Merko Ehitus                  BALANCE SHEET                     03/19/2002



AUDITED BALANCE SHEET AS OF 31.12.2001



consolidated, in thousand EEK and EUR				



                                             EEK                      EUR

                                31.12.2001  31.12.2000  31.12.2001  31.12.2000

ASSETS				





Cash and cash equivalents           60 814      42 294       3 887       2 703

				

Marketable securities               18 516      95 042       1 183       6 074

				

Accounts receivable                186 861     203 327      11 943      12 995

Allowance for doubtful receivables     -53        -506          -3         -32

Total accounts receivable          186 808     202 821      11 939      12 963

				

Receivables from subsidiary and 

parent companies                     1 735       1 735         111         111

Receivables from associated companies6 941       3 029         444         194

Other short-term receivables        43 112      18 423       2 755       1 177

Total other receivables             51 788      23 187       3 310       1 482

				

Interest receivable                    739         542          47          35

Other accrued income                   254           6          16           0

Total accrued income                   993         548          63          35

				

Prepaid taxes                        6 850       2 546         438         163

Other prepaid expenses               1 534         781          98          50

Total prepaid expenses               8 384       3 327         536         213

				

Raw materials                        4 041       2 516         258         161

Work-in-progress                     9 092         598         581          38

Finished goods                         855       1 781          55         114

Merchandise purchased for resale    32 667       8 112       2 088         518

Prepayments to suppliers               567         578          36          37

Construction-in-progress             5 821      10 464         372         669

Due from customers                  35 281      26 516       2 255       1 695

Total inventories                   88 324      50 565       5 645       3 232

				

TOTAL CURRENT ASSETS               415 627     417 784      26 563      26 701

				

Shares in associated companies      12 489       5 303         798         339

Long-term receivables from 

associated companies                   100                       6	

Other shares, holdings and 

debt securities                      1 800       1 800         115         115

Miscellaneous long-term receivables  7 588       5 020         485         321

Total long-term financial assets    21 977      12 123       1 405         775

				

Land and buildings                  43 021      41 740       2 750       2 668

Ground lease                           458       1 603          29         102

Plant and equipment                 64 064      13 841       4 094         885

Other equipment and fixtures        16 106       9 119       1 029         583

Accumulated depreciation           -53 670     -22 438      -3 430      -1 434

Self-constructed physical 

assets under construction              173                      11

Prepayments for noncurrent 

physical assets                     10 655       2 867         681         183

Total noncurrent physical assets    80 807      46 732       5 164       2 987

				

Purchased concessions, patents, 

licenses, etc.                          96          31           6           2

Goodwill                            -6 773         747        -433          48

Total intangible assets             -6 677         778        -427          50

				

TOTAL NON-CURRENT ASSETS            96 107      59 633       6 142       3 811

				

TOTAL ASSETS                       511 734     477 417      32 706      30 512



				

 				

				

				

LIABILITIES AND OWNERS' EQUITY				



Debentures (except bank loans)      4 533        8 732         290         558

Short-term loans from financial 

institutions                            8          159           1          10

Total debt obligations              4 541        8 891         290         568

				

Customer prepayments                9 865       31 313         630       2 001



Accounts payable to suppliers     122 504      150 957       7 829       9 648

				

Payables to associated companies    1 493        1 337          95          85

				

Tax liabilities                    11 842       11 846         757         757

				

Payables to employees              10 165        7 254         650         464

Interest payable                       10                        1

Other accrued expenses                941          372          60          24

Total accrued expenses             11 116        7 626         710         487

				

Provisions for construction 

warranty liability                  3 737        2 710         239         173

Due to customers                   94 572       94 773       6 044       6 057

Other current provisions              155          437          10          28

Total current provisions           98 464       97 920       6 293       6 258

				

Other pre-paid revenue                              57                       4

				

TOTAL CURRENT LIABILITIES         259 825      309 947      16 606      19 809

				

Non-convertible debt                  204                       13



Accounts payable to suppliers       7 478                      478	

				

TOTAL NON-CURRENT LIABILITIES       7 682                      491

				

TOTAL LIABILITIES                 267 507     309 947       17 097      19 809

				

Minority interests                  5 829       4 003          373         256

				

				

OWNERS' EQUITY				

Share capital                      88 500      88 500        5 656       5 656

Share premium                       2 950       2 950          189         189

Mandatory legal reserve             8 205       4 875          524         312

Retained earnings                  49 213           6        3 145           0

Net profit (- loss) for the 

financial year                     88 312      66 595        5 644       4 256

Exchange rate differences           1 218         541           78          35

				

TOTAL OWNERS' EQUITY              238 398     163 467       15 236     10 447



TOTAL LIABILITIES AND 

OWNERS' EQUITY                    511 734     477 417       32 706     30 512





Ülo Metsaots

Management Board member

6 105 110