” (for example legal processing) with companies from the UK looking to tap into the highly educated and motivated staff. We expect this trend to continue, and though wages will rise the quality of the workforce will ensure UK companies will still come to the Baltic to develop their business.

We also believe that the new EU funding round will provide a range of opportunities for

Ričardas Jarmalavičius, Chairman of the Board says the view of the market income provides opportunities for the agencies to work with business clients.

Good Publicum financial performance also reflects its strengthened positions in global context – in the recently released Holmes World PR Report TOP 250, Publicum was listed as 227th, being the only PR agency from the Baltic region on the list.

Publicum belongs to the international network of PROI Worlwide, the world’s largest public relations partnership of independent PR and communications agencies and is an exclusive partner in the Baltic region. PROI Worldwide agencies are the leading independents in close to 100 cities in 50 countries and on five continents.

The other trend we have seen in the past few months is large UK retailers beginning to look at the market, we have had four major companies across looking at developing their business through acquisition or the appointing of master franchisors. This shows a growing faith in the stability of the markets post crisis and a recognition that all things being equal the Baltic economies with their growing affluence offer a place for UK retailers to do business.

“The funding will offer opportunities to UK companies who can offer specialist products in a range of areas from scientific research, to manufacturing and improving productivity.”

Finally I think the opportunities for UK educational institutions and quality training companies will continue to develop. We are working on a major project at the moment which should see a UK University and college develop a joint campus in Lithuania, a truly ground breaking project which will be the first of its type on mainland Europe, allowing the University to target non EU students who are struggling to get student visa’s in the UK, as well as acting as an engine for economic development in Lithuania.

So all in all we are extremely positive about the opportunities for UK companies who want to work in Lithuania over the next few years. We think the market offers opportunities for companies looking to increase sales or cut costs, and expect to be increasing the size of our local team to cope with the demand.

BCC paper issue No 48

BCC paper issue No 48

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SORAINEN celebrates 15 years in Lithuania

Established in Lithuania fifteen years ago, SORAINEN was the first law firm to cover all three Baltic States. With a team of 150 lawyers, SORAINEN is now the largest law firm in the Baltics and Belarus.

On top of the earlier international recognition, this year the firm scooped all three “Baltic Law Firm of the Year” awards (from IFLR, The Lawyer, Chambers Europe) and the “Baltic States Tax Firm of the Year” award from International Tax Review.

SORAINEN Lithuania has contributed its legal and tax advice to the following major projects: • Acquisition of Lietuvos draudimas, Balta in Latvia and Codan in Estonia by Poland’s PZU insurance group (project value – EUR 270 million).

• Six Eurobond issues with a total value of EUR 2.13 billion by the Republic of Lithuania.

• Acquisition of Ūkio bankas assets and obligations by Šiaulių bankas (EUR 782 million).

• Advising Hitachi on the Visaginas Nuclear Power Plant Project.

• LNG terminal construction project in Klaipėda implemented by PPS Pipeline Systems.

• Establishment and development of the Barclays Technology Centre in Vilnius (over 1,250 employees).

• Establishment and development of the Western Union service centre in Vilnius (over 1,000 employees).

• Acquisition of Mažeikių nafta by PKN Orlen (EUR 1.93 billion, the largest company acquisition transaction in the Baltics by value).

• Sale of Kauno Akropolis to international fund Deka Immobilien (over EUR 200 million, the largest real estate transaction in the Baltics by value).

• Sale of real estate portfolio in the Baltics by SEB Group (EUR 200 million).

• Acquisition of Palink (IKI retail chain) by Coopernic Alliance.

• Acquisition of Alfa, Beta and Gama office buildings in Vilnius by Technopolis (EUR 62 million).

• Representation of the Republic of Lithuania in winning the first case in the International Centre for Settlement of Investment Disputes against Parkierings-Compagniet (EUR 37 million).

CSC Baltic – among the most attractive Lithuanian employers

IT services company CSC Baltic has been recognised as one of the TOP10 most attractive Lithuanian employers for the first time. The list of the best workplaces was announced by Lithuanian career website cvmarket.lt “This is recognition from our possible future employees and an award for having the right approach to the current team. We are one of only a few IT companies on the list, so it also brings us responsibility to lead the industry’s standards as the best workplace for IT specialists”, says Antanas Uršulis, Managing Director of CSC Baltic.

CSC Baltic offers the opportunity for IT and other specialists to work with leading companies in different sectors from various countries

around the world. Employees enjoy the flexible work style and individually-tailored personal and professional development. The company also indicates the need for specialists with a knowledge of less popular European languages, and experienced Project Managers. These skills are invaluable when working with foreign companies and global projects. The company is very much orientated towards creating a talent management strategy with universities, school programs and volunteering; the totally new project management talent initiative PM Sunday School or running various social projects.

Opened in March 2008 CSC Baltic is a branch of the CSC global family. Currently the company has more than 340 employees in Vilnius and is constantly seeking for additions to the team.

In September 2013 CSC Baltic opened a sales support hub – the only one of its kind in the region – which provides services for all CSC sales organisations in European countries.

CSC is a global leader of next-generation information technology (IT) services and solutions.

The company’s mission is to enable superior returns on clients’ technology investments through bestin-class industry solutions, domain expertise and global scale.

“Aviva Lietuva” – the most desired employer in Lithuania for the 2nd year in a row Callcredit sets the wheels in motion

Asta Grabinske, CEO Aviva Lithuania

Lithuania's most desirable employer awards were presented for the 10th time this year. Career news portal cv.lt and daily newspaper Verslo zinios gave the opportunity for their internet visitors and readers to submit their opinion about the best employers of Lithuanian businesses.

"This is the second year in a row we have been recognised as the most attractive employer in the country, so it is not an accidental achievement, it is the result of a consistent approach in making

Aviva a nice place to work” said Asta Grabinske CEO of Aviva Lietuva.

“I have heard from candidates who have come to us for job interviews that the thing they remember best are the many smiles in our office. I also found that when I asked why candidates had applied, the answer was "I want to work for Aviva, for the employer of great reputation”.

We appreciate it when a person feels like working for himself, with passion and enthusiasm. People management at Aviva Lithuania is based on talent nurturing. Everyone in our company has an equal opportunity to realise their professional potential and career goals. Over the past five years, 30 employees were promoted either in vertical or horizontal directions.75 percent of our first line managers have been brought up inside the company " Asta Grabinske said.

Aviva Lietuva is a TOP 2 life insurer operating in the market since 2001. The company currently employs 70 specialists at its head office in Vilnius and 500 professional financial consultants across the country.

BEES HAVE CHECKED IN AT BEEHIVE ON THE ROOF OF KEMPINSKI HOTEL CATHEDRAL SQUARE IN VILNIUS the city centre of Vilnius will eventually produce natural raw honey for the hotel and restaurant guests, with 15-25 kg expected annually.

Kempinski Hotel Cathedral Square brought in a local expert Mr. Algis Mikalopas, who has been in the beekeeping business for 24 years and owns over 160 beehives in three different regions. When the hive is at full capacity in the summer, it should be home to approximately 100,000 bees. „Should we have around 15-25 kg of honey at the end of the summer, I'll be very happy since it's the first year and we will get the opportunity to see if it is possible to have bees in the environment of a city center," said Mr. Mikalopas.

Bee Hive on the rooftop of Kempinski in Vilnius

The roof of the Kempinski Hotel Cathedral Square is now home to the Kempinski Bee Suite - a half-contained beehive with around 30,000 inhabitants. It is hoped that the beehive at the 4-storey Kempinski Hotel Cathedral Square in

General manager Kees Heuveling stated that the idea to install a beehive and generate fresh honey for the hotel was inspired by the Kempinski corporate initiative‚ “Best Breakfast in Town”, which fostered the idea of upgrading the honey presentation on the breakfast buffet and strengthening the selection of healthy options on the menus. In addition, the delicious honey will be used by the hotel's culinary team for breakfast pastry and in some of the restaurant beverages or cocktails at the hotel‘s Le Salon Bar and Lounge.

two unique national parks: Lahemaa and Soomaa and will involve cycling across a variety of terrains from roads to single tracks in the forest.

In total there will be around 50 people taking part, both clients and staff from our UK and Lithuanian offices. All will be raising money for UK charity, Candlelighters, plus two small Estonian charities which are part of The Centre of Disability Related Information and Assistive Technology, nominated by our Estonian clients, who will be hosting the event this year.

At Callcredit we love a challenge. Each year we put ourselves and our clients to the test to raise as much money as we can for charity. Our past endeavours have taken us on a number of gruelling road races and climbs including cycling marathons in Lithuania, The National 3 Peaks (2008), The Yorkshire 3 Peaks (2009), Whitehaven to Sunderland (2011), Leeds to Paris (2012) and Mont Blanc (2013) to name but a few.

Our main cycle challenge for this year will be riding coast-to-coast across Estonia in just three days. The whole route will be 233 miles starting from Oandu on the north coast and finishing in Ikla on the south-west coast, passing through

The Centre of Disability Related Information and Assistive Technology is a national consulting centre in Estonia working under the European Social Fund program. The centre offers free guidance to the disabled and their family members all over Estonia regarding assistive technology and home environment accessibility.

Our challenges are always a great way for us to spend some time with our clients and get to know them outside of the work environment, while raising money for a good cause at the same time.

Once more, this year’s challenge is set to be push everyone to their limits!

Euromonitor International Awarded Queen's Award for Enterprise Euromonitor International has been awarded the Queen’s Award for Enterprise, the UK’s most prestigious business award. Euromonitor International received The Queen’s Award for Enterprise: International Trade due to its substantial international sales growth of 155% over the past 6 years.

“This success is attributed to our high quality research from our 1,000 analysts around the globe, strong relationships with existing customers and committed staff in our 12 offices,” - said Euromonitor International Founder Robert Senior.

The Queen’s Awards provide an opportunity to celebrate outstanding business throughout the United Kingdom. The awards are presented by Her Majesty Queen Elizabeth at a reception at Buckingham Palace, and are only given for the highest levels of business excellence.

“In 2013, we expanded our sales into 106 countries worldwide, opened our twelfth office

in Brazil, and won the HSBC/PWC’s Private Business of the Year Award,” - said R. Senior. “I am tremendously proud of our employees and their efforts in making the company such a success.”

Euromonitor International is the world leader in strategy market research offering statistical databases, industry, company and country reports, modelling-driven business information resources as well as Ad-hoc projects. The company was established in London in 1972. In 2005 Euromonitor International opened its regional office in Vilnius responsible for research and business expansion in Central and Eastern Europe.

The company also has regional offices in Chicago, São Paulo, Santiago, Dubai, Cape Town, Singapore, Shanghai, Bangalore, Tokyo and Sydney.

We believe that self-confident people are happier If you do not trust your appearance and think that it keeps you from feeling happy, Northway Aesthetic Surgery Centre team is ready to assist you.

Experienced plastic and reconstructive surgery doctors Arūnas Jankauskas, Indrė Sakalauskaitė, and Darius Jauniškis perform all face, body plastic and reconstructive surgeries.

‘The psychological aspect is also very important in our work because a happy patient is our main objective. Each visit starts with communication, an endeavour to delve deeper into the specific problem. It is very important for us as plastic surgeons to understand our patients’ expectations and whether or not we are able to meet them’, says Doctor of Medicine Arūnas Jankauskas.

According to the doctor, beauty is certainly a component of happiness, but a beautiful appearance does not guarantee that a person will be happy. People often consult plastic surgery specialists on a certain defect in appearance that causes psychological discomfort. Although peers may not notice such defects in appearance, changes provide more self-confidence, inner peace, and contribute to the better well-being of a person.

The total experience of the three surgeons working in the Northway Aesthetic Surgery Centre is 25 years. The doctors jokingly state that whether they like it or not, it is a quarter of a century, but within a quarter of a century you definitely learn what makes people feel happier.

‘A team of three surgeons experienced in plastic and reconstructive surgery brings triple value to a patient, allowing for objective opinion

Mike Guttridge’s first visit was in 2005 to attend a European Association of Law & Psychology Conference where he discussed with Professor Rita Zukauskiene from Mykolas Romeris University the possibility of working with fellow business psychologists.

A year later he and his colleague Terry Gregory presented 4 mini-workshops to staff and students at MRU. Within two months they were back again at MRU and also at ISM. They’ve since delivered further workshops at MRU and ISM, established an excellent working relationship with Professor Dalia Bagdziuniene and the Psychology department at Vilnius University, and presented at the Technical University and Vytautas Magnus University in Kaunas. (A workshop planned at Siauliai University had to be cancelled following a road accident).

They have also presented at a BCCL Breakfast meeting on Stress Management, at the 2010 ICF Coaching Conference in Vilnius, and at Vilnius University’s Psychology Conference in 2012.

In collaboration with Jurgita Jankuviene from Profesiniai Kontaktai consulting in Kaunas they have run workshops on Performance Management & Appraisal in Vilnius.

So what have been the most popular topics of the thirty plus workshops and presentations they’ve delivered?

The main themes have been around Leadership and employability skills with Team Working and Coaching (something that was hardly known in Lithuania, at least in the universities, when we first presented it. There wasn’t even a word for it than just Coaching’as) also popular.

Leadership Emotionally Intelligent Leadership, Resilient Leadership, Leadership & Motivation, Leadership & Employee Engagement, Change Management Employability Skills Impression Management, Career Management, Presentation Skills, Dealing with Difficult People Coaching Career coaching, Executive Coaching, Coaching & Mentoring Team working Developing Teams. Effective Team Working HR & Business Psychology HR & Global HR management, Business Psychology, Consultancy Skills, Psychometric Testing, Performance Management & Appraisal, Stress Management

UAB SORPSAS attends the World Music Awards in Monaco is a market in the Baltics for high quality Internet Arūnas Jankauskas, Indrė Sakalauskaitė, and Darius Jauniškis, plastic and reconstructive surgery doctors

and decision-making based on the experience of several specialists. Both Lithuanians and foreigners express interest in the services our Aesthetic Surgery Centre provides’, said Diana Bumelytė, General Manager of Northway Medical Centre.

Northway Medical Centre provides all types of plastic and reconstructive surgery treatment services. In addition to three experienced surgeons, the centre employs more than 150 medical specialists, and offers daytime surgery, wellness, and rehabilitation services. Northway Centre for Reproductive Medicine is one of the most modern centres for fertility treatment in Lithuania and was opened at the beginning of 2012. Northway Medical Centres operate in Vilnius, Kretinga, and London.

RLN: M&A Transactions in the Region Prove the Market to Be Profitable and Strategically Important As forecasted, both domestically and internationally the Baltic region is starting to be seen as a profitable and strategically important market, with its increasing potential proven by constantly growing numbers of M&A transactions in the region.

Raidla Lejins & Norcous recently worked on a number of the most significant transactions in Lithuania. We advised Baltcap, the leading dedicated private equity and venture capital investor in the Baltic States, on the acquisition of controlling interest in UAB Ecoservice, a leading waste management company in Lithuania, from AB City Service, a holding company listed on NASDAQ OMX Vilnius Stock Exchange which is managing one of the largest groups engaged in facility management and integrated utility services in Europe.

The value of the deal was EUR 16.4 million.

One more notable transaction is the sale of the company group Estrella Maarud to a major sa-

WHAT HAVE SMITH GUTTRIDGE BEEN DOING IN LITHUANIA?

voury snacks manufacturer in Europe Intersnack group. We provided sell-side advice to the investment fund Herkules Private Equity Fund II. For the first time in Raidla Lejins & Norcous’ history, we advised a client on the sale of a football club. We represented UAB Ūkio Banko Investicinė Grupė (ŪBIG) bankruptcy administrator in connection with the sale by Heart of Midlothian Plc. of Edinburgh-based Hearts Football Club to the Scottish company BIDCO (1874) LIMITED. ŪBIG had a controlling interest in the club. BIDCO (1874) LIMITED is a company controlled by Hearts fan and businesswoman Ann Budge. The company, registered with the Companies House on 2014, will be used to exit Hearts from administration and subsequently run the club.

It is likely that Baltic M&A environment in the remaining months of 2014 will see an increase and will surpass the year before.

UAB SORPSAS is an IT innovations company in Lithuania that was formed in February 2014 as an extension to the SORPS Group. In May SORPS presented at the Chambers New Members event; the team enjoyed being part of the Chambers community.

Since May SORPS has continued to grow in the UK and Canada and venture into Lithuania. There are a few developments underway and on the horizon for Lithuanian markets; they see that there

projects.

SORPS is a professional supplier of IT services that meets EU standardisation mandate 376 regarding the United Nations Convention on the Rights of Persons with Disabilities (UNCRPD).

The group provides high-end bespoke webbased systems and bespoke hardware solutions for organisations across the globe. Their specialities are in software development (CMS, CRM ...), image recognition and measurement, Cybernetics, bespoke electronics, secure high performance data analysis, barcode based ordering systems, product unique coding and audio/visual solutions to name a few.

At SORPS quality and International Standards Compliance is key. SORPSAS staff competence and experience continues to grow at pace. At the heart of SORPS is client service and professional results.

In May the heads of UAB SORPSAS attended the World Music Awards in Monaco and met with some of those keen on utilising cutting edge technologies for the Music Industry.

BCC paper issue No 48

BCC paper issue No 47

14 Presenting New BCC Members BCC Small Company Member UAB Angvila

List of BCC Members

BCC Member Mykolas Romeris University

BCC Overseas Member Elcentra Ltd

BCC Sponsor Members

Today’s learning challenges

UAB Angvila is a wholesale supplier of eels to Lithuania and the European Union.

If you are looking for valuable highquality fish, you are on the right track, as UAB Angvila trades in eels farmed in Lithuania by UAB Leteka, a fish farming company that has harnessed the most advanced indoor aquaculture technologies.

Nutritional Value Eel is a fish with valuable nutritional properties. Eel contains B-complex vitamins, vitamins A, D and E, as well as all major minerals. Eel protein is of high nutritional value and contains all the essential amino acids. Eel fat mostly consists of unsaturated acids, which are important for the prevention of cardiovascular disease, improve the functioning of the brain, and reduce the body’s inflammatory response. Eels do not contain sugar, but have a lot of the phosphorus, omega-3 and omega-6 fatty acids needed for proper brain activity. The consumption of eel helps to lower cholesterol, blood pressure and reduce the risk of developing arthritis.

It equally promotes good vision, normal development of the brain and functioning of the nervous system.

Studies have shown that consumption of eel can significantly reduce the risk of developing type 2 diabetes.

Quality Production quality and food safety rank among our main objectives.

The eels on offer from UAB Angvila are fed with feed from Skretting North West Europe, one of the largest global producers of aquaculture feeds, based in the Netherlands.

Technology The eel-farming company UAB Leteka uses technological applications that meet all the quality, hygiene

and food safety requirements and regulations of the EU. This has been made possible through pooling expertise from Hesy, an international company based in Denmark. The company’s experts have installed the equipment and launched the said applications. The company UAB Leteka runs stringent quality controls to meet the highest quality standards.

UAB Angvila closely cooperates with processors capable of implementing our ideas. Together, we continue recipe development and provide products of the highest quality, while maintaining the best nutritional properties of eels. Our smoked eels have been served at a gourmet table and received a very good rating.

UAB Angvila strives to combine different culinary traditions and offers smoked eel and a range of eel products for sale on the Lithuanian and EU market. The products on offer also include raw eel for barbecue, eel canned in its own juice, eel in jelly, and canned smoked eel.

Grilled eel steak is one of the most popular dishes in Japan due to its nutritional properties. Eel steak can also be cooked in a pan. Smoked eel is considered a delicacy not only in Lithuania, but also in Germany, the Netherlands, Denmark and Sweden.

Eel in jelly is a traditional East London food. Eel canned in its own juice also enjoys popularity across Europe.

We have no doubt that this new ingredient will gain popularity among Lithuanian consumers.

Company contact details: Angvila, UAB Address: Miškininkų g. 24, Vilnius Tel.: 860000514 E-mail: angvila.ungurys@gmail.com

Mykolas Romeris University – Young, International and Dynamic Mykolas Romeris University (MRU), located in Vilnius, next to a forest and green park, is the 2nd largest University in Lithuania with about 17,000 students. It has a Library open all night, a growing, diverse, international student body and about 200 doctoral students.

There are more than 800 lecturers teaching in MRU’s five faculties.

MRU is known for having the largest and most influential law, public administration, and social work schools in the country.

University studies programmes take into account the needs of students with a flexible academic schedule allowing for studies parttime or in cycles.

The University offers joint studies programmes: Comparative Social Policy & Welfare joint Master’s studies programme with Tampere (Finland) and the Johannes Kepler Linz (Austria) universities; EU and Governance Master’s programme with Bordeaux IV Montesquieu (France) University; Work and Organizational Psychology with Tallinn Univ of Technology.

Already popular with students, the Business and Media School (BMS) at the Faculty of Social Technologies offers degree programmes along with U.K.’s Middlesex University (MU) in London. Students can receive

double diplomas after completing Bachelor’s and Master’s Degree programmes including Financial Economics, Business Informatics, Communication and Creative Technologies, and others.

In 2014, European and Asian Universities approved creation of the Knowledge Consortium at MRU. It includes these universities: Italy's University of Bologna, Croatia's University of Zagreb, Japan's Josai University, MU, China's Huazhong University of Science and Technology, and Korea's Dongseo University (DSU). It will create joint & double degree study programmes, engage in cross-disciplinary research, student and academic exchanges.

In 2015, researchers will be able to work in the new International Studies Research Academic Mobility Centre.

It will house 9 labs and 2 auditoriums with state-of-the-art facilities.

Contact details: For admissions information contact Agneta Lisauskienė at: agneta@ mruni.eu, tel. (370 5) 2714-603 For general info go to MRU webpage: www.mruni.eu Facebook pg.: https:// www.facebook.com/ MykolasRomerisUniversity MRU Blog at: http://www.atmru. blogspot.com/ or see twitter: @ MRUNewsBureau

While traditional face to face or classroom training fundamentals remain virtually unchanged, elearning technologies are advancing at a rapid pace. Successful online training programs are no longer relies just on one “e” - electronic media presentation of learning materials. So it can be quite complex to implement, deliver and achieve required training outcomes without proper long term planning, technical know-how and pedagogical approaches.

For a company or business, who are new to e-learning, there are many variables to consider - resources and skills needed, authoring tools, learning delivery platforms just to name a few.

The companies who have already invested in e-learning, the common challenges they face are training content updates, adding multiple language support, conversions from flash to responsive or scalable HTML5 content.

Elcentra solutions This is where elcentra L&D consulting comes in. We specialise in four key areas - planning, design, development & support. Elcentra can help you develop innovative and best-practice learning programs and deliver complex e-learning solutions to fit specific organisational and technical requirements including: • Outsource management of elearning Design and Production • Implementing internal e-learning production framework

Bunnahabhain rep. by Mineraliniai vandenys, UAB Production of single islay malt Scotch Whisky www.bunnahabhain.com

• Instructional, User Interface & Interactive Design services

Carlson Wagonlit Travel Corporate travel management www.carlsonwagonlit.lt www.kalevatravel.lt

Elcentra LTD has been established by Šarūnas Vaitkus - an e-learning specialist with 14 years of extensive experience and have worked on countless projects for more than 120 clients in Australia, UK, Russian Federation and Qatar.

DNB bankas Banking www.dnb.lt

Company Contact details:

Containerships and GNS Shipping/Nordic Hamburg order two state-of-the-art ships reduce emissions of CO2, a greenhouse gas, by 25%, according to Gasum.

The new ships also include innovative features: they will offer the highest flexibility for 45-foot units among container ships operating in the North Sea and the Baltic Sea. Each ship will accommodate up to 639 units of 45-foot containers and have a total capacity of 1,400 twenty-foot equivalent units (TEUs). They will also be able to accommodate up to 300 refrigerated containers. Not only the main engine but also the generators will use dual-fuel technology, thus allowing for an eco-friendly way to generate the electricity needed to run the ships and the above-mentioned refrigerated containers, for instance.

The CEO of Containerships, Kari-Pekka Laaksonen, notes that the decision to invest in the dual-fuel engine technology is fully in line with the company’s long-term strategy: “We are a short-sea operator that is in it for the long haul—and these state-of-the art ships are just one part of our long-term strategy. In addition to offering the most ecologically sustainable solution, the intake capacity of these ships will allow us to keep meeting growing customer demand. And we’re confident that both of our partners on this project have the know-how and the experience to deliver.”

We are confident that this project is the right step at the right time. It has been developed in consultation with SMB Naval Architects, under the stewardship of Hans Karel Stam, with whom we have developed other ships in the past.”

CONTAINERSHIPS is a leading short sea end-toend operator providing full service logistics from producer to consumer. The company is present in 21 countries and operates a fleet of 14 ships across the North and Baltic Seas as well as the Mediterranean.

Containerships services are designed to offer a competitive and environmentally friendly alternative to road transport through frequent departures and the use of 45-foot containers that offer the same loading capacity as road trailers.

ARKON Shipping GmbH & Co. KG Haren (Ems) was founded in 1995 by Mr. Westphal and the two shipowners Mr. Wessels and Mr. Jüngerhans. ARKON started with 12 ships and 3 employees. Today ARKON Shipping is responsible for 165 ships and 45 employees.

GlaxoSmithKline Pharmaceuticals www.gsk.lt

ELCENTRA LTD Contact: Šarūnas Vaitkus, Director +44.792.1817.352 | +370.610.99.381 info@elcentra.com | http://elcentra.com

NEXT-GEN SHIPPING: DUAL-FUEL SHORT-SEA SHIPS Containerships Ltd Oy, GNS Shipping/Nordic Hamburg, and ARKON Shipping are pleased to announce that they have ordered 2 two-plustwo, state-of-the-art, dual-fuel engine-technology container ships. The new ships will feature innovative design elements for the European shortsea trade. Containerships will be chartering the ships over the long term, the owner and technical manager will be GNS Shipping/Nordic Hamburg, while Arkon will be the commercial manager and the charter broker.

The ships, both of which will be delivered in the course of 2016, will use liquefied natural gas (LNG) but will also be able to burn conventional marine diesel oil/heavy fuel—hence the “dual-fuel enginetechnology” label. Containerships will thus be the first short-sea container operator in Europe to run ships on LNG. The new container ships will offer the most efficient and environmentally friendly option for transporting containers by sea, and will not just meet but exceed environmental standards in the Sulphur Emission Control Area (SECA) in which Containerships operates.

There are three ways to ensure that sulphur emissions from ships operating in the European SECA do not exceed 0.1% m/m (the limit for sulphur emissions from 1 January 2015 on): use low-sulphur fuel oil, or higher-sulphur fuel together with abatement technology (scrubbers), or LNG. According to a recent survey, most shipping lines operating in the SECA area will use gas oil when the SECA regulations come into force, but industry studies indicate that, in view of the significantly higher cost of fuel oil, over time investments in LNG technology or Scrubber technology will predominate. Containerships’ strategy is to stay ahead of the curve when it comes to environmental regulations, and to be a pioneer in eco-friendly shipping while continuing to offer its customers the best value for money.

LNG makes the best ecological sense: it is the cleanest fossil fuel on the market. Burning it emits no sulphur or particulate matter. Using it in these new ships will also allow Containerships to

Baltic Legal Solutions Lithuania Full service law firm www.blslawfirm.com

In doing so, we can help you to achieve your training and business objectives: • Improve productivity, sales, skills, performance • Reduce training costs • Implement compliance, policies and procedures training • Digitise your business acumen • Produce learning content internally

Or clients include Clarksons, NEST (National Employment Savings Trust), Active Operations Management International (AOI).

The Nordic Hamburg Group was founded by Dr Rowil Ponta and Richard Grube, both of whom have long and successful track records in shipping and finance. Today the Group consists of Nordic Hamburg Shipping, Nordic Hamburg Ship Management and Nordic Hamburg Capital. This structure offers a full range of services in newbuilding project management, ship management and crewing.

GNS Shipping is a strategic joint venture of Guyou Group and Nordic Hamburg Group with an investment focus in modern, efficient ships with top parameters and specifications, especially in view of low consumption and emissions and towards stricter environmental regulations. The fast growing GNS fleet consists of handysize and supramax bulk carriers and up to panmax size containerships. Guyou Group is a family owned enterprise active in steel trading, ship building and ship owning in China respectively Hong Kong.

Sulphur Emission Control Areas (SECAs) are sea areas that are governed by tight restrictions on the environmental impact of shipping fuel. The North Sea and the Baltic Sea, where Containerships operates, are among the areas covered by the regulations.

The regulations, which will come into effect on 1 January 2015, require that all the fuel that ships run on in the SECA area should not exceed 0,1 % of sulphur. There are three options to meet above requirements: using marine gasoil with a lower sulphur content, using higher-sulphur fuel with abatement technology (scrubber) and switching to LNG.

15

PricewaterhouseCoopers Assurance, Actuarial, Advisory, Tax and Legal services www.pwc.com/lt

Strategic Staffing Solutions International Provider of information technology solutions.

Recruitment Services www.strategicstaff.com

BCC PR Partner

BCC Accounting Partner

BCC Corporate & Group Members

AON (http://www.aonbaltic.lt/) / Risk management, insurance and reinsurance brokerage ARIJUS (www.arijus.lt ) / Transport and Logistic services AVIS Rent a Car & Leasing Company (Litideal, UAB) (www. avis.lt) / Car rental and leasing AVIVA LIETUVA, Joint Stock Limited Life Insurance and Pension Company (www.aviva.lt) / Life insurance and pension funds ĄŽUOLYNO Clinic (www.azuolynoklinika.lt) / The first private clinic in Lithuania for psychological problems, psychiatric disorders, alcohol and drug addiction treatment, long – term nursing. Patients can be consulted or hospitalised.

BALTIC AMERICAN MEDICAL & SURGICAL CLINIC (www.bak. lt )/ Health Care BALTIC SURVEYS (Baltijos Tyrimai, UAB) (www.gallup.com) / Market research

BANKSERVIS, UAB (www.bankservis.lt) / Bank and office equipment, security products and solutions BARCLAYS Technology Centre Lithuania (http://www. lifeintechnology.co.uk/global-locations/vilnius-lithuania/) / one of strategic IT engineering centres providing support for Barclays business activity worldwide.

Best Western HOTEL VILNIUS (Naujasis Vilnius, UAB) (www.vilniushotel.eu) / Centrally located Hotel, restaurant, conference centre, fitness centre, swimming pool and sauna BITĖ LIETUVA, UAB (www.bite.lt) / Telecommunications BIURO PASAULIS, UAB (www.biuropasaulis.lt) (www.elektromedia.lt)/ /Office supplies, printing management and IT solutions BNTP, UAB (www.bntp.lt) / Private equity investment; real estate development and investment; asset management; project management; facilities management.

BRIGHT PURPLE RESOURCING (www.brightpurple.co.uk) / Technology and financial services recruitment specialists British Council (www.britishcouncil.lt) / the United Kingdom’s international organisation for cultural relations and educational opportunities.

CALENBERG Vilnius | STEELCASE (www.calenberg.lt) / International moving/ relocation and dealership of the office furniture- STEELCASE CALLCREDIT OPERATIONS, UAB (www.callcreditgroup.com) / Experts in the fields of credit referencing, marketing services, consumer information, interactive solutions and consultative analytics.

CAMIRA FABRICS Ltd (www.camirafabrics.com) / Contract seating & transportation fabric manufacturer CAMPANILE Vilnius Airport Hotel (http://www.campanile. com/en/hotels/campanile-vilnius-airport) / hotel, European cuisine restaurant „Le Restaurant“, Lounge bar, conference center, modern Camper Parking with state of the art facilities CORMACK CONSULTANCY BALTIC LT Ltd (www.ccbaltic.eu )/ Business development, export development, market researches, consultancy in investment, innovation, management - Baltic states, UK, Rusia, India, Italy markets CSC Baltic, UAB (www.csc.com/lt) / IT services and outsourcing DELOITTE (www.deloitte.lt) / Audit. Tax & Legal. Consulting.

Financial Advisory. Enterprise Risk Services DELTA MANAGEMENT SOLUTIONS, UAB (www.deltamanagement.lt )/ Recruitment, Executive Search, Temporary Staffing, Employment Services, Personnel Testing & Assessment, Greenfield Staffing Support EKO RIVI, UAB (www.ekorivi.lt) / Consultancy in municipal and environmental infrastructure EUROMONITOR INTERNATIONAL (www.euromonitor.com ) / Provider of strategic market research on countries, consumers and industries EVERSHEDS SALADŽIUS (www.evershedssaladzius.lt) / Legal services G4S Lietuva, UAB (www.g4s.lt) / Security Solutions covering cash handling, guarding, electronic security, system maintenance, installation, courier service.

GrECo JLT Lietuva, UADBB (www.greco.lt ) / Insurance intermediation GLIMSTEDT (www.glimstedt.lt) / Legal services GUARTIS, AB (www.guarti.lt) / Glass processing & container glass manufacturing HIGHLIFE, UAB / Manufacturing for export timber components for the furniture and construction industries.

HOTEL VANAGUPĖ (Eskom, UAB) (www.vanagupe.lt) / 5* Hotel, Modern Conference centre and luxury GOLDEN Spa centre, gourmet cuisine restaurant L'Ambra Rossa ISM University of Management and Economics (www.ism.lt) / Higher education JURIDICON, Law Firm (www.juridicon.com) / Legal services, tax consulting, corporate services, legal project & risk management. Member of Warwick Legal Network.

KAREN MILLEN (www.karenmillen.com) / retail, women clothing KAUNAS FREE ECONOMIC ZONE MANAGEMENT COMPANY (www.ftz.lt ) / Real estate development Kempinski HOTEL CATHEDRAL SQUARE (http://www. kempinski.com/vilnius) / 5 star luxury hotel in Vilnius KERNAVĖS BAJORYNĖ, Conference and Leisure Centre (www.kernavesbajoryne.lt )/ Conferencies, leisure and other activities KLAIPĖDA FREE ECONOMIC ZONE MANAGEMENT COMPANY (www.fez.lt) / Management and development of Klaipėda Free Economic Zone KPMG Baltics, UAB (www.kpmg.lt ) /Audit, Tax, and Advisory services LawIN law firm (www.lawin.com) / LAWIN is a leading and internationally highest ranked business law firm in the Baltics.

LEINONEN, UAB (www.leinonen.eu) / Accounting services LE MERIDIEN VILNIUS & V GOLF CLUB (www. lemeridienvilnius.com) / 5 star Hotel, 8.000m2 Conference Centre, Catering Services, Spa, Fitness Centre, Leisure, PGA design Golf course, Over the water restaurant, Real Estate LLOYD’S (www.lloyds.com) / Insurance and reinsurance MOTIEKA & AUDZEVIČIUS, Law Firm (www.ma-law.lt) / Legal services NORTHWAY (www.nmc.lt) / Private medical centre NOVOTEL VILNIUS CENTRE (www.accor.com) / Hotel services

ODONTIKA (www.odontika.com) / Dental surgery PERITUS SPRENDIMAI (www.peritus.lt) / EU funding, Project Management, Public Procurement, Strategic Research, PPP PROVIDENT FINANSAI (www.provident.lt) / Personal credits provider and responsible lender PUBLICUM, UAB (www.publicum.lt) / Public Relations, Public Affairs, Management consulting and training PZU Lietuva, UAB DK (www.pzu.lt ) / Insurance QUANTUM CAPITAL (www.qcapital.eu ) / Investment banking & strategic advisory boutique RADISSON BLU HOTEL LIETUVA (www.radissonblu.com/ lietuvahotel-vilnius)/ Hotel, biggest centre located Conference and Event centre, Riverside restaurant, Skybar, Lobby bar, fitness centre and sauna RADISSON BLU ASTORIJA (www.radissonblu.com/hotelvilnius) / Hotel, French restaurant „Brasserie de Verres en Vers“, Astorija Bar, Meetings & Events center, Catering services, Health club with swimming pool RAIDLA LEJINS & NORCOUS (www.rln.lt) - Legal services in all fields of business law in Lithuania, Latvia, Estonia and Belarus REGUS (www.regus.lt ) / The world leading provider of pioneering workplace solutions, with a large range of products and services from fully equipped offices to professional meeting rooms, business lounges and the largest network of videoconference studios.

SCHAGE Real Estate (www.schage.lt) / Real estate development company. Investing in, renting and selling premises for office, residential and commercial use SHAKESPEARE Boutique Hotel (www.shakespeare.lt) / Boutique hotel, Sonnets restaurant, Globe bar, conference halls SORAINEN (www.sorainen.com) / Legal services in all fields of business law in the three Baltic countries and Belarus STOREBRAND BALTIC, UAB (www.storebrand.com ) / Shared service center for Storebrand ASA in Norway and SPP in Sweden. Financial services within life- and health insurance, banking and asset management.

SUE’S INDIAN RAJA (www.suesindianraja.com) / Indian Restaurant TARK GRUNTE SUTKIENE, Law Firm (www.tarkgruntesutkiene. com) / full-service business law firm in the Baltic region and Belarus TRANSCOM Worldwide Vilnius (www.transcom.com) / International provider of outsourced services and solutions in the field of customer contact (client relationship management & credit management). Near shore outsourced services from Lithuania to UK and other European countries.

VANAGUPĖ Hotel (Eskom, UAB) (www.vanagupe.lt) / 5* Hotel, Modern Conference centre and luxury GOLDEN Spa centre, gourmet cuisine restaurant L’Ambra Rossa VARUL, Law firm (www.varul.com ) / Legal services in all fields of business law in Lithuania, Latvia, Estonia and Belarus WESTERN UNION Processing Lithuania UAB (www. westernunion.com) - Financial Services ZABOLIS PARTNERS (www.zabolis.com) / Finance and Real Estate WEST EXPRESS (http://www.westexpress.lt/) / Travel agency, providing and organising professional business and leisure travel services

Small company/NGO Members A Hostel ( www.hostelsvilnius.lt) / Accommodation Services AMBER STAFF (www.amberstaff.com) / Temporary staffing and employee leasing ANGVILA / Wholesale supplier of eels to Lithuania and the European Union NEW! ARTAPRO (www.artapro.lt) / Creative property management BALTIC FILM SERVICES (http://bfs.eu.com) / Film and television production NEW! BCS INTERNATIONAL (www.bcsinternational.net) / The Behaviour Change Specialists, are an international people development organisation, dedicated to the practical use of emotional intelligence to improve individual and team performance.

DEKONA, Evaldo Darškaus IĮ (www.dekona.lt) / Management Consulting: Operational efficiency, Lean, Six Sigma, process improvement D & T Global - Developer of real eastate NEW! EUROCONTINENTAL Limited / Textiles FINREDA, UAB (www.finreda.net) / Corporate services provider.

Legal, financial and business consulting & services including translations to Lithuanian and foreign companies GENCS VALTERS, Law Firm (www.gencs.eu ) / full service, general practice international business law firm with offices in Riga, Tallinn and Vilnius focused on tax, litigation, M&A, corporate, immigration, finance and intellectual property law GROWING TALENT (www.growingtalent.eu) / Providing executive coaching, and delivering training for leadership and talent development LONDON INTERNATIONAL SCHOOL OF LANGUAGES (www. londonisl.com) / Business courses, specialized training for both IELTS and TOEFL university admission exams LitCapital Asset Management (www.litcapital.lt) / independent professional private equity fund management STRESS REGRESS (www.stressregress.com) / A business partnership dealing with stress issues, including testing,

measurement and treatment, and offering advice for a healthier lifestyle including exercise, diet and supplements, among other options MAGISTRAI (www.magistrai.lt) / Translation and interpretation services MARINE FORENSICS Ltd (http://www.marine-forensics.com) / forensic investigations, asset tracing and due diligence MYKOLO ROMERIO UNIVERSITETAS (http://www.mruni.eu) / higher education NEW! RAIMDA Auditas (www.raudit.lt) / Audit SORPS (www.sorps.eu) / International web technologies NEW! TAURAGĖ INDUSTRIAL PARK (www.tip.lt)/ Industrial premises for rent in Southwest Lithuania VILNIUS INTERNATIONAL SCHOOL (www.vischool.lt) / International Baccalaureate World School. Early childhood education, primary and middle school.

VINKLERIS and partners (www.legalconsulting.lt/) / international law firm providing legal advice regarding taxes, company establishment and competition, as well as family and labor law issues OVERSEAS MEMBERS Overseas members Baltic Holidays (www.balticholidays.com) / Tour operator in the UK specializing in Lithuania, Latvia & Estonia ELCENTRA LTD (www.elcentra.com) / E-learning planning and development NEW! TODAY TRANSLATIONS (http://www.todaytranslations.com) / translation, interpreting services Smith Guttridge (www.smith-guttridge.eu) / Business Psychology & HR Consulting including training/coaching, career management and team and leadership development.

BCC Social Members Andrius Končius Chris Butler Christian Ranft Erika Cisotti Geoffrey Cohn (Life Member) Hugh Miles Thomas OBE, FCA Dr Helene Ryding Jūratė Rusteikaitė – Bakšienė Mark Whittle Mervyn Richardson Ron Sheppard Sigitas Žutautas

BCC Board 2013-2015 Honorary President David Hunt HM Ambassador to Lithuania Chairman Chris Butler BCC Social member Field of interest in the board – Events Algirdas Pekšys SORAINEN Field of interest in the board - Goverment relations, Trade & Investment promotion Alistair Day-Stirrat Odontika, Dental Surgery Field of interest in the board - BCC paper Asta Grabinskė AVIVA Lietuva Field of interest in the board – Government relations Ben Harvey Growing Talent Field of interest in the board – CSR Frank Reul Accor Hotels Field of interest in the board – Events Giedrius Dzekunskas Barclays Technology Centre Field of interest in the board – Trade & Investment Promotion Nick Price Bright Purple Resourcing Field of interest in the board – Trade & Investment promotion, Events Robertas Juodka Law Firm VARUL Field of interest in the board - Trade & Investment promotion, Membership Toma Vevelstad Amber Staff Field of interest in the board – Membership Viktorija Trimbel Quantum Capital Field of interest in the board – Trade & Investment Promotion Observer Ieva Binkauskaitė British Embassy, UK Trade and Investment Section

A beautiful face is an index of one’s personality and class A beautifu face is an index of one’s personality and class AND LIKEWISE AND LIKEWISE A beautiful restaurant is an index of its quality and class A beautiful restaurant is an index of its quality and class

Bears the Bears hallmark of both characteristics indicated above the hallmark of boththe the characteristics indicated above So

So

VISIT VILNIUS'S MOST AUTHENTIC INDIAN RESTAURANT VISITLOCATION VILNIUS’ MOST AUTHENTIC INDIAN RESTAURANT AT ITS EXOTIC AND ENJOY THE OUTDOOR SUMMER PLACE WITH THE SUPERB VIEW

AT ITS EXOTIC LOCATION WHERE THE FOOD IS PREPARED

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