Board decisions

13.12.1999 TLN

Tallinn Stock Exchange Press Release
December 13, 1999

The Supervisory Board of the Tallinn Stock Exchange (TSE) held its meeting on December 10,1999.

1. The Supervisory Board resolved to add a chapter �Take-over Rules� to TSE Rules and Regulations. TSE has also made proposals to amend the Securities Market Act to include take-over rules. The Board will decide the date of which the TSE rules take effect based on the progress with the adoption of relevant legislative acts by the parliament, which is expected to take place in early 2000.
   Take-over rules are based on the principles of the relevant European Union draft directive and they provide a regulatory framework for take-overs of listed companies.
   The rules aim to ensure transparency and legal certainty for minority shareholders, offerors and offerees, thus enhancing investor confidence in securities market as a whole.
   The fundamental principle of the rules is to provide equal treatment to all shareholders in regard to offer conditions and information availability. A person obtaining a controlling interest in the issuer (50% plus one vote) has an obligation to make a take-over bid to all other shareholders.
2. The Supervisory Board authorised the Chief Executive of the TSE to sign the Letter of Intent with Scandinavian bourse alliance Norex. The LoI is scheduled to be signed in January after Board approvals from other parties are received.
3. The Supervisory Board approved amendments to the chapter �Membership Rules� of the TSE Rules and Regulations to enable securities intermediaries from European Economic Area countries, and others with equivalent standards, to obtain remote membership status at the TSE. The requirement of the stock exchange members to own shares in TSE is waived for remote members. The amendments will be effective as of January 10 1999.

The TSE has made proposals to amend the Securities Market Act so as to allow licensed securities intermediaries from these countries to obtain Estonian licenses in simplified order.

Additional information:

Eva Palu
Head of Investor Relations Dpt
Tallinn Stock Exchange
Tel: +372 64 08 840
e-mail: