Sponda Plc Stock Exchange Release 11 January 2007 at 2.15 pm Not for release, publication or distribution, directly or indirectly, in or into Australia, Canada, Japan or the United States. Finnish Government Proposes State Participation in the Offering According to a release issued today by the Finnish Ministry of Finance, the Finnish government proposes in its supplementary budget proposal that in conjunction with Sponda Plc's issue of new shares, the State of Finland subscribe for the number of Sponda shares corresponding to the proportion of its current shareholding in Sponda for a maximum subscription price of EUR 85 million. On 11 January 2007, the Finnish government approved its supplementary budget proposal for the year 2007 to be presented to the Finnish parliament. Accordingly, Sponda Plc supplements the offering circular, dated 9 January 2007, related to the share offering of the company with the information set out in the appendix to this release, which includes the above mentioned proposal of the Finnish government and the Helsinki District Court's decision, published earlier today, on the claim made by Sampo Bank Plc. Helsinki, 11 January 2007 Sponda Plc Further information: Kari Inkinen, President and CEO, Sponda Plc, tel. +358 (0)9 6805 8202, +358 (0)400-402 653 Sponda Plc is a real estate company specializing in commercial properties in the Helsinki metropolitan area. Sponda's business concept is to own, lease and develop office, retail and logistics properties into environments that promote the business success of its clients. The fair value of Sponda's investment properties is approximately EUR 2.6 billion euros and the leasable area is around 2 million m². Sponda is the largest real estate investment company listed on the Helsinki Stock Exchange. The information contained herein is not for release, publication or distribution, directly or indirectly, in or into Australia, Canada, Japan or the United States. This release does not constitute an offer to sell subscription rights or shares in Australia, Japan, Canada or the United States (save for exemption regarding the private placement). The shares referred to in the release may only be offered or sold in the United States pursuant to an exemption from registration requirements as provided for in the U.S. Securities Act of 1933, or in a transaction not subject to the U.S. Securities Act of 1933 or any applicable laws of the states of the United States. There is no intention to register this offering or any portion of it in the United States or to conduct a public offering of the shares in the United States. This release does not constitute a direct or indirect offer to sell or acquire securities, nor shall there be any sale of the shares in any jurisdiction in which such offer or sale would be unlawful prior to registration of the shares, exemption from registration requirement or other qualification under the securities laws of any such jurisdiction. This release does not constitute an offer of securities to the public in the United Kingdom. No offering circular has been or will be registered in the United Kingdom in respect of the securities, and consequently, the offering is directed only to persons who (i) are outside the United Kingdom or (ii) are persons falling within Article 19(5) ("investment professionals") of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (all such persons together being referred to as "relevant persons"). This release or any of its contents must not be acted on or relied on by persons who are not relevant persons. Merrill Lynch and Nordea are acting for Sponda and for no-one else in connection with the offering and will not be responsible to anyone other than Sponda for providing the protections afforded to the respective clients of Merrill Lynch or Nordea nor for providing any advice in relation to the offering. APPENDIX SUPPLEMENT TO THE OFFERING CIRCULAR OF SPONDA PLC DATED JANUARY 9, 2007 January 11, 2007 Sponda Plc supplements the offering circular, dated January 9, 2007, related to the share offering of the company with the information below. Finnish Government Proposes State Participation in the Offering According to a release issued today by the Finnish Ministry of Finance, the Finnish government proposes in its supplementary budget proposal that, in conjunction with Sponda Plc's issue of new shares, the State of Finland subscribe for the number of Sponda shares corresponding to the proportion of its current shareholding in Sponda for a maximum subscription price of EUR 85 million. On January 11, 2007 the Finnish government approved its supplementary budget proposal for the year 2007 to be presented to the Finnish parliament. The sections in the offering circular titled "Summary - Shares and Shareholders" and "Ownership Structure and Relationship with the State of Finland" are supplemented with the above-mentioned information. Helsinki District Court's decision on Sampo Bank's payment demand The Helsinki District Court has obliged Sponda Plc to pay Sampo Bank Plc interest, penalty interest and litigation costs totalling approximately EUR 7.6 million based on a credit agreement signed on July 2, 1999. Sponda has decided to notify its intent to appeal the ruling. The ruling becomes enforceable unless an appeal is lodged by February 9, 2007. The impact of the ruling on Sponda's result for the year 2006 is approximately EUR 7.6 million. The section in the offering circular titled "Business of Sponda - Certain Information Regarding Sponda Post Completion of the Acquisition of Kapiteeli - Legal Proceedings" is supplemented with the above-mentioned information.