On Tuesday, May 13th 2008 Tallinna Kaubamaja group signed the purchase agreement in order to acquire 100% shares in AS ABC King and in its 100% subsidiary SIA ABC King. With the acquisition Tallinna Kaubamaja group continues the expansion of perspective business lines. AS ABC KING was established in 1993 and is together with 5000 other shops a member of pan-European purchasing group Ariston-Nord-West-Ring Schuh GmbH (ANWR). AS ABC King has 9 stores active under the brand-name of ABC KING, four of them located in Estonia and five in Latvia. Company's sales revenue for 2007 was close to 200 million kroons. The purchase price of the business deal does not exceed 10% of Tallinna Kaubamaja consolidated total assets, owners' equity or sales revenue. Additional information will be published after receiving approvals from Estonian and Latvian Competition Boards and closing the purchase. The transaction does not qualify as an acquisition of significant holding nor a related party transaction. The members of the supervisory board and management board of AS Tallinna Kaubamaja do not have any personal interests in the incorporation of the company. Raul Puusepp Chairman of the Board Phone +372 7315 000