Hoiupank`s  Supervisory  Council appointed Gerd Müller as a Chairman of

the  Board  for  better  coordination  of Hoiupank and Hansapank merger

process today. From

1995-1996  Gerd  Müller  has  been  working as the Managing Director of

Retail  Banking  and  from 1997 as the Head of the Corporate Banking in

Hansabank. Gerd Müller does not own Hoiupank`s shares.

By  the  decision  of  the Supervisory Council previous Chairman of the

Board  Üllar  Jaaksoo  will  stay  as the member of the Board until the

merger with Hansapank will be registered.

The  Supervisory  Council accepted the request by Aimar Jugaste, member

of the Board and Director of the Administrative Division to resing form

the Board wth effect from August 1st, 1998