PREPARED BY: THE MUNICIPALITY OF PASVALYS REGION For more information please contact: Mr.

Paulius Petkevičius Deputy Administrative Director Vytauto Didžiojo a. 1, LT-39143 Pasvalys Tel. (370 451) 54132; E-mail: paulius@pss.lt www.pasvalys.lt

PASVALYS REGION
economic profile and investment guide

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TERRITORY Pasvalys region extends in the northern part of Lithuania, near the Latvian frontier. There are two towns in Pasvalys region: Pasvalys and Joniškėlis. Area of Pasvalys district is 1289 sq. km., population – 34,9 thousand. The distance from Pasvalys to the main centers: To Vilnius – 178 km. To Kaunas – 158 km. To Šiauliai – 76 km. To Riga – 110 km. To Panevėžys – 39 km. Major highway sections: VIA BALTICA highway Vilnius-Riga Biržai-Šiauliai The highest point of the region is 72,8 m over the sea level. The lowest – 20 m, the medium – 40 m. There are a lot of wells in Pasvalys district, whereof the citizens draw the underwater and groundwater. A part of underwater springs to the ground, on the riverbank, for example, in Auriliškės, Levaniškiai, Gegobrasta, Balsiai, Berklainiai villages, in Pasvalys. The fresh underwater is drawed from several aquifers. The most of water is drawed f Šventoji-Upninkai aquifer of about 200 m thickness. Forests cover only 16.2% of the land. The largest woods are concentrated in the southern part of the region. The biggest wood is the part of Žalioji Forest, which belongs to the district territory. Some smaller woods are concentrated in the northern part of the district. A glacier mass of some two km thickness moved with pauses of 200-300 years. After the glaciers melted, it formed a sierra, which divided Pasvalys region in two parts: the northern Žiemgala lowland and southern Mūša-Nemunėlis lowland. Melted glaciers formed water basin. Clay layers deposited on its ground, currently forming the base of heavy loamy soil. Gypsum inserts have formed, melting of which results in underground cavities, while the ground surface above them sink. Sinkholes are formed. Sinkholes above the water veins cause appearance of steep-edged springs. One of them – the Greenish Spring – a hydro geological monument of Lithuania. Rivers Mūša, Lėvuo, Svalia, Pyvesa, Tatula, Įstras, Mažupė, Orija run through the region. There’s no any natural lake in Pasvalys district. When two of our rivers where dammed, two man-made lakes - Iešmenėlis and Orija - appeared. 2

The agricultural land makes up 74% of all the area (128,9 thous. hectares). Farming lands total a 95758 ha and takes up 74% of all district's area. Arable land takes up 88,3 all farming land, naturals grasslands - 7% and orchards and berry plantation 1%. CLIMATE Panevėžys county Average air temperature January 1997 1998 1999 2000 2001 2002 July 1997 1998 1999 2000 2001 2002 Annual 1997 1998 1999 2000 2001 2002 Annual precipitation, mm 1997 1998 1999 2000 2001 2002 Average thickness of snow 1997 01 I decade in January 1998 01 I decade in January 1999 01 I decade in January 2000 01 I decade in January 2001 01 I decade in January 2002 01 I decade in January

-3,9 0,2 -2,4 -2,6 -0,8 -1,7 18,9 16,4 19,8 16,4 20,9 20,3 6,8 6,6 7,7 8,1 7,1 7,7 600 872 493 640 739 509 18 4 2 16

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Pasvalys is famous for its good soil. The ecological farming, also stockbreeding are well developed in this region. The Municipality indicates dairy farming and cattle breeding as dominating branches. Much attention in the region is paid to agriculture. It was back in 1810 that a school with the teaching of agronomy was established. There is a centre of scientific research – Joniškėlis Experiment Station, also Agricultural Crop Sorts Research Station in Stačiūnai. There is a Joniškėlis Special Agricultural School. After Lithuania regained its independence, Pasvalys affiliated (reached out) the relations with foreign countries. The Municipality maintains relations with: Götene kommun (Sweden) Gundsø kommune (Denmark) Drangedal kommune (Norway) Vitrolles-en-Provence (France) Liévin (France) Iecava (Latvia) For more information please see: http://www.pasvalys.lt/rajonas/rysiai_gotene.html

POPULATION Population dynamics in the region (thous. as of January 1) 1990 36,9 1995 37,2 1996 37,2 1997 37,1 1998 36,8 1999 36,6 2000 36,4 2001* 36,2 2002 34,7 2003 34,6

* after population census - 34,9 (26th of April, 2001) 1997 In Region In Pasvalys In Joniškėlis Number of households Total number of households by final census - 13,79 thous. 1 person households - 3547 2 person households - 3533 3 person households - 2317 4 person households - 2166 5 person households - 944 37,1 9,3 1,6 1999 36,6 9,2 1,5 2000 36,4 9,1 1,5 2001
(as of January 1)

36,2 9,1 1,5

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6 person households - 365 7 person households - 128 8 person households - 42 9 person households - 15 10 or more persons - 22 households - total number of persons in households - 245 Demographic distribution Population by sex and age Total 34980 2001 Men Women 16610 18370 Total 34796 2002 Men Women 16526 18270 Total 34597 2003 Men Women 16444 18153

Working-age -19130 Men - 10164 Women - 8966 Population by education (from age of 10 to 85 years old and over) Higher education - 1784 Higher non university - 5645 Secondary - 6163 Basic - 6442 Primary- 8331 Unfinished primary - 1517 Literate - 182 Illiterate -146 Not indicated - 36

INCOME County I Panevėžys county 351400 II 501600 III 701800 IV 801900 Household income V VI VII 9011000 13011350 13511400 VIII 14011450 IX 20012500 X More than 2500

Average monthly gross earnings excluding personal enterprises - 1073,2 LTL (in 2000), in state sector - 1122,4 LTL, and in the private sector - 1016,6 LTL. Average net earnings, excluding personal enterprises - 757,7 LTL (in 2000), in the state sector - 789,1 LTL and in the private sector - 721,4 LTL.

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ECONOMICS Panevėžys county, Gross Domestic Product (GDP), LTL mill. (1 EUR=3.4528 LTL) 1997 3335,6 1998 3580,8 1999 3245,8 2000 3463,3 2001 3619,9 2002 3743,9

Investment in tangible fixed assets (thous. LTL) Panevėžys county Pasvalys district municipality 1997 371333 19333 1998 1999 2000 2001 2002 479642 396002 363262 448915 507874 21994 14226 14590 12404 32217

Investment by the source of financing: • • • • • • from the Government budget - 1092 thous. LTL from Municipality’s budget - 1116 thous. LTL from own means - 5885 thous. LTL from foreign loans - 1572 thous. LTL from country banking loans - 178 thous. LTL from non-budgetary or other funds - 377 thous. LTL

The main fields of investment: • • • • • • agriculture or other associated services - 3365 thous. LTL education - 1692 thous. LTL healthcare and social work - 1106 thous. LTL construction - 159 thous. LTL water purifying and distribution - 385 thous. LTL gas, steam and water-supply - 479 thous. LTL

Foreign Direct Investment (as of January 1, LTL thousand) 1998 1074 1999 1939 2000 1522 2001 7109 2002 10560 2003 16387

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The need of investments: • • • processing of agricultural products, production of biodiesel development of light industry and food sectors tourism service infrastructure development

Average number of hired employees at their main working place by economic activity
Year Total Agriculture, hunting and forestry A 2000 2001 2002 Year 6596 6147 6087 Total Wholesale and retail trade Hotels and restaurants Transport, storage and communication 1525 1260 1209 Fishing Kind of economic activity Industry Mining and quarrying C Manufacturing D 559 685 743 Electricity, gas and water supply E 62 67 82 Construction F 283 250 226

B -

C+D 559 685 743

Kind of economic activity Financial intermedia -tion Real estate, renting and business activities Public administra -tion and defense; compulsory social security Educa -tion Health and social work Other comm unity, social and perso nal service activit ies O 434 424 431

G 2000 2001 2002 6596 6147 6087 950 821 814

H 50 51 54

I 157 153 149

J 1 1 2

K 115 138 136

L 453 377 376

M 1214 1176 1162

N 793 744 703

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TRADE Pasvalys district municipality as per cent in the national industry Type of production Sales of industrial production 1999 2000 2001 2002 0,2 0,2 1,1 8,5 1,9 1,7 2001 0,4 1,3 9,7 1,6 1,9 2002 0,4

Meat and 1 category subproducts, thous.t Butter, thous.t 0,9 1,0 Fat cheese, thous.t 4,6 6,2 Flour, thous.t 5,5 2,7 Bread and pastry products, thous.t 2,2 1,7 Sales of industrial production 1997 1998 1999 2000 0,4 0,4 0,3 0,4

Exports of goods produced in Lithuania 1997 1998 1999 2000 2001 2002 LTL mill. % LTL mill. % LTL mill. % LTL mill. % LTL mill. % LTL mill. % 1039,9 6,7 1081,9 7,3 1078,7 9,0 1250,3 8,2 1276,6 7,0 1374,2 6,8

ENTERPRISES There are 647 enterprises registered in the district of Pasvalys. Enterprises quantity of main sectors of industry: Wholesale and retail - 49% Production of agriculture - 11% Foodstuffs and beverages - 4% Wood and joiner products - 2% Other (state enterprises, transport, water and heating supply) - 34%

LABOUR FORCE (November, 2003) During the year of 2003, the number of the unemployed was 154 (registered in the Labour Exchange), from which, 59 women (38,3%), 30 young people, by age of 25 (19,5%), 11 (7,1%) pre-pension age people.

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As of 1st January there were registered 3138 unemployed, from which 1384 women (44,1%).

EMPLOYMENT Panevėžys county
Occupation group Total Of which by employment status Employees Employers owners Own-account with employees workers, without employees Family workers

Legislators, senior officers and managers Professionals Technical and associate professionals Service workers and shop and market sales workers Clerks Skilled agricultural and fishery workers Craft and related trades workers Plant and machine operators and assemblers Elementary occupations

7 398 12 530 10 403 11 589 4 852 13 560 15 619 14 065 7 575

4 898 12 260 10 174 9 694 4 829 1 966 14 811 13 701 7 185

2 494 -

238 197 1 817 4 8 167 779 296 198

22 28 71 14 3 400 21 46 185

Labour expenditures Average monthly gross earnings by kind of economic activity
Year Total Agriculture, hunting and forestry Kind of economic activity Industry Manufacturing Construction

2000 2001 2002

720 721 728

581 597 642

601 551 533

601 551 533

732 670 588

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Year

Total Whole Sale and retail trade Hotels and restaurants Transport, storage and communication

Kind of economic activity Real estate, renting and business activities Public administration and defence; compulsory social security 1135 1157 1224 Educaion Health and social work Other community, social and personal service activities 639 635 647

2000 2001 2002

720 721 728

494 499 491

174 236 239

609 581 570

847 783 865

927 935 946

802 825 796

Unemployment rate (%, end of the year) 1991 2,3 1992 2,6 1993 2,6 1994 2,3 1995 3,0 1996 4,1 1997 6,8 1998 8,6 1999 17,2 2000 22,8 2001 22,8 2002 22,8

Labour force offer by education, as of July 1, 2003 (Pasvalys Labour Exchange)
Total From which higher higher non university 1 51 2 607 unfinished primary 6 3

secondary 3 1346

basic 4 1057

primary 5 266

3330 Vocational school qualification, qualification acquired at labour market center during work activities 1098 Unqualified (elementary profession) 1574

669 677

403 654

26 240

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There are 44 education institutions in Pasvalys district municipality. Number of general schools (beginning of academic year)
Number of schools 1999-2000 44 2000-2001 44 2001-2002 41 2002-2003 39 1999-2000 6101 Number of students 2000-2001 6236 2001-2002 6317 2002-2003 6284

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Pasvalys Labour Exchange Pasvalys Labour Exchange is a territorial subdivision of Lithuanian Labour Exchange which implements state employment guarantees on labour market. Mrs. Ona Vasiliuniene, Director Address: Vytauto Didžiojo a.1, Pasvalys Phone: (370 451) 53305; fax: (370 451) 53790 e-mail: administrator@pasvalys.ldb.lt www.ldb.lt/pasvalys

TRANSPORT The main highways in Pasvalys region Pasvalys district is the North Gate of Lithuania because the Via Baltic Highway crosses this district. It is of great help in development of relations with the countries of Western Europe and Scandinavia. Length of this Highway is about 40 km in Pasvalys district. Air transport The nearest airport is in Šiauliai, 71 km from Pasvalys. Railway services The nearest railway is Panevėžys narrow-gauge railway. Bus services Pasvalys Bus Fleet provides local bus services: Vilniaus st. 39, Pasvalys Phone: (370 451) 34132 Information phone: (370 451) 51333 Interurban bus service The main directions: Vilnius Kaunas Klaipėda Šiauliai Panevėžys

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International highways: Riga Tallinn Package express All the courier services are provided. UTILITIES SERVICE Water Provider - Pasvalio vandenys Panevėžio g. 21, Pasvalys Phone: (370 451) 34358 Water consumption by need, 2002 (thous. cubic meters per year) Industrial 206,0 Domestic 838,6 Energetic Agricultural 0,6 Fish breeding Other 0,4

Pasvalys District Municipality Number of population People who consume plumbing water People who consume well‘s water People who consume water from other reservoirs Electricity Panevėžys Electricity Network The branch is supplying electric energy to 149 thousand customers. The total length of electric transmission lines is 16 thous. km. The subsidiary has 6 divisions: Kėdainiai, Biržai, Pasvalys, Kupiškis, Rokiškis and Panevėžys. They provide their customers with electric energy within the limits of territories assigned to the divisions mentioned and are responsible for the maintenance, reliability, and development of electric networks. Pasvalys division: Mr. Algis Jukšta, Vice-chief for the electricity supply Phone: (370 451) 51273; Cell phone: (370 687) 88171 e-mail: algis.juksta@pet.lt 36550 21801 13650 1099

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ELECTRICITY TARIFFS – 2004, LTct/kWh

6-35 kV voltage level Tariff element 0.4 kV voltage level Depending on meters place At primary voltage FOR RESIDENTIAL CUSTOMERS, INCLUDING VAT One-part tariff: for residents for residents, using the electric stoves* for residents, using more than 12000 kWh per year** Time of use tariff: day-time day-time, using the electric stoves* day-time, using more than 12000 kWh per year** night-time and weekend night-time and weekend, using the electric stoves* night-time, using more than 12000 kWh per year** 33.0 27.0 26.0 16.0 13.0 12.0 11.3 11.5 24.0 24.4 29.0 24.0 22.0 20.0 20.4 the 110 voltage (without transmission capacity reserve services) kV level and

At 0.4 kV voltage

FOR ALL OTHER CUSTOMERS, EXCLUDING VAT One-part tariff Two-part tariff with nondifferentiated energy component: power component, LTL/kW per month energy component Two-part tariff with time of energy use component tariff: power component, LTL/kW per month day-time night-time and weekend Two-part tariff with different tariff: power component, LTL/kW per month minimum demand (23.00-7.00 h) medium demand 18.4 23.8 1.2 13.0 15.9 28.5 16.1 1.2 18.2 13.0 1.2 17.5 26.0 8.61

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maximum demand during weekends and holidays (7.00-23.00 h) national

37.5 18.4

24.0 13.0

FOR THE ELECTRODE BOILER-HOUSES, EXCLUDING VAT One-part tariff Differentiated tariff: minimum demand (23.00-7.00 h) medium demand maximum demand during weekends and holidays (7.00-23.00 h) national 8.3 16.4 34.2 8.3 12.1 23.8 47.4 18.0 26.9

Heating Provider - Panevėžys Energy Mr. Stasys Vitkus, Director phone: (370 451) 51726; Fax: (370 451) 51726 E-mail: pasvalys@pe.lt http://www.pe.lt “Panevėžys Energy” produces and supplies heat to residents, industrial enterprises and institutions located in cities and regions of Panevėžys, Kėdainiai, Pasvalys, Zarasai, Kupiškis.

Prices: Hot water supply for the citizens – 10,55 LTL/m3 Cold water supply for the citizens – 4,30 LTL/m3 Gas supply – 2-2,5 LTL/m3 Electricity – 0,12-0,32 LTL/kWh Room heating – 2,5-4,0 LTL/m2

Gas Provider - Lietuvos dujos (http://www.dujos.lt) Panevėžys branch subdivision: Stoties g. 25, Pasvalys Phone: (370 451) 34293 14

Natural gas tariffs for the regulated customers of different categories with annual consumption: Customer Category I, Q* ≤ 90 m3, one-component natural gas tariff – LTL 1.13 per 1 m3 (including VAT). Customer Category I, 90 m3 < Q ≤ 800 m3, two-component** natural gas tariff: - Fixed tariff component – LTL 3.0 per month (including VAT); - Variable tariff component – LTL 0.79 per 1 m3 (including VAT). Customer Category II, 800 m3 < Q ≤ 20 thousand m3, two-component natural gas tariff: - Fixed tariff component – LTL 16.0 per month (including VAT); - Variable tariff component – LTL 0.55 per 1 m3 (including VAT). Customer Category III, 20 thousand m3 < Q ≤ 0.1 million m3, two-component natural gas tariff: - Fixed tariff component – LTL 13.18 per month (excluding VAT); - Variable tariff component – LTL 464.90 per 1000 m3 (excluding VAT). Customer Category IV, 0.1 million m3 < Q ≤ 1 million m3, two-component natural gas tariff: - Fixed tariff component – LTL 13.18 per month (excluding VAT); - Variable tariff component – LTL 456.61 per 1000 m3 (excluding VAT). Customer Category V, 1 million m3 < Q ≤ 5 million m3, two-component natural gas tariff: - Fixed tariff component – LTL 13.18 per month (excluding VAT); - Variable tariff component – LTL 425.10 per 1000 m3 (excluding VAT). Customer Category VI, 5 million m3 < Q ≤ 15 million m3, two-component natural gas tariff: - Fixed tariff component – LTL 13.18 per month (excluding VAT); - Variable tariff component – LTL 401.26 per 1000 m3 (excluding VAT). Two-component natural gas transmission tariff for the eligible customers: - Capacity component – LTL 3,744.41 per one capacity unit (1000 m3) (excluding VAT); - Gas transmission volume component – LTL 10.97 / 1000 m3 (excluding VAT). One-component natural gas distribution tariffs for the eligible customers of different categories with annual consumption: - Customer Category I (Q ≤ 800 m3) – LTL 389.38 / 1000 m3 (excluding VAT); - Customer Category II (800 m3 < Q ≤ 20 thousand m3) – LTL 168.89 / 1000 m3 (excluding VAT); - Customer Category III (20 thousand m3 < Q ≤ 0.1 million m3) – LTL 183.09 / 1000 m3 (excluding VAT); - Customer Category IV (0.1 million m3 < Q ≤ 1 million m3) – LTL 160.61 / 1000 m3 (excluding VAT); - Customer Category V (1 million m3 < Q ≤ 5 million m3) – LTL 129.10 / 1000 m3 (excluding VAT); - Customer Category VI (5 million m3 < Q ≤ 15 million m3) – LTL 105.27 / 1000 m3 (excluding VAT); - Customer Category VII (Q > 15 million m3) – LTL 38.0 / 1000 m3 (excluding VAT).

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Telephone lines People in Pasvalys district municipality have the use of Telecom (www.telekom.lt), Omnitel (www.omnitel.lt), Bitė (www.bite.lt) and Tele2 (www.tele2.lt) communication services. Digital telephone lines implemented. Internet access is available.

LOCAL GOVERNMENT, SERVICES, CONTACTS Municipality administration Council Mayor: Gintautas Gegužinskas Vytauto Didžiojo a. 1, LT-39143 Pasvalys Phone: (370 451) 54101 e-mail: meras@pasvalys.lt Vice mayor: Povilas Balčiūnas Phone: (370 451) 54103 e-mail: povilas@pasvalys.lt

Administrator: Edvardas Trinkūnas Phone: (370 451) 54133 Fax: (370 451) 54134 e-mail: edvardas@pasvalys.lt Administrator‘s assistant: Paulius Petkevičius Phone: (370 451) 54132 e-mail: paulius@pss.lt

Municipal budget revenues and expenditure (LTL thous.) Revenue Of whitch Tax revenue Non-tax revenue 2001 35279 2002 41442 2001 28222 2002 13883 2001 701 2002 1493

Expenditure Capital revenue 2001 2002 1 2001 35929 2002 41209

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Municipal budget expenditure by function of Government, 2002 (LTL thous.) Total Of which ex-penditure Economy Social Of which affairs Education Health Social security Recreation and and welfare culture 41209 5711 30283 19822 734 7018 2709

Other functions of the government 5215

Taxes (LTL thous.)
Taxes, total 13883 Individual income 11568 Tax on profit 85 Land Land rent Immovable property 741 Estate, inheritance and gift 24 Market stall duty 53

1044

369

TOURISM Tourism Information Center Address: P.Avižonio g. 6, LT-5250 Pasvalys Phone/fax: (370 451) 34096 http://muziejai.mch.mii.lt/Pasvalys/pasvalio_krasto_muziejus.htm

Nature spots • • • • • Žalsvasis Spring in Pasvalys city, on the left bank of Lėvuo River – 1 km from “VIA BALTICA” Stone Museum in A.Stapulionis estate in Pasvalys - 1 km from “VIA BALTICA” Pasvalys Culture & Leisure Park - 0,3 km from “VIA BALTICA” Pasvalys Land Museum - 0,5 km from “VIA BALTICA” Ažuolpamūšė mound - 0,5 km from “VIA BALTICA”

LIVING STANDARDS Dwelling • • Leasehold price for well arranged 3 rooms flat/5 rooms house is 50-100 LTL + services Leasehold price for well arranged 3 rooms flat/5 rooms house is for 200 000 LTL.

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MEDICINE Number of hospital beds (end of year) 1998 272 Number of hospital beds 1999 2000 2001 244 232 205 2002 183 Beds per 10 000 population 2000 2001 2002 66,3 58,9 52,9

Pasvalys hospital Address: Geležinkeliečių g. 70, LT-5250 Pasvalys Phone/fax: (370 451) 34096 There are 10 branches, 207 beds in the public institution Pasvalys hospital. The number of physicians is 417. The hospital has a good equipment and skilled staff. Pasvalys primary medical care center Address: Geležinkeliečių g. 70, LT-5250 Pasvalys Phone/fax: (370 451) 34320 Joniškėlis and Pasvalys health centers, Joniškėlis nursing home belongs to this center. There are also 22 medical stations, 6 out-patient clinics. CULTURAL EVENTS Pasvalys Land Museum was opened in September, 1998. The geological exposition in the ground floor shows region‘s geological structure distinction, sinkholes nature. There are also exposed domestic and work implements, applied folk art sector. Libraries The public library in Pasvalys was opened in 1937 by order of minister of Education. In 1994 this library was named Marius Katiliškis public library. It has 34 branches and there are 316 thous. printings. The main branches in this library are: children litterature, periodical publications reading-room, the funds of manuscripts and given books. Library address: Vytauto Didžiojo a. 6/1, Pasvalys.

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SHOPPING POSSIBILITIES Number of shops 1997 241 1998 197 1999 178 2000 170 2001 168 2002 166

There is a large variety of shops in Pasvalys region, where you can find a wide range of domestic and leasure goods. The biggest supermarkets are concentrated in Pasvalys town: • • • AGIS Phone: (370 451) 38190 PIGIAU GRYBO Phone: (370 451) 34224 SAULUTĖ Phone: (370 451) 34130

HOTELS Hotel ŠILAS Šilo g. 4, Pasvalys Phone: (370 451) 50583 Motel PAKELĖS NAMAI Škilinpamūšis village, Saločių local authorities, Pasvalys reg, (nearby the Latvian frontier) Phone: (370 451) 40545, fax: 370 451 40545, cell. phone: (370 698) 75594 3 rooms – 7 places, 80 places ballroom. Hotel PAS RIMĄ P. Avižonio g. 3, Pasvalys phone: (370 451) 50345, fax: (370 451) 50367 40 beds: single rooms - 6, double - 11, triple- 4 Party hall of 50 places.

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