Merko Ehitus                  NEWS RELEASE                      04/08/2004



DECISIONS OF ANNUAL GENERAL MEETING



Minutes of the annual general meeting of shareholders (excerpt) in Tallinn, 

on 07.04.2004.



I.	Approving of 2003 annual report



Having reviewed the annual accounts and activity report ("Annual Report"),

auditor’s report and profit distribution proposal of AS Merko Ehitus for

2003, to resolve to approve the Annual Report of 2003 prepared by the board

of AS Merko Ehitus and approved by the council.





II.	Deciding on the distribution of profit



It was resolved to distribute the profit of AS Merko Ehitus on the basis of

the approved annual accounts pursuant to the profit distribution proposal

submitted to the general meeting as follows:



(i)     to approve the net profit of the financial year of 2003 in the

        amount of 184 472 685 (one hundred and eighty-four million four

        hundred and seventy-two thousand six hundred and eighty-five)

        Estonian kroons (EUR 11 789 923);



(ii)    to pay dividends to shareholders from the net profit of 2003 in

        the total amount of 37 170 000 (thirty-seven million one hundred

        and seventy thousand) Estonian kroons (EUR 2 375 590), which makes

        4 kroons and 20 sents (EUR 0,27) per share;





        all shareholders entered in the share ledger of AS Merko Ehitus

        as of 22 April 2004 at 8:00 hours a.m. are entitled to dividends;



        dividends shall be paid to shareholders not later than on 23 April

        2004 by remitting the respective amount to the current account tied

        to the shareholder’s securities account;



(iii)   to maintain the rest of the net profit undivided.





III.    Appointment of auditor for the financial year of 2004



It was resolved to appoint auditing company "Audit EA", as auditor of AS

Merko Ehitus for the financial year of 2004 and to pay to them pursuant to

the contract to be concluded.





Alar Lagus

Member of the Board

+372 6805 109