1. The State shall support cultural and educational projects of producers of public information which are legal persons. State financial support shall be provided to producers of public information by tender and, except for the support specified in paragraph 2 of this Article, through the public establishment Media Support Foundation (hereinafter referred to as the “Foundation”). Each year the Seimas shall allocate the funds from the state budget to the Foundation. State institutions and agencies may not provide financial support or in essence equivalent support to producers of public information. 2. Financial support from the State budget for the publishing of books as well as publishing of works distributed on audio and visual media, and for the production of cinematographic films shall be allocated through the Ministry of Culture and the Ministry of Education and Science on the recommendation of expert commissions operating under the aforementioned Ministries. Article 271. State Support for Publishers whose Newspapers and Magazines Are Delivered to Subscribers in Rural Residential Areas 1. The State shall support publishers of newspapers and magazines whose newspapers and magazines are delivered to subscribers in rural residential areas (hereinafter referred to as “publishers”), except for publishers of newspapers and magazines assigned to publications of erotic and/or violent nature and of such publications in which advertising constitutes over 50% of the text. State financial support for publishers shall be ensured by allocating partial funding to them to reimburse up to 30% of expenses incurred by the publishers in the course of delivery of newspapers and magazines to subscribers in rural residential areas (hereinafter referred to as “delivery”). State partial financial support for publishers shall be provided in accordance with the procedure established by the Government or an institution authorised by it. The Government or the institution authorised by it shall also determine the maximum amount of state partial financial support allocated to a single publisher. 2. State partial financial support for publishers shall be allocated through the Foundation on the basis of applications for reimbursement of delivery expenses and documents proving the expenses of delivery to subscribers. Article 28. Media Support Foundation 1. The Foundation shall operate in conformity with the Law on Public Institutions, this Law and other laws as well as its articles of association. The participants of the Foundation, in accordance with its articles of association, may be associations of artists, organisations of producers of public information as well as other organisations and institutions shaping cultural and educational policy and engaged in cultural and/or educational activities. The articles of association of the Foundation must provide for the procedure of admission of new participants. 2. The Council of the Foundation shall be in charge of its activities. The Council of the Foundation shall consist of 11 members. They shall be elected for each term of office by a general meeting of the participants of the Foundation. A term of office of a member of the Council of the Foundation shall last two years. The same person may not be a member of the Council of the Foundation for more than two

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