BANKS AND GOVERNMENT SIGN AGREEMENT ON "TISAK" COMPANY

ZAGREB, April 23 (Hina) - Croatian Prime Minister Zlatko Matesa said Friday night conditions have been met for the "Tisak" newspaper distribution company to continue functioning. Matesa held talks with representatives of six banks on Friday. The talks were completed by the Privredna Bank Zagreb, Hrvatska Postanska Bank, Splitska Bank and Istarska Bank, as well as the State Agency for Rehabilitation and Restructuring of Banks, on behalf of the Dubrovacka Bank, signing an agreement with the Government on the take-over of the distribution company and ensuring funds for its continued business. The owners of Tisak, the banks, will ensure about US$4 million for Tisak, as well as the guarantee of the Rovinj tobacco plant worth US$2 million for new deliveries of tobacco products, and a number of other prepositions. At a news conference, Matesa said the events surrounding the Tisak company created problems for the Croatian Government, although it had had nothing to do with the situation in which Tisak has found itself. He recalled it was a privately-owned company, and it was very interesting that it was never said in the media how the current situation came about, who signed what contracts with whom, who issued guarantees, who were the members of the company's management board, and who was controlling the company. (hina) lml