VILNIUS, June 28 (Xinhua) -- Lithuanian Railways and Polish oil refining company PKN Orlen reached an agreement on Wednesday, ending years of litigation and disputes on transportation costs.
The state-controlled Lithuanian railways and Orlen Lietuva, a subsidiary of Polish major oil refining company PKN Orlen, signed a partnership agreement setting new transportation tariffs for Orlen's cargos. Both parties also agreed to end litigation on transportation tariffs and unpaid fees.
"We've solved the dispute by finding a compromise and splitting the sums by around half," Mantas Bartuska, the chief executive of Lithuanian Railways, said after signing the agreement.
Orlen Lietuva says the agreement has solved the company's logistic problems.
"We have a stable future. We know what lies ahead of us, what our future costs are, and predictability is key for business," said Ireneusz Fafara, chief executive of Orlen Lietuva.
The agreement follows a major management reshuffle in Lithuania's state run railways company.
At the end of last year, the long-standing chief executive of Lithuanian Railways Stasys Dailydka stepped down amid political and financial controversy. Since then, Lithuanian government and the transportation minister have reshuffled the company's top management. Enditem
