Siauliu Bankas AB

Company event



The Board's proposals concerning profit distribution, payment of dividend and

increase of the authorized capital



The Board of Siauliu Bankas AB at its meeting of March 16, 2005 approved the

draft decisions which will be submitted to the GMS to be held on March 30, 2005.

The draft decisions prepared by the Board concerning bank's profit

distribution, payment of dividend and increase of the authorized capital provide

for the following:

- out of the distributable capital of LTL 6 551 715.59  to allocate LTL 560 000

to dividend payment and transfer LTL 327 585.78 to the mandatory reserve;

- out of the share premium of LTL 2 275 000 and retained profit of LTL 4 445 000 

to increase the authorized capital of the bank by LTL 6 720 000, by issuing 6

720 000 ordinary registered shares of LTL 1 by nominal value. To distribute as

bonus distribution the newly issued shares in proportion to the total nominal

value held on the day of the meeting;

- to increase the authorized capital of the bank by additional contributions in

the amount of LTL 12.000.000,  by issuing 12 000 000 ORS of LTL 1 by nominal

value. To fix the price of the newly issued shares to be LTL 1.70 per share. To

sell all the shares issued for additional contributions to the European Bank for

Reconstruction and Development;

- to revoke a pre-emptive right of the shareholders to subscribe for the new

shares issued for additional contributions.

It was also decided at the Board meeting to provide information at the GMS

concerning one more share issue that is planned to be issued in 2005 (up to LTL

10 000 000) for the same issue price of LTL 1.70 and offer it for distribution

without revocation of pre-emptive right to subscribe for the shares of the new

issue.





Pranas Gedgaudas

Head of the Brokerage Department

(+370 41) 595653