COMMITTEE'S DECISION ON TALLINNA VESI


On September 3, 2007, the Listing and Surveillance Committee of the Tallinn     
Stock Exchange reviewed the circumstances and materials collected in the course 
of supervisory proceedings carried out with respect to Tallinna Vesi and decided
to give a warning to AS Tallinna Vesi for violation of TSE Rules.               

Circumstances:                                                                  

1. Tallinna Vesi published in Eesti Päevaleht an invitation to the shareholders'
general meeting on April 2, 2007. In the invitation it was announced that the   
general meeting will be held on May 26, 2007. Tallinna Vesi also sent meeting   
invitations by post to all its shareholders, thus informing them additionally   
about the meeting.                                                              

2. Relevant stock exchange announcement was published on April 16, 2007.        

3. In the answer to the TSE's inquiry Tallinna Vesi explained that the delay in 
the publishing the announcement until April 16, 2007 was caused by human error. 

Considering the materials submitted, the Committee concluded:                   

1. AS Tallinna Vesi did not follow properly the information evaluation and      
disclosure obligation in publication of the general meeting invitation on April 
16, 2007. Tallinna Vesi has breached obligations set in “Requirements for       
Issuers” (hereinafter: RI), that oblige the issuer to disclose the information  
about the shareholders general meeting immediately after the date is set and    
ensure that the information is published via the exchange's information system  
not later than it was announced to the shareholders or published by any other   
means. Tallinna Vesi also made additional efforts for bringing the information  
about the meeting to all shareholders by sending letters by post.               
2. Violation of the rules has been evidenced, as assessed by the Committee, by  
the circumstances identified in the course of the supervisory proceedings       
carried out by the TSE.                                                         
3. There are no objective circumstances that would have prevented AS Tallinna   
Vesi to follow the obligations properly. There are sufficient grounds for legal 
protection measures within the competence of the TSE.                           

Background:                                                                     

According to clause 1.2.1. of “Requirements for Issuers” (hereinafter: RI), is  
the Issuer obliged to secure the disclosure of the information specified in     
these Requirements in such a form and within such time limits as specified      
herein.                                                                         
According to clause 2.1.8. of RI is an Issuer prohibited from disclosing inside 
information that may affect on the price of listed securities in reports,       
comments, interviews or by any other means until such information has been made 
public through the Exchange information system.                                 
According to clause 7.2.1. of RI is an issuer obliged to disclose immediately   
information about a decision on the date of the general meeting of shareholders.
An issuer is required to disclose all the important materials concerning the    
agenda of the general meeting.                                                  
According to clause 2.4.1. of RI is information deemed disclosed in accordance  
with these Requirements when made public as a notice through the Exchange       
information system.                                                             



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