Eesti  Kindlustus  is  currently  conducting  negotiations  with  Sampo

Insurance regarding the EEK 100 million share issue.

The  potential  investor  of Eesti Kindlustus will be determined during

the  first  week of December. Five foreign financial groups from Nordic

countries and Western Europe have indicated their interest.

As  a  result  of the share issue the new partner should acquire 51% or

more of the share capital of Eesti Kindlustus Group.

In addition to the already existing 3.2 million shares Eesti Kindlustus

will  issue  up  to 6,4 million new shares during the share issue. With

the  assistance of the new partner Eesti Kindlustus intends to finalize

the  commenced reorganization of the company and its expansion to other

Baltic countries.