Effective of June 15, OTC drugs can be sold outside pharmacies, i.e. petrol stations, supermarkets, etc. OTC drugs formed c 20% of Zentiva’s pharmaceutical sales in the 1Q06 and grew by 35% y/y. We see the news as positive for Zentiva as it should support its OTC portfolio growth. At the same time, the ministry of Health is preparing a new re-imbursement decree (done 2-3 times a year), which reduced reimbursements. Its mostly foreign pharmas protesting against this measure and have until June 16 time to submit their objections. The decree is expected to come into force as of August. Lower reimbursement may have a negative impact on the whole domestic pharmaceutical market, subject to new pricing of drugs by the pharmas, nevertheless, the step should ultimately benefit generic drug producers given the lowest pricing of their products.