Baltika                       NEWS RELEASE                      09/26/2003



BONDS ISSUE



AS Baltika issued on 26. September 2003 bonds in the form

of directed issue in amount of 17,5 mil EEK. The

redemption date is 17. March 2006 and the bonds coupon

interest is 7,0%.

The initial offering of the bonds was organized as Private

Placement and the emission was organized by Hansapank.

The bonds will be listed in Tallinn Stock Exchange within

6 months.

The proceeds from the issue will be used in 14. October

2003 for redemption of  the previous commercial papers issue.





Ülle Järv

Management  Board member

+372 6302 731