PTA Grupp AS STOCK EXCHANGE RELEASE 11.01.2007 Expansion of Retail Operations in 2007 - 2010 On 9 November 2006, PTA Grupp AS published a listing- and trading prospectus reflecting the upcoming changes in the business of the PTA group following the acquisition of AS Silvano Fashion Group. Among other things, the prospectus outlined the general strategy of the group aimed at the aggressive expansion of retail operations, parallel with the development of the existing manufacturing business in the field of lingerie and ladies wear. In line with the aforementioned strategy, the PTA group has drawn up a 4-year expansion plan. The plan builds on the intention to operate two major retail chains: Oblicie (involved in sales of lingerie) and PTA (ladies wear). In addition to Oblicie and PTA outlets, the group will continue to operate a certain amount of retail stores under the brand names Lauma, Milavitsa and Splendo. During the upcoming 4 years, the main markets for the expansion of the group's retail operations are expected to comprise the Russian Federation, Belarus, the Baltic States and Ukraine. At this time, there are a total of 51 retail outlets with the total area of 6,705 m2 (including 13 Oblicie outlets and 13 PTA outlets). By the end of 2007, the group is planning to increase the number of operated retail outlets to over 100, with the total retail area exceeding 15,000m2. By the end of 2010, the group expects to operate over 400 retail outlets with the total retail area exceeding 40,000 m2. PTA Grupp AS will continue publishing up-to-date information on the expansion of its retail activities on an ongoing basis. Peeter Larin PTA Grupp AS Chairman of the Management Board Tel +372 6 710 700