XXL.EE

ANNOUNCEMENT



SALE OF HOLDING IN SUBSIDIARY



AS XXL.EE sold 100% shares of PCT Arvutite AS to a private investor, 

Andreas Kiep of Germany. The shares were sold at price of EEK 1 

million. PCT Arvutite AS will also take over XXL.EE's guarantee 

liabilities from sale of computers during years 1997-1999. Proceeds 

from sale of shares will mainly be used to partially repay the loans 

taken by XXL.EE's predecessor AS PCT Group in order to develop 

production of computers.



PCT Arvutite AS produces computers and computer components, and 

provides related services. The company is active in Estonian and 

Finnish markets.



Sale of shares in PCT Arvutite AS was the next step in restructuring 

AS XXL.EE into an interactive digital media services provider under 

XXL Digital trademark. After this transaction XXL.EE will own one 

subsidiary, PCT Riga (52% shareholding), which activities are not 

related with XXL.EE's main business field. XXL.EE intends to sell its 

holding in PCT Riga in the near future.





Arho Anttila arho@xxl.ee

chief executive

+372 65 07 500