EESTI ÜHISPANK

ANNOUNCEMENT

11.05.99        

 

SAULES BANKA WILL CONTINUE INDEPENDENTLY

 

After thorough analysis of the situation in the Baltic banking  market

and the  possible developments,  Eesti Ühispank  and Latvijas Unibanka

have come to the conclusion that Saules Banka will not be merged  with

Latvijas Unibanka and will continue as an independent bank.

 

With the  large Scandinavian  bank becoming  the strategic shareholder

in the three major Baltic banks,  the strategy and the goals of  those

had  to  be  re-assessed  to  ensure  that  they correspond to the new

situation. As part of this work, Latvijas Unibanka and Eesti  Ühispank

analysed  the  interaction  and  possible  changes  regarding Latvijas

Unibanka and Saules  Banka and came  to the decision  that the current

situation  with  two  banks  operating  as separate entities meets the

group's interests in the best way.

 

Working within one banking  group, Latvijas Unibanka and  Saules Banka

have good possibilities  to contribute to  the interests of  the group

by concentrating on different business areas. While Latvijas  Unibanka

is a universal  bank, servicing both  large corporate and  mass market

clients via an  extensive branch network  covering the whole  country,

Saules Banka will meet the group's need for a specialised bank.

 

Due to the relatively different  clientele of the banks, Saules  Banka

will not be in direct  competition with Latvijas Unibanka; rather  the

two banks will  complement each other  by offering very  good services

to the different client groups.

 

Management of Eesti Ühispank        Management of Latvijas Unibanka

 

Further information:

 

Ott Saame

Eesti Ühispank

Tel: +371 722 4541 (in Latvia)

 

Zenon Olbrys

Latvijas Unibanka

Tel: +371 721 5535

 

Natalja Klendere

Saules Banka

Tel: +371 7020500