Announcement of sale and acquisition of an indirect holding in AS Tallinna Vesi

As required by § 185(2) of the Estonian Securities Market Act, we hereby inform 
you that on 29th of October 2010 United Utilities Group PLC and the European    
Bank for Reconstruction and Development (EBRD) executed a transaction whereby   
United Utilities Group PLC acquired the EBRD's 25% indirect shareholding in     
United Utilities (Tallinn) B.V.                                                 

This increases United Utilities Group PLC's indirect shareholding in AS Tallinna
Vesi from 26,48% to 35.3% and reduces the EBRD's indirect shareholding in AS    
Tallinna Vesi from 8.82% to 0%. The transaction did not change the number of    
shares or votes held by United Utilities (Tallinn) B.V. in AS Tallinna Vesi.    
United Utilities (Tallinn) B.V remains with a total shareholding in AS Tallinna 
Vesi of 35.3%.                                                                  

AS Tallinna Vesi as the Issuer is required to notify the stock exchange of      
changes in substantial ownership as per § 186 of the Securities Market Act.     

Priit Koff                                                                      
Head of Public Relations                                                        
AS Tallinna Vesi                                                                
+372 62 62 209                                                                  
Priit.koff@tvesi.ee