Tallinna Kaubamaja               NEWS RELEASE                          04.10.2004



ISSUE OF COMMERCIAL PAPERS



On September 30th Tallinna Kaubamaja AS issued commercial papers in the amount of

15 million EEK (EUR 0,96 million) with the term of  6 months and maturity date on

March 31th 2005. The face value of the commercial papers is 10 000 EEK (EUR 640).

The commercial papers are discounted and the interest rate is 3,8 per cent per

annum.



The interest rate of the emission was formed on the basis of offers presented in

subscription forms. The arranger of the emission was Eesti Ühispank (Estonian

Union Bank).



The funds will be used to finance the working capital of the Group.





Katrin Mühls

CFO and Sales Director

+372 6 673 200