Hansapank                     NEWS RELEASE                05/06/2003 09:00



HANSA CAPITAL RESULTS, Q1 2003



Financial highlights                31.03.03 Pro-forma Pro-forma Pro-forma

                                            31.03.03* 31.12.02* 31.03.02*

Closing value (in millions of                                          

euros)

Total assets                         1 366.9  1 603.6  1 548.5  1 254.4

Financial investments                1 232.6  1 453.8  1 390.0  1 093.9

 Leasing                               997.5  1 155.5  1 100.6    863.8

 Factoring                             139.8    173.3    184.9    142.5

 Loans                                  45.5     70.0     47.9     45.2

 Assignments                             3.6      4.1      5.1      6.5

 Consumer finance                       46.2     51.0     51.4     35.9

Allowance for doubtful receivables     -22.6    -27.1    -24.0    -22.5

(provisions)

Loan resources                         956.3  1 168.2  1 111.7  1 014.2

Equity capital                         110.6    110.6     98.9     64.8

For the period (in millions of                                         

euros)

Net interest income                     13.1     15.8     55.6     13.3

Net commission income                    4.3      4.8     18.1      3.8

Net other operating income               1.5      1.8      6.6      1.2

Total revenue                           18.8     22.4     80.2     18.3

Net profit                              11.5     12.1     47.0     10.6

NIM (net interest margin)               3.9%     4.0%     4.1%     4.4%

ROA (return on assets)                  3.4%     3.1%     3.4%     3.5%

ROE (return on operating equity**)     33.0%    29.2%    32.7%    33.1%

Interest yield on average assets        7.7%     7.8%     8.4%     8.9%

Cost-income ratio before provisions    23.7%    24.2%    26.4%    26.3%

Risk expense***                        0.24%    0.26%    0.46%    0.35%

EVA (in millions of euros)               N/A      9.8     40.1      7.9

Number of employees                      540      650      645      568

*  Pro-forma figures also include the assets, liabilities and economic

results  of  SIA Hanza Lizings, which is legally not a part  of  Hansa

Capital  Group  since  November 2001, but  is  organisationally  still

managed by Hansa Capital.

** Return on operating equity = net income / (Group's average risk-

weighted assets x 11%)

***    Risk   expense   =   (written-off   receivables   -   recovered

receivables)/average portfolio of financial investments



The total assets of Hansa Capital Group (the Group) increased by 55.1

million euros (3.6%) to 1603.6 million euros during the first quarter

of 2003. Annual growth of assets totalled 349,1 million euros or

27,8%. The biggest increase was recorded in the leasing portfolio.



In the geographic distribution Estonia represents the largest share

with 60.8%; Lithuanian formed 19.4% and Latvia 17.2%. At the end of

the quarter Russian assets formed already 2.1% of the total portfolio.



During the first quarter of 2003, the largest growth was in the

Russian portfolio (by 30.8 million euros), which exceeded even

Estonian growth (26.7 million or 3%). The Latvian and Lithuanian

portfolios increased by 1% and 2% respectively, while the Ukrainian

portfolio decreased by 8%. At the end of March annual increases were

29,8% in Estonia, 18,9% in Latvia and 45.5% in Lithuania.



Real estate and private cars hold the largest shares among financed

assets with 31.0% and 24.6% respectively. They are followed by

commercial vehicles (16.1%) and industrial equipment (15.5%). The

share of investments into rail carriages has increased by 2% (Russian

investments) compared to the beginning of the year.



The Group earned 12.1 million euros net profit in the first quarter of

2003, representing an annual increase of 14.2%. 70.8% of the result

came from Estonia. The importance of Estonia has decreased compared to

2002 when the respective share was 73.7%. The main reason is the

launch of Russian operations, which share in the net profit rose to

2.2% in Q1 2003. The importance of Latvia also increased during the

first quarter and amounted to 11.8%. The percentage of Lithuania and

the Ukraine decreased slightly, forming 13.9% and 1.2% of profit,

respectively.





Profit and loss statement

unaudited, in millions of euros      Q1 2003 Pro-forma Pro-forma Pro-forma

                                               Q1 03*    2002*   Q1 02*

                                                                       

Interest income                         25.9     30.8    114.8     27.2

Interest expenses                       12.9     14.9     59.2     13.9

Net interest income                     13.1     15.8     55.6     13.3

                                                                       

Commission income                        4.7      5.3     20.3      4.3

Commission expenses                      0.4      0.6      2.2      0.5

Net other operating income               1.5      1.8      6.6      1.2

Total revenue                           18.8     22.4     80.2     18.3

                                                                       

Operating expenses                       4.5      5.4     21.2      4.8

Profit before provisions and            14.4     17.0     59.0     13.5

financial income

Total provisions                         2.5      4.1      9.1      2.1

Net financial income                    -0.2     -0.3     -0.3     -0.3

Operating profit                        11.6     12.6     49.7     11.1

Income from equity investments           0.0      0.0      0.0      0.0

Extraordinary income (expense)           0.0      0.0      0.0      0.0

Profit before income tax                11.6     12.6     49.7     11.1

Income tax                               0.1      0.6      2.7      0.6

Minority profit (loss)                   0.0      0.0      0.0      0.0

Net profit                              11.5     12.1     47.0     10.6

*  Pro-forma figures also include the assets, liabilities and economic

results  of  SIA Hanza Lizings, which is legally not a part  of  Hansa

Capital  Group  since  November 2001, but  is  organisationally  still

managed by Hansa Capital.



Balance sheet

unaudited, in millions of euros     31.03.03 Pro-forma Pro-forma Pro-forma

                                            31.03.03* 31.12.02* 31.03.02*

ASSETS                                                                 

Bank account                            10.7     10.8     14.2     11.5

Due from customers                      21.2     26.6     25.8     28.2

Financial investments                1 232.6  1 453.8  1 390.0  1.093.9

 Leasing                               997.5  1 155.5  1 100.6    863.8

 Factoring                             139.8    173.3    184.9    142.5

 Loans                                  45.5     70.0     47.9     45.2

 Assignments                             3.6      4.1      5.1      6.5

 Consumer finance                       46.2     51.0     51.4     35.9

Allowance for doubtful receivables     -22.6    -27.1    -24.0    -22.5

(provision)

Net financial investments            1 210.0  1 426.7  1 366.0  1 071.5

Prepayments to suppliers                73.3     82.8     88.5     83.7

Stocks for resale                       21.2     23.8     20.2     23.1

Long-term equity investments             0.0      0.0      0.0      1.1

Tangible fixed assets                   16.2     16.8     17.3     22.1

Intangible assets                        0.1      0.1      0.2      0.2

Accrued income and prepaid expenses     14.1     16.0     16.1     13.1

TOTAL ASSETS                         1 366.9  1 603.6  1 548.5  1.254.4

                                                                       

LIABILITIES AND OWNERS' EQUITY                                         

LIABILITIES                                                            

Loans                                  956.3  1 168.2  1 111.7  1 014.2

Bonds                                  227.9    227.9    232.7     89.9

Bills of exchange                        1.1      1.1      2.2      5.5

Liabilities to customers and            51.7     62.6     69.8     55.2

suppliers

Accrued expenses and prepaid            15.2     18.4     21.0     14.3

revenue

Other liabilities                        0.4      0.4      0.9      0.7

Deferred tax liabilities                 0.9      1.0      1.0      0.7

Negative goodwill                        0.0      0.0      0.0      0.0

TOTAL LIABILITIES                    1 253.5  1 479.6  1 439.1  1.180.4

Minority interest                        2.8     13.4     10.4      9.2

OWNERS' EQUITY                                                         

Share capital                            7.7      7.7      7.7      7.7

Legal reserve                            1.4      1.4      1.4      1.4

Retained earnings                      101.4    101.4     89.8     55.6

Unrealised exchange rate difference      0.1      0.1      0.0      0.2

TOTAL OWNERS' EQUITY                   110.6    110.6     98.9     64.8

TOTAL LIABILITIES AND OWNERS'        1 366.9  1 603.6  1 548.5  1.254.4

EQUITY

*  Pro-forma figures also include the assets. liabilities and economic

results  of  SIA Hanza Lizings, which is legally not a part  of  Hansa

Capital  Group  since  November 2001, but  is  organisationally  still

managed by Hansa Capital.



Additional information:

Tarmo Rooteman

HC Risk Director

Tel. +372 6 131 494

E-mail: tarmo.rooteman@hansa.ee





Mart Tõevere

Head of investor relations

+372 6131 569