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FANCO S.A.

Completion of the Ordinary Tax Audit

July 6, 2006 In application of paragraph 9d, article 275 of the ATHEX Regulation and of paragraph 1, article 10 of Law 3340/2005, FANCO S.A. informs the investors that it has completed the ordinary tax audit for the fiscal years 2002, 2003 and 2004. The tax audit showed that a total amount of Euro 279,335 should be paid as payable taxes and surcharges. The above amount will be accounted for in the current fiscal year. The company has already paid the amount of Euro 55,877 against the total dues and the balance will be deposited in 24 equal monthly installments.

We remain at your disposal for any further clarification.



For further information, please contact: Mr. Athanassios Margellos, Head of Investor Relations (Τel: +30 210-5708164),(E-mail: investors@klonatex.com), Mr. Ioannis Kalogeras, Communications & Public Relations Director (Tel. +30 210-5708030), (E-mail: press@klonatex.com) or with the Company at tel.: +30 210-5708000, Fax: +30 210-5708200. Website:www.fanco.gr or Mr. Nicolas Bornozis, President at Capital Link Inc. in New York at (212)661-7566. This and additional information can also be accessed on Capital Link's website.

     




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