At yesterday’s conference call to PKN’s updated strategy, the company mentioned that an important element is implementation of the PKN-Unipetrol partnership program, which should deliver saving of PLN157m including PLN90m this year. The savings should be achieved through cording of productions plans and procurement in refining and integration of wholesale operations. PKN’s annual CAPEX should reach PLN3.4bn against previous target of PLN1.7bn. The difference, PLN1.7bn, includes CAPEX into Unipetrol: significant expansion of steamcracker completed by 2008 and control system modernization in Chemopetrol, new butadiene unit at Kaucuk, PVC installation and increased PVC storage at Spoland, NOx reduction at Unipetrol. PKN targets its EBITDA to reach PLN10bn by 2009 against previous target of PLN6-7.9bn. The company’s dividends should reach 50% of FCFE (Free Cash Flow to Equity), subject to future acquisitions. PKN’s target gearing should remain at 30-40%.