Market announcement

Title

Bond issue

Message

On 28 August, AS Kalev issued a placing of two-year bonds with a redemption
date of 28 August 2010. The bonds will be issued in two parts - 116.5  million
kroons (7.445 million euros) on 28 August 2008 and 79.1 million kroons (5.055
million euros) on 20 September 2008. 

The nominal value of the bond is 1,000 euros, and the interest rate per year is
the three-month Euribor + margin, the value of which depends on the underlying
assets. 

The obligations arising from the bonds are secured by 51% of the shares of the
AS Kalev subsidiary AS Kalev Real Estate Company. 

The goal of the issue is to redeem bonds previously issued by AS Kalev and AS
Kalev Real Estate Company. 



Allan Viirma
Head of the legal service
688 6616