GOVT. SATISFIED WITH OPERATION OF PUBLIC COMPANIES

ZAGREB, March 6 (Hina) - Most public companies, with which the state had great problems only three years ago, are being reorganised and have started making successful investments, which this year will total 19 billion kuna (2.5 billion euros), Croatian government members said on Thursday, giving the green light to plans in 2003 in eight state-owned companies and those whose majority owner is the state. #L# The green light was given to the plans of Croatian Railways, Croatian Roads, Croatian Highways, Zagreb-Rijeka Highway, Transmitters and Communications, Jadrolinija, Plovput and Croatia Airlines companies. Compared to the situation three years ago, public companies are in a much better position. Investments are gaining momentum - from seven billion kuna in 2001 to 19 billion kuna, and production and employment have been increasing as well, Finance Minister Mato Crkvenac said. Crkvenac believes this was made possible by the government policy and the stabilisation of the situation on the domestic financial and economic market. Croatian Highways plans to open 150 new kilometres of highways and make investments worth 4.3 billion kuna. Croatian Roads plans to build 85 km of new roads and reconstruct another 250 km, as well as make investments worth 922 million kuna. The Zagreb-Rijeka Highway company expects the collection of road toll will yield good results. Jadrolinija's investments in 2003 total 260 million kuna, of which the largest part, i.e. 150 million kuna, will be invested into the construction of new ferry boats. After years of incurring business losses, the national carrier this year plans to make profit. 1 EUR = 7.6 kuna (hina) rml sb