Merko Ehitus                  BALANCE SHEET                     02/28/2002



INTERIM BALANCE SHEET AS OF 31.12.2001



consolidated, unaudited,

in thousand of kroons/euros



                                              EEK                   EUR

                                   31.12.2001 31.12.2000 31.12.2001 31.12.2000



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 receivable         -53       -506         -3        -32

      Total accounts receivables      186 808    202 821     11 939     12 963

Receivables from subsidiary and 

parent companies                        1 735      1 735        111        111

Receivables from associated companies   6 941      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                     35 110     26 516      2 244      1 695

                Total inventories      88 153     50 565      5 634      3 232



TOTAL CURRENT ASSETS                  415 456    417 784     26 552     26 701



Shares in associated companies         12 489      5 303        798        339

Long-term receivables from associated

companies                                 100                     6

Other shares, holdings and dept 

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                     42 098     41 740      2 691      2 668

Ground lease                              458      1 603         29        102

Plant and equipment                    58 735     13 841      3 754        885

Other equipment and fixtures           15 619      9 119        998        583

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

Self-constructed physical assets 

under construction                        310          0         20          0

Prepayments for noncurrent physical 

assets                                 10 655      2 867        681        183

      Total noncurrent physical assets 74 205     46 732      4 743      2 987



Purchased concessions, patents, 

licenses, etc.                             96         31          6          2

Goodwill                                             747                    48

    Total intangible assets                96        778          6         50



TOTAL NON-CURRENT ASSETS               96 278     59 633      6 153      3 811



TOTAL ASSETS                          511 734    477 417     32 706     30 512



                                   31.12.2001 31.12.2000 31.12.2001 31.12.2000



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

Short-term loans from financial 

institutions                                8        159          1         10

           Total dept 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



Nonconvertible long-term dept             204                    13

Accounts payable to suppliers           7 478                   478



TOTAL NON-CURRENT LIABILITIES           7 682                   491



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



MINORITY INTEREST                       5 829      4 003        373        256



TOTAL LIABILITIES AND OWNERS` EQUITY  511 734    477 417     32 706     30 512





Ülo Metsaots

Financial Director

6 105 110