TALLINNA KÜLMHOONE

COMMENTARY TO FINANCIAL RESULTS



COMMENTARY TO THE FINANCIAL RESULTS Q1 2000



The Q1 2000 consolidated reports reflect the results of the following 

subsidiaries:

                                     holding% 		 holding%

                                     31.03.00 		 31.03.99 

Tallinna Külmhoone AS (parent)

AS Tartu Jäälill (Eesti)                100%		     100%

AS Rakvere Jäälill (Eesti)               51%		      51%



In Q1 2000 Tallinna Külmhoone AS consolidated and unaudited net sales 

were EEK 98.5 mln, or EEK 7.9 mln more than (8.7%) in Q1 1999. 



Consolidated net sales by product lines:

Ice-cream		       19%

Frozen foodstuff	     46.8%

Refrigerated foodstuff	     32.5%

Other                         1.7%



In Q1 2000 the company sold 549 tons of ice-cream (46.2 tons or 9.2% 

more than in Q1 1999). Ice-cream exports were 28.6 tons or 5.2% of 

total ice-cream sales. 



In Q1 2000 Tallinna Külmhoone AS consolidated and unaudited net loss 

was EEK 1.1 mln (EEK 782 thousand loss in Q1 1999). The loss was 

mainly due to increased prices of raw materials and increased 

provisions for amortization compared to Q1 1999 (in Q2 1999 new ice-

cream factory launched).



As of year 2000 Tallinna Külmhoone AS will publish its financial 

reports on quarterly basis.





Evald Karu

Management Board member

+372 22 13 369