HANSAPANK

REPORT



AUDITED REPORT ON CHANGES IN EQUITY 31.12.98-31.12.99



year ended December 31                       GROUP            BANK

(EEK in millions)                        1999     1998    1999     1998

                                                                  

Common stock                                                      

Balance at the beginning of the year    787.6    382.4   787.6    382.4

Stock dividends                                    0.0              0.0

Common stock issued under dividend                                

reinvestment



Issue of common stock                            405.2            405.2

Income from previously issued stock                               

options



Balance at the end of the year          787.6    787.6   787.6    787.6

                                                                  

Stock dividends of subsidiaries          20.5     20.5              0.0

                                                                  

Share premium                                                     

Balance at the beginning of the year  2,757.1      0.3 2,756.8      0.0

Share premium                                  2,756.8          2,756.8

Stock dividends                                    0.0              0.0

Balance at the end of the year        2,757.1  2,757.1 2,756.8  2,756.8

                                                                  

Own shares                             -122.2    -22.0              0.0

                                                                  

Retained earnings                                                 

Balance at the beginning of the year    311.1    460.9   260.4    316.0

Net income                              815.0    -60.5   540.3     31.1

Appropriations to reserves              -82.3    -33.7   -73.4    -31.1

Deferred income tax                              -28.9            -28.9

Adjustments                             -12.2      0.0              0.0

Dividends paid                                   -26.7            -26.7

Balance at the end of the year        1,031.6    311.1   727.3    260.4

                                                                  

Reserves                                                          

Balance at the beginning of the year    354.2    320.5   347.1    316.0

Appropriations to general banking        64.0      0.0    64.0      0.0

reserve

Appropriations to deferred tax                                    

reserves



Separation of deferred income tax                                 

from depreciation



Statutory reserve capital                18.3     33.7     9.4     31.1

Other reserves                                                    



Balance at the end of the year          436.5    354.2   420.5    347.1

                                                                  

Unrealised exchange rate differences     38.3    -14.0              0.0

                                                                  

Total shareholders' equity            4,949.4  4,194.5 4,692.2  4,151.9





Mart Tõevere

Investor relations

+372 6131 569