AS Tallinna Sadam (hereinafter: "Tallinna Sadam") has three related legal
disputes with AS ESTEVE (hereinafter: "ESTEVE"), one of which ended on
07.09.2020. The content of the disputes is described in more detail in the stock
exchange announcement
(https://cns.omxgroup.com/cdsPublic/viewDisclosure.action?disclosureId=918288&me
ssageId=1157183) published by Tallinna Sadam on 17.01.2020. The Harju County
Court is processing the claim filed by ESTEVE AS on 19.12.2019 (hereinafter:
"Claim 1") against Tallinna Sadam for compensation of the loss of revenue due to
the alleged unjustified early termination of the Old City Harbour and Paldiski
South Harbour mooring services contracts in the amount of EUR 379,768 plus
accrued interest. Claim 1 is based on the claims filed by ESTEVE to the Harju
County Court to establish the validity of the mooring service contracts; the
claim filed on 26.08.2016 (hereinafter: "Claim 2") concerning Paldiski South
Harbor and the claim filed on 29.08.2016 (hereinafter: "Claim 3") concerning the
Old City Harbour, as ESTEVE did not agree to the extraordinary early termination
of the agreements by Tallinna Sadam, considering it unreasonable.
On 15.01.2020, the Tallinn Circuit Court decided on Claim 3 by dismissing the
claim filed by ESTEVE Tallinna Sadam concerning establishing the validity of the
Old City Harbour mooring services agreement and ordered ESTEVE to pay the court
fees. ESTEVE appealed in cassation to the Supreme Court. On 07.09.2020, the
Civil Chamber of the Supreme Court decided not to accept the cassation appeal
and therefore the dispute regarding Claim 3 has ended. Out of the total amount
of Claim 1 (EUR 379,768), EUR 226,293 is related to Claim 3, i.e. mooring
services provided in the Old City Harbour. At present, the proceedings
concerning Claim 1 are suspended. The proceedings of Claim 2 are still ongoing
in the Harju County Court.
Since 2017, Tallinna Sadam has formed a reserve to cover a possible claim
related to ESTEVE's claims. In connection with the termination of the dispute of
Claim 3, Tallinna Sadam shall cancel the previously formed reserve in the third
quarter of 2020 to the extent of the expected effect of Claim 3.
Tallinna Sadam is one of the largest cargo- and passenger port complexes in the
Baltic Sea region, which in 2019 serviced 10.64 million passengers and 19.9
million tons of cargo. In addition to passenger and freight services, Tallinna
Sadam group also operates in shipping business via its subsidiaries - OÜ TS
Laevad provides ferry services between the Estonian mainland and the largest
islands, and OÜ TS Shipping charters its multifunctional vessel Botnica for
icebreaking and construction services in Estonia and offshore projects abroad.
Tallinna Sadam group is also a shareholder of an associate AS Green Marine,
which provides waste management services. According to audited financial
results, Tallinna Sadam group's sales in 2019 totaled EUR 130.5 million,
adjusted EBITDA EUR 74.3 million and net profit EUR 44.4 million.
Additional information:
Marju Zirel
Head of Investor Relations
+372 5342 6591
m.zirel@ts.ee (mailto:m.zirel@ts.ee)
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