Following the suspension of all casino operations in Ukraine on 25 June, Olympic Entertainment Group (OEG) announced on 9 July that it had initiated a liquidation process of its subsidiaries Olympic Casino Ukraine TOV, Ukraine Leisure Company and Eldorado Leisure Company. Olympic is planning to demand investments compensation from Ukraine, based on the investment propitiation and mutual protection agreements signed between the Estonian and Ukrainian governments.

Together with other casino companies that were operating in Ukraine, Olympic is considering appealing to the European Commission. Today the Olympic subsidiary Olympic Casino Easti AS has published its unaudited revenues for the first half of 2009, as required by the Estonian Association of Gambling Operators. Total revenue was €11.1 million, a 54% decline from €24 million for January to June 2008. The decrease was 57% in the first quarter and 50% in the second quarter.

According to Chairman Armin Karu, Olympic has been surprisingly conservative with its investment policy, choosing to carry out its ambitious plans using its own equity even when cheap loan capital was available. “Although 2008/2009 will be much more modest in terms of investment volumes in comparison with earlier years, we will continue to monitor market developments very closely and are determined to benefit from investment opportunities that have good profit prospects.”

Shares of Olympic Entertainment Group are traded in the Main List of the Tallinn Stock Exchange and the Warsaw Stock Exchange. The Tallin index shows that OEG shares that were trading at €2.08 at the end of August last year have since fallen to €0.54 yesterday. (E-07.17.09)

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