Börsiteade

Pealkiri

AS Ekspress Grupp: Consolidated Annual Report 2014

Teade

Tallinn, Estonia, 2015-03-23 09:15 CET (GLOBE NEWSWIRE) --


The year 2014 was a successful year for Ekspress Group. In year-on-year
comparison, the consolidated EBITDA of the Group increased by 22% to almost EUR
9 million. Consolidated net profit was 30% higher and amounted to EUR 4.6
million. The EBITDA margin was 14.5%. The actual results were also higher
compared to our cautiously budgeted EBITDA of EUR 8 million and net profit of
EUR 3.8 million. 

The above figures include all our joint ventures (AS SL Õhtuleht, AS Ajakirjade
Kirjastus and AS Express Post) consolidated 50% line-by-line. Starting from
2014, in consolidated financial reports 50% joint ventures are recognised under
the equity method, in compliance with new international financial reporting
standards (IFRS). The change in this accounting policy does not affect the net
profit, but decreases annual sales revenue approximately EUR 8.6 million and
EBITDA approximately EUR 1.0 million. In its monthly reports, the management
has continued to monitor the Group’s performance on a basis of proportional
consolidation of joint ventures and the syndicated loan contract also
determines the calculation of some loan covenants by proportional
consolidation. For the purpose of clarity, the management report shows two sets
of indicators: one where joint ventures are consolidated line-by-line 50% as
previously and the other where joint ventures are recognised under the equity
method and their net result is presented as financial income in one line. In
Note 2 of the financial statements, the impact of every joint venture on the
respective line of the income statement and balance sheet is described in more
detail. 

The income statement includes financial income in the amount of EUR 1.9 million
resulting from the acquisition of shares of AS Ajakirjade Kirjastus and AS SL
Õhtuleht from AS Eesti Meedia, their sale to OÜ Suits Meedia and subsequent
restructuring. In essence, joint ventures with AS Eesti Meedia were sold and
new joint ventures were acquired together with OÜ Suits Meedia. In addition, as
a result of these transactions, trademarks, other intangible assets and
goodwill in the acquired joint ventures are now recognised at their fair value
in both the balance sheet of the joint ventures themselves and the Group (where
joint ventures are 50% consolidated). In the income statement, the depreciation
cost of these trademarks and other assets is recognised subsequently thus
decreasing the net profit. 

In addition to the above, the net profit was influenced by the impairment of
goodwill related to Delfi Latvia in the amount of EUR 1.4 million. It is partly
attributable to the decision made in the first half of 2014 to invest in the
strengthening of the editorial office of Delfi Latvia which has had an impact
on the entity’s financial results and partly to the downturn of the economic
climate, caused mainly by the events in Ukraine. 

The Group’s financial leverage improved notably during the year. The Group’s
total debt to EBITDA ratio (based on 50% proportional consolidation of joint
ventures) decreased down to 2.57 by the end of the year and the debt service
coverage ratio increased up to 1.90. Today our balance sheet allows us to look
very aggressively towards new investment opportunities. 

<strong style="font-size: 11pt;">M<strong style="font-size: 11pt;">edia
segment<span style="font-size:11pt;"> which includes 50% joint ventures
achieved EBITDA growth of 44% compared to last year, totalling EUR 4.0 million.
Starting from the third quarter when the Lithuanian magazine publisher UAB
Ekspress Leidyba was merged with Delfi Lithuania, we no longer separate online
media from periodicals, and talk about one media segment which represents both
online and print media. The online revenue of Delfi Lithuania continues to be
reported separately.</span> 

In the media segment, the biggest EBITDA growth was achieved by Delfi Estonia,
exceeding last year’s result by 98% and amounting to EUR 0.6 million. The
strong result of Delfi Estonia is due to excellent work of the editorial office
in increasing the readership of the portal that has enabled the advertising
sales team to increase the revenue faster than the market in average. The rapid
growth of new products, especially online topical portals and video solutions
played an important role in increasing the revenue. 

Although Delfi Latvia saw the EBITDA decrease 32% compared to year ago, it
still earned a profit of EUR 0.1 million. In all three Baltic States, the
competition in Latvia is the toughest. Acquisitions made by competitors to
increase their market share have essentially equalled the readership of the
three largest portals in Latvia, although Delfi remains the country’s largest
news portal and for a few months in the autumn was also Latvia’s largest
internet environment. In such a tough competitive situation we decided not to
invest in acquisitions, but in the development of our own product, increasing
editorial office and opening new topical portals. For this reason, costs in
Delfi Latvia in 2014 were higher than we had planned at the start of the year. 

EBITDA of Delfi Lithuania increased 23% in a year to EUR 1.3 million. The
result of Delfi Lithuania was most affected by the merger with other group
company Ekspress Leidyba, the Lithuanian magazine publisher, as a result of
which we managed to optimise the organisational structure, while creating
possibilities for selling online and print advertising packages. 

It was also a good year for publishers. Although advertising income was largely
in a downward trend, subscription income increased. AS Eesti Ajalehed that
publishes newspapers Eesti Ekspress, Eesti Päevaleht and Maaleht improved its
result by 46% and earned EUR 0.5 million in EBITDA. Contribution to the result
during the year came from the series of Estonian children’s films that were
produced in cooperation with a group’s book publisher Hea Lugu, and a series of
detective novels, a cooperation project with third party book publisher Varrak.
Our book publishing company Hea Lugu provided a positive surprise by earning an
annual profit of EUR 0.1 million which is an increase of 71% from a year
earlier. The strong annual result was attributable to the series of children’s
films in the first half and to several bestsellers published. 

AS SL Õhtuleht increased its EBITDA result by 61% in a year to EUR 0.7 million.
The result of AS Ajakirjade Kirjastus also improved this year, increasing by
49% and totalling EUR 0.5 million by the end of the year. The result of both AS
SL Õhtuleht and AS Ajakirjade Kirjastus was influenced positively by smaller
printing costs resulting from entering into new printing contracts with AS
Kroonpress and AS Printall. Express Post, a home delivery service provider,
grew 33% in a year, earning EUR 0.7 million in EBITDA. 

Since only the net profit of our joint ventures is recognised in the Group’s
consolidated income statement prepared in accordance with new IFRS, the direct
positive impact on consolidated results will be smaller due to amortisation of
the trademarks and customer relations which now appear in the balance sheet of
the joint ventures of AS SL Õhtuleht and AS Ajakirjade Kirjastus as a result of
restructuring. However the positive impact is reflected in the EBITDA of the
joint ventures themselves. 

One of the most significant events in 2014 was the ending of the court dispute
over the ownership of AS SL Õhtuleht and AS Ajakirjade Kirjastus. As a result
of the dispute, AS Suits Meedia replaced AS Eesti Meedia as a shareholder in
those two joint ventures. The immediate positive impact of the change in
ownership was a significant decrease in the cost of printing services. In
addition to a direct economic effect, this decision also has a long-term
positive impact on the companies which have now more possibilities to compete
in the market. 

Very important event for the media segment was the growth in the number of paid
digital subscriptions which exceeded 10,000 subscribers at the end of the year
both for newspaper Eesti Ekspress and Eesti Päevaleht. It is also worth
mentioning that weekly newspaper Eesti Ekspress celebrated its 25th birthday in
autumn and at the same time Delfi celebrated its 15th birthday. 

For online media companies, one of the most significant projects in 2014 was
the development of the discount price portal Zave. By the end of the year,
approximately 150 different merchants in the three Baltic States participated
in this project. 

The printing services segment increased its results ca 1% year-on-year and
earned approximately EUR 6 million in EBITDA. In 2014, the key event in the
printing services segment was the decision to acquire a new printing machine
and its arrival in the last month of the year. The new sheet fed machine
started production at the beginning of 2015. 

At the end of the year we decided to launch a new business line – arrangement
of entertainment events. The first project will be an exhibition in Riga about
RMS Titanic that sank on her maiden voyage. The exhibition will open in the
first half of 2015. After the Titanic exhibitions we will decide our further
steps in terms of developing the business line of entertainment events. 

In 2015 we expect the Group’s business to gather pace and financial capability
to increase. We expect to increase the consolidated revenue by 5% and the
EBITDA by 8% at least. This includes 50% of the results of our joint ventures. 

At the start of January we announced a merger between AS Eesti Ajalehed and AS
Delfi into one entity. The objective of this step is to cut administrative
bureaucracy in joint transactions between the two closely linked companies, to
increase journalistic quality through the cooperation of editorial offices of
both media entities and to provide paper and digital newspapers direct access
to the marketing capacity of Estonian largest portal. For our advertising
customers we wish to provide access to all our platforms from a single sales
organisation. 

We continue to develop the discount price portal Zave, a new innovative
customer communication tool for retail merchants. We have also set a goal to
increase the number of paid digital subscriptions up to 20 thousand by the end
of the year. 

We have also started the project in investing into Baltic startup companies
with the objective of supporting young businesses that could develop their
business with the help of the Group’s marketing power in Baltic states and
prepare expanding to larger international markets. 

Our mission remains to offer new and interesting experiences both on paper and
in digital media, without ever compromising on news quality, choice of topics
and journalistic objectivity. 



Starting from 2014, in consolidated financial reports 50% joint ventures are
recognised under the equity method, in compliance with new international
financial reporting standards (IFRS). In its monthly reports, the management
has continued to monitor the Group’s performance on a basis of proportional
consolidation of joint ventures and the syndicated loan contract also
determines the calculation of some loan covenants by proportional
consolidation. For the purpose of clarity, the management report shows two sets
of indicators: one where joint ventures are consolidated line-by-line 50% as
previously and the other where joint ventures are recognised under the equity
method and their net result is presented as financial income in one line. 



 FINANCIAL INDICATORS AND RATIOS – joint ventures consolidated line-by-line 50%

<span     <span style="font-size:9pt;">2014</span>    <span
style="font-size:9pt;">2013</span>     <span style="font-size:9pt;">Change     
<span style="font-size:9pt;">2012</span>    <span
style="font-size:9pt;">2011</span> 
 style                                                                         
                                %</span> 
="font 
-size: 
9pt;"> 
Perfor 
mance 
 indic 
ators 
 – 
 joint 
 ventu 
res 
 conso 
lidate 
d 50% 
 (EUR 
 thous 
and)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span   <span style="font-size:9pt;">61 384</span>  <span
style="font-size:9pt;">58 427</span>    <span style="font-size:9pt;">5%</span> 
<span style="font-size:9pt;">59 706</span>  <span style="font-size:9pt;">57
391</span> 
 style 
="font 
-size: 
9pt;"> 
Sales 
 reven 
ue</sp 
an> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">8 878</span>   <span
style="font-size:9pt;">7 264</span>   <span style="font-size:9pt;">22%</span>  
<span style="font-size:9pt;">7 882</span>   <span style="font-size:9pt;">6
968</span> 
 style 
="font 
-size: 
9pt;"> 
EBITDA 
</span 
> 
<span    <span style="font-size:9pt;">14.5%</span>   <span
style="font-size:9pt;">12.4%</span>                                            
<span style="font-size:9pt;">13.2%</span>   <span
style="font-size:9pt;">12.1%</span> 
 style 
="font 
-size: 
9pt;"> 
EBITDA 
 margi 
n 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">5 638</span>   <span
style="font-size:9pt;">4 647</span>   <span style="font-size:9pt;">21%</span>  
<span style="font-size:9pt;">4 596</span>   <span style="font-size:9pt;">3
443</span> 
 style 
="font 
-size: 
9pt;"> 
Operat 
ing 
 profi 
t* 
 </spa 
n> 
<span     <span style="font-size:9pt;">9.2%</span>    <span
style="font-size:9pt;">8.0%</span>                                             
<span style="font-size:9pt;">7.7%</span>    <span
style="font-size:9pt;">6.0%</span> 
 style 
="font 
-size: 
9pt;"> 
Operat 
ing 
 margi 
n* 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">(732)</span>   <span
style="font-size:9pt;">(763)</span>    <span style="font-size:9pt;">4%</span>  
          <span style="font-size:9pt;">(1             <span
style="font-size:9pt;">(2 
 style                                                                         
                                                                               
         549)</span>                                 212)</span> 
="font 
-size: 
9pt;"> 
Intere 
st 
 expen 
ses</s 
pan> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">4 620</span>   <span
style="font-size:9pt;">3 548</span>   <span style="font-size:9pt;">30%</span>  
<span style="font-size:9pt;">2 682</span>     <span
style="font-size:9pt;">893</span> 
 style 
="font 
-size: 
9pt;"> 
Profit 
 for 
 the 
 perio 
d*</sp 
an> 
<span     <span style="font-size:9pt;">7.5%</span>    <span
style="font-size:9pt;">6.1%</span>                                             
<span style="font-size:9pt;">4.5%</span>    <span
style="font-size:9pt;">1.6%</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 margi 
n* 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">5 110</span>   <span
style="font-size:9pt;">1 081</span>  <span style="font-size:9pt;">373%</span>  
<span style="font-size:9pt;">2 525</span>   <span style="font-size:9pt;">1
683</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 profi 
t for 
 the 
 perio 
d in 
 the 
 finan 
cial 
 state 
ments 
 </spa 
n> 
<span 
 style 
="font 
-size: 
9pt;"> 
(incl. 
 impai 
rments 
 and 
 gain 
 on 
 chang 
e of 
 owner 
ship 
 inter 
est)</ 
span> 
<span     <span style="font-size:9pt;">8.3%</span>    <span
style="font-size:9pt;">1.9%</span>                                             
<span style="font-size:9pt;">4.2%</span>    <span
style="font-size:9pt;">2.9%</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 margi 
n 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span     <span style="font-size:9pt;">6.6%</span>    <span
style="font-size:9pt;">1.4%</span>                                             
<span style="font-size:9pt;">3.2%</span>    <span
style="font-size:9pt;">2.0%</span> 
 style 
="font 
-size: 
9pt;"> 
Return 
 on 
 asset 
s ROA 
 (%)</ 
span> 
<span    <span style="font-size:9pt;">11.4%</span>    <span
style="font-size:9pt;">2.5%</span>                                             
<span style="font-size:9pt;">6.4%</span>    <span
style="font-size:9pt;">4.4%</span> 
 style 
="font 
-size: 
9pt;"> 
Return 
 on 
 equit 
y ROE 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span     <span style="font-size:9pt;">0.17</span>    <span
style="font-size:9pt;">0.04</span>                                             
<span style="font-size:9pt;">0.08</span>    <span
style="font-size:9pt;">0.06</span> 
 style 
="font 
-size: 
9pt;"> 
Earnin 
gs per 
 share 
 (EPS) 
</span 
> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 

<span style="font-size:9pt;">* </span><span style="font-size:9pt;">The results
exclude allowances on impairments and one-off gains in relation to the
acquisition in Eesti Päevalehe AS in 2011 and the change in ownership structure
in joint ventures AS Ajakirjade Kirjastus and AS SL Õhtuleht in 2014. More
information is disclosed in the Note 14 and Note 26 to the financial
statements.</span> 



<span   <span style="font-size:9pt;">31.12.2014</span>  <span
style="font-size:9pt;">31.12.2013</span>                   <span               
   <span style="font-size:9pt;">31.12.2012</span> 
 style                                                                         
                         style="font-size:9pt;">Change%</span> 
="font 
-size: 
9pt;"> 
Balanc 
e 
 sheet 
 – 
 joint 
 ventu 
res 
 conso 
lidate 
d 50% 
 </spa 
n> 
<span 
 style 
="font 
-size: 
9pt;"> 
(EUR 
 thous 
and)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 
<span 
 style 
="font 
-size: 
9pt;"> 
At the 
 end 
 of 
 the 
 perio 
d</spa 
n> 
<span       <span style="font-size:9pt;">15 189</span>      <span
style="font-size:9pt;">14 447</span>   <span style="font-size:9pt;">5%</span>  
   <span style="font-size:9pt;">13 545</span> 
 style 
="font 
-size: 
9pt;"> 
Curren 
t 
 asset 
s</spa 
n> 
<span       <span style="font-size:9pt;">65 665</span>      <span
style="font-size:9pt;">63 019</span>   <span style="font-size:9pt;">4%</span>  
   <span style="font-size:9pt;">66 754</span> 
 style 
="font 
-size: 
9pt;"> 
Non-cu 
rrent 
 asset 
s</spa 
n> 
<span       <span style="font-size:9pt;">80 854</span>      <span
style="font-size:9pt;">77 466</span>   <span style="font-size:9pt;">4%</span>  
   <span style="font-size:9pt;">80 299</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 asset 
s</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 
<span        <span style="font-size:9pt;">6 788</span>       <span
style="font-size:9pt;">4 501</span>  <span style="font-size:9pt;">51%</span>   
   <span style="font-size:9pt;">3 280</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 cash 
 and 
 bank< 
/span> 
<span       <span style="font-size:9pt;">39 432</span>      <span
style="font-size:9pt;">40 052</span>  <span style="font-size:9pt;">-2%</span>  
   <span style="font-size:9pt;">41 093</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 goodw 
ill</s 
pan> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 
<span       <span style="font-size:9pt;">14 110</span>      <span
style="font-size:9pt;">14 468</span>  <span style="font-size:9pt;">-2%</span>  
   <span style="font-size:9pt;">14 967</span> 
 style 
="font 
-size: 
9pt;"> 
Curren 
t 
 liabi 
lities 
</span 
> 
<span       <span style="font-size:9pt;">19 569</span>      <span
style="font-size:9pt;">20 673</span>  <span style="font-size:9pt;">-5%</span>  
   <span style="font-size:9pt;">24 233</span> 
 style 
="font 
-size: 
9pt;"> 
Non-cu 
rrent 
 liabi 
lities 
 </spa 
n> 
<span       <span style="font-size:9pt;">33 679</span>      <span
style="font-size:9pt;">35 141</span>  <span style="font-size:9pt;">-4%</span>  
   <span style="font-size:9pt;">39 200</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 liabi 
lities 
</span 
> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 
<span       <span style="font-size:9pt;">24 592</span>      <span
style="font-size:9pt;">24 432</span>   <span style="font-size:9pt;">1%</span>  
   <span style="font-size:9pt;">28 580</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 borro 
wings< 
/span> 
<span       <span style="font-size:9pt;">47 175</span>      <span
style="font-size:9pt;">42 325</span>  <span style="font-size:9pt;">11%</span>  
   <span style="font-size:9pt;">41 099</span> 
 style 
="font 
-size: 
9pt;"> 
Equity 
</span 
> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------- 



<span style="font-size:9pt;">       <span            <span            <span     
  Financial ratios (%) –       style="font-siz  style="font-siz  style="font-siz
 joint ventures consolidated   e:9pt;">31.12.2  e:9pt;">31.12.2  e:9pt;">31.12.2
 50% </span>                      014</span>       013</span>       012</span>  
--------------------------------------------------------------------------------
<span                               <span            <span            <span     
 style="font-size:9pt;">Equit  style="font-siz  style="font-siz  style="font-siz
y ratio (%)</span>             e:9pt;">58%</sp  e:9pt;">55%</sp  e:9pt;">51%</sp
                                     an>              an>              an>      
<span                               <span            <span            <span     
 style="font-size:9pt;">Debt   style="font-siz  style="font-siz  style="font-siz
 to equity ratio (%) </span>   e:9pt;">52%</sp  e:9pt;">58%</sp  e:9pt;">70%</sp
                                     an>              an>              an>      
<span                               <span            <span            <span     
 style="font-size:9pt;">Debt   style="font-siz  style="font-siz  style="font-siz
 to capital ratio (%) </span>  e:9pt;">27%</sp  e:9pt;">32%</sp  e:9pt;">38%</sp
                                     an>              an>              an>      
<span                               <span            <span            <span     
 style="font-size:9pt;">Total  style="font-siz  style="font-siz  style="font-siz
 debt/EBITDA ratio</span>      e:9pt;">2.61</s  e:9pt;">3.36</s  e:9pt;">3.63</s
                                    pan>             pan>             pan>      
<span                               <span            <span            <span     
 style="font-size:9pt;">Debt   style="font-siz  style="font-siz  style="font-siz
 service coverage ratio        e:9pt;">1.90</s  e:9pt;">1.66</s  e:9pt;">1.52</s
 </span>                            pan>             pan>             pan>      
<span                               <span            <span            <span     
 style="font-size:9pt;">Liqui  style="font-siz  style="font-siz  style="font-siz
dity ratio</span>              e:9pt;">1.08</s  e:9pt;">1.00</s  e:9pt;">0.90</s
                                    pan>             pan>             pan>      
--------------------------------------------------------------------------------



  FINANCIAL INDICATORS AND RATIOS – joint ventures recognisedunder the equity
                                     method

<span     <span style="font-size:9pt;">2014</span>    <span
style="font-size:9pt;">2013</span>     <span style="font-size:9pt;">Change     
<span style="font-size:9pt;">2012</span>    <span
style="font-size:9pt;">2011</span> 
 style                                                                         
                                %</span> 
="font 
-size: 
9pt;"> 
Perfor 
mance 
 indic 
ators 
 – 
 joint 
 ventu 
res by 
 the 
 equit 
y 
 metho 
d (EUR 
 thous 
and)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span   <span style="font-size:9pt;">52 793</span>  <span
style="font-size:9pt;">50 086</span>    <span style="font-size:9pt;">5%</span> 
<span style="font-size:9pt;">51 290</span>  <span style="font-size:9pt;">49
027</span> 
 style 
="font 
-size: 
9pt;"> 
Sales 
 reven 
ue 
 (only 
 subsi 
diarie 
s)</sp 
an> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">7 894</span>   <span
style="font-size:9pt;">6 591</span>   <span style="font-size:9pt;">20%</span>  
<span style="font-size:9pt;">7 345</span>   <span style="font-size:9pt;">6
311</span> 
 style 
="font 
-size: 
9pt;"> 
EBITDA 
 (only 
 subsi 
diarie 
s)</sp 
an> 
<span    <span style="font-size:9pt;">15.0%</span>   <span
style="font-size:9pt;">13.2%</span>                                            
<span style="font-size:9pt;">14.3%</span>   <span
style="font-size:9pt;">12.9%</span> 
 style 
="font 
-size: 
9pt;"> 
EBITDA 
 margi 
n 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">4 973</span>   <span
style="font-size:9pt;">4 071</span>   <span style="font-size:9pt;">22%</span>  
<span style="font-size:9pt;">4 173</span>   <span style="font-size:9pt;">2
930</span> 
 style 
="font 
-size: 
9pt;"> 
Operat 
ing 
 profi 
t* 
 (only 
 subsi 
diarie 
s)</sp 
an> 
<span     <span style="font-size:9pt;">9.4%</span>    <span
style="font-size:9pt;">8.1%</span>                                             
<span style="font-size:9pt;">8.1%</span>    <span
style="font-size:9pt;">6.0%</span> 
 style 
="font 
-size: 
9pt;"> 
Operat 
ing 
 margi 
n* 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">(689)</span>   <span
style="font-size:9pt;">(763)</span>   <span style="font-size:9pt;">10%</span>  
          <span style="font-size:9pt;">(1             <span
style="font-size:9pt;">(2 
 style                                                                         
                                                                               
         550)</span>                                 219)</span> 
="font 
-size: 
9pt;"> 
Intere 
st 
 expen 
ses 
 (only 
 subsi 
diarie 
s)</sp 
an> 
<span      <span style="font-size:9pt;">557</span>     <span
style="font-size:9pt;">494</span>   <span style="font-size:9pt;">13%</span>    
<span style="font-size:9pt;">339</span>     <span
style="font-size:9pt;">421</span> 
 style 
="font 
-size: 
9pt;"> 
Profit 
 of 
 joint 
 ventu 
res by 
 equit 
y 
 metho 
d</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">4 621</span>   <span
style="font-size:9pt;">3 548</span>   <span style="font-size:9pt;">30%</span>  
<span style="font-size:9pt;">2 682</span>     <span
style="font-size:9pt;">893</span> 
 style 
="font 
-size: 
9pt;"> 
Profit 
 for 
 the 
 perio 
d*</sp 
an> 
<span     <span style="font-size:9pt;">8.8%</span>    <span
style="font-size:9pt;">7.1%</span>                                             
<span style="font-size:9pt;">5.2%</span>    <span
style="font-size:9pt;">1.8%</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 margi 
n* 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span    <span style="font-size:9pt;">5 110</span>   <span
style="font-size:9pt;">1 081</span>  <span style="font-size:9pt;">373%</span>  
<span style="font-size:9pt;">2 525</span>   <span style="font-size:9pt;">1
683</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 profi 
t for 
 the 
 perio 
d in 
 the 
 finan 
cial 
 state 
ments 
 </spa 
n> 
<span 
 style 
="font 
-size: 
9pt;"> 
(incl. 
 impai 
rments 
 and 
 gain 
 on 
 chang 
e of 
 owner 
ship 
 inter 
est)</ 
span> 
<span     <span style="font-size:9pt;">9.7%</span>    <span
style="font-size:9pt;">2.2%</span>                                             
<span style="font-size:9pt;">4.9%</span>    <span
style="font-size:9pt;">3.4%</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 margi 
n 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span     <span style="font-size:9pt;">6.8%</span>    <span
style="font-size:9pt;">1.4%</span>                                             
<span style="font-size:9pt;">3.2%</span>    <span
style="font-size:9pt;">2.0%</span> 
 style 
="font 
-size: 
9pt;"> 
Return 
 on 
 asset 
s ROA 
 (%)</ 
span> 
<span    <span style="font-size:9pt;">11.4%</span>    <span
style="font-size:9pt;">2.5%</span>                                             
<span style="font-size:9pt;">6.4%</span>    <span
style="font-size:9pt;">4.4%</span> 
 style 
="font 
-size: 
9pt;"> 
Return 
 on 
 equit 
y ROE 
 (%)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 
<span     <span style="font-size:9pt;">0.17</span>    <span
style="font-size:9pt;">0.04</span>                                             
<span style="font-size:9pt;">0.08</span>    <span
style="font-size:9pt;">0.06</span> 
 style 
="font 
-size: 
9pt;"> 
Earnin 
gs per 
 share 
 (EPS) 
</span 
> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
---------------------------------------------------------------- 

<span style="font-size:9pt;">* </span><span style="font-size:9pt;">The results
exclude allowances on impairments and one-off gains in relation to the
acquisition in Eesti Päevalehe AS in 2011 and the change in ownership structure
in joint ventures AS Ajakirjade Kirjastus and AS SL Õhtuleht in 2014. More
information is disclosed in the Note 14 and Note 26 to the financial
statements.</span> 

<span   <span style="font-size:9pt;">31.12.2014</span>  <span
style="font-size:9pt;">31.12.2013</span>     <span
style="font-size:9pt;">Change    <span style="font-size:9pt;">31.12.2012</span> 
 style                                                                         
                                        %</span> 
="font 
-size: 
9pt;"> 
Balanc 
e 
 sheet 
– 
 joint 
 ventu 
res by 
 equit 
y 
 metho 
d (EUR 
 thous 
and)</ 
span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 
<span 
 style 
="font 
-size: 
9pt;"> 
As at 
 the 
 end 
 of 
 the 
 perio 
d</spa 
n> 
<span       <span style="font-size:9pt;">12 303</span>      <span
style="font-size:9pt;">11 357</span>    <span style="font-size:9pt;">8%</span> 
    <span style="font-size:9pt;">10 747</span> 
 style 
="font 
-size: 
9pt;"> 
Curren 
t 
 asset 
s</spa 
n> 
<span       <span style="font-size:9pt;">64 292</span>      <span
style="font-size:9pt;">63 899</span>    <span style="font-size:9pt;">1%</span> 
    <span style="font-size:9pt;">67 470</span> 
 style 
="font 
-size: 
9pt;"> 
Non-cu 
rrent 
 asset 
s</spa 
n> 
<span       <span style="font-size:9pt;">76 595</span>      <span
style="font-size:9pt;">75 256</span>    <span style="font-size:9pt;">2%</span> 
    <span style="font-size:9pt;">78 217</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 asset 
s</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 
<span        <span style="font-size:9pt;">5 275</span>       <span
style="font-size:9pt;">2 209</span>  <span style="font-size:9pt;">139%</span>  
    <span style="font-size:9pt;">1 291</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 cash 
 and 
 bank< 
/span> 
<span       <span style="font-size:9pt;">38 153</span>      <span
style="font-size:9pt;">39 596</span>   <span style="font-size:9pt;">-4%</span> 
    <span style="font-size:9pt;">40 637</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 goodw 
ill</s 
pan> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 
<span       <span style="font-size:9pt;">11 481</span>      <span
style="font-size:9pt;">12 259</span>   <span style="font-size:9pt;">-6%</span> 
    <span style="font-size:9pt;">12 885</span> 
 style 
="font 
-size: 
9pt;"> 
Curren 
t 
 liabi 
lities 
</span 
> 
<span       <span style="font-size:9pt;">17 939</span>      <span
style="font-size:9pt;">20 672</span>  <span style="font-size:9pt;">-13%</span> 
    <span style="font-size:9pt;">24 233</span> 
 style 
="font 
-size: 
9pt;"> 
Non-cu 
rrent 
 liabi 
lities 
</span 
> 
<span       <span style="font-size:9pt;">29 420</span>      <span
style="font-size:9pt;">32 931</span>  <span style="font-size:9pt;">-11%</span> 
    <span style="font-size:9pt;">37 118</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 liabi 
lities 
</span 
> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 
<span       <span style="font-size:9pt;">23 152</span>      <span
style="font-size:9pt;">24 432</span>   <span style="font-size:9pt;">-5%</span> 
    <span style="font-size:9pt;">28 580</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 borro 
wings< 
/span> 
<span       <span style="font-size:9pt;">47 175</span>      <span
style="font-size:9pt;">42 325</span>   <span style="font-size:9pt;">11%</span> 
    <span style="font-size:9pt;">41 099</span> 
 style 
="font 
-size: 
9pt;"> 
Equity 
</span 
> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------------------------- 



<span style="font-size:9pt;">        <span            <span            <span    
 Financial ratios (%) – joint   style="font-siz  style="font-siz  style="font-si
 ventures by the equity         e:9pt;">31.12.2  e:9pt;">31.12.2  ze:9pt;">31.12
 method</span>                     014</span>       013</span>     .2012</span> 
--------------------------------------------------------------------------------
<span                                <span            <span            <span    
 style="font-size:9pt;">Equity  style="font-siz  style="font-siz  style="font-si
 ratio (%)</span>               e:9pt;">62%</sp  e:9pt;">56%</sp  ze:9pt;">53%</
                                      an>              an>             span>    
<span                                <span            <span            <span    
 style="font-size:9pt;">Debt    style="font-siz  style="font-siz  style="font-si
 to equity ratio (%) </span>    e:9pt;">49%</sp  e:9pt;">58%</sp  ze:9pt;">70%</
                                      an>              an>             span>    
<span                                <span            <span            <span    
 style="font-size:9pt;">Debt    style="font-siz  style="font-siz  style="font-si
 to capital ratio (%) </span>   e:9pt;">27%</sp  e:9pt;">34%</sp  ze:9pt;">40%</
                                      an>              an>             span>    
<span                                <span            <span            <span    
 style="font-size:9pt;">Total   style="font-siz  style="font-siz  style="font-si
 debt / EBITDA ratio </span>    e:9pt;">2.93</s  e:9pt;">3.71</s  ze:9pt;">3.89<
                                     pan>             pan>            /span>    
<span                                <span            <span            <span    
 style="font-size:9pt;">Debt    style="font-siz  style="font-siz  style="font-si
 service coverage ratio         e:9pt;">1.77</s  e:9pt;">1.50</s  ze:9pt;">1.36<
 </span>                             pan>             pan>            /span>    
<span                                <span            <span            <span    
 style="font-size:9pt;">Liquid  style="font-siz  style="font-siz  style="font-si
ity ratio</span>                e:9pt;">1.07</s  e:9pt;">0.93</s  ze:9pt;">0.83<
                                     pan>             pan>            /span>    
--------------------------------------------------------------------------------

Cyclicality

All operating areas of the Group are characterised by cyclicality and
fluctuation, related to the changes in the overall economic conditions and
consumer confidence. The Group’s revenue can be adversely affected by an
economic slowdown or recession. It can appear in lower advertising costs in
retail, preference of other advertising channels (e.g. preference of internet
rather than print media) and changes in consumption habits of retail consumers
(following current news in news portals versus reading printed newspapers,
preference of the younger generation to use mobile devices and other
communication channels, etc.). 

Seasonality

The revenue from the Group’s advertising sales as well as in the printing
services segment is impacted by major seasonal fluctuations. The level of both
types of revenue is the highest in the 2nd and 4th quarter of each year and the
lowest in the 3rd quarter. Revenue is higher in the 4th quarter because of
higher consumer spending during the Christmas season, accompanied by the
increase in advertising expenditure. Advertising expenditure is usually the
lowest during the summer months, as well as during the first months of the year
following Christmas and New Year’s celebrations. Book sales are the strongest
in the last quarter of the year. Subscriptions and retail sales of periodicals
do not fluctuate as much as advertising revenue. However the summer period is
always more quiet and at the beginning of the school year in September there is
increase in subscriptions and retail sale which usually continues until next
summer holiday period. 

<span style="font-size:9pt;">Formulas used to calculate the financial           
 ratios</span>                                                                  
--------------------------------------------------------------------------------
- 
<span style="font-size:9pt;">EBITDA      <span style="font-size:9pt;">          
 margin</span> <span                      EBITDA/sales x 100</span>             
 style="font-size:9pt;">(%)</span>                                              
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Operating   <span style="font-size:9pt;"> Operating
 margin</span><span                       profit*/sales x100</span>             
 style="font-size:9pt;">* </span><span                                          
 style="font-size:9pt;">(%)</span>                                              
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Net         <span style="font-size:9pt;"> Net      
 margin* (%) </span>                      profit*/sales x100</span>             
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Net margin  <span style="font-size:9pt;"> Net      
 (%) </span>                              profit /sales x100</span>             
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Earnings    <span style="font-size:9pt;"> Net      
 per share </span>                        profit / average number of            
                                          shares</span>                         
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Equity      <span style="font-size:9pt;">Equity/   
 ratio (%)</span>                         (liabilities + equity) x100</span>    
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Debt to     <span style="font-size:9pt;">Interest  
 equity ratio (%)</span>                  bearing liabilities /equity x         
                                          100</span>                            
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Debt to     <span style="font-size:9pt;">Interest  
 capital ratio (%)</span>                 bearing liabilities – cash and cash   
                                          equivalents (net debt) /(net debt     
                                          +equity) x 100</span>                 
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Total       <span style="font-size:9pt;">Interest  
 debt/EBITDA ratio</span>                 bearing borrowings /EBITDA</span>     
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Debt        <span                                  
 service coverage ratio </span>           style="font-size:9pt;">EBITDA/loan and
                                          interest payments for the             
                                          period</span>                         
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Liquidity   <span style="font-size:9pt;">Current   
 ratio </span>                            assets / current liabilities</span>   
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Return on   <span style="font-size:9pt;">Net profit
 assets ROA (%)</span>                    /average assets x 100</span>          
--------------------------------------------------------------------------------
<span style="font-size:9pt;">Return on   <span style="font-size:9pt;">Net profit
 equity ROE (%)</span>                    /average equity x 100</span>          
--------------------------------------------------------------------------------

<span style="font-size:9pt;">* </span><span style="font-size:9pt;">The results
exclude allowances on impairments and one-off gains in relation to the
acquisition in Eesti Päevalehe AS in 2011 and the change in ownership structure
in joint ventures AS Ajakirjade Kirjastus and AS SL Õhtuleht in 2014. More
information is disclosed in the Note 14 and Note 26 to the financial
statements.</span> 

SEGMENT OVERVIEW

Key financial data of the segments 2011-2014

From the 3rd quarter of the current year when the Group’s Lithuanian
subsidiaries were merged, the Group’s activities are divided into the media
segment and the printing services segment. Previously, the entities of the
media segment were divided into online media and periodicals segments. 

The segments’ EBITDA does not include intragroup management fees, and
impairment of goodwill and trademarks. Volume-based and other fees payable to
advertising agencies have not been deducted from the advertising sales of
segments, because the management monitors gross advertising sales. Discounts
and rebates are reduced from the Group’s sales and are included in the combined
line of eliminations. 



      
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------ 
<span                                               <span
style="font-size:9pt;">Sales</span>                                            
                        <span style="font-size:9pt;">Sales</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR 
 thous 
and)</ 
span> 
------- 
           <span style="font-size:9pt;">2014</span>     <span
style="font-size:9pt;">2013</span>    <span style="font-size:9pt;">Change      
<span style="font-size:9pt;">2012</span>     <span
style="font-size:9pt;">2011</span> 
                                                                               
                                 %</span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------- 
<span    <span style="font-size:9pt;">27 459</span>   <span
style="font-size:9pt;">25 842</span>   <span style="font-size:9pt;">6%</span>  
<span style="font-size:9pt;">25 562</span>   <span style="font-size:9pt;">23
789</span> 
 style 
="font 
-size: 
9pt;"> 
media 
 segme 
nt (by 
 equit 
y 
 metho 
d)</sp 
an> 
<span    <span style="font-size:9pt;">13 449</span>   <span
style="font-size:9pt;">11 595</span>  <span style="font-size:9pt;">16%</span>  
<span style="font-size:9pt;">10 561</span>    <span style="font-size:9pt;">9
111</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 reven 
ue 
 from 
 all 
 digit 
al and 
 onlin 
e 
 chann 
els</s 
pan> 
<span    <span style="font-size:9pt;">28 951</span>   <span
style="font-size:9pt;">27 462</span>   <span style="font-size:9pt;">5%</span>  
<span style="font-size:9pt;">29 167</span>   <span style="font-size:9pt;">27
736</span> 
 style 
="font 
-size: 
9pt;"> 
printi 
ng 
 servi 
ces</s 
pan> 
<span     <span style="font-size:9pt;">1 731</span>    <span
style="font-size:9pt;">1 530</span>  <span style="font-size:9pt;">13%</span>   
  <span style="font-size:9pt;">996</span>      <span
style="font-size:9pt;">209</span> 
 style 
="font 
-size: 
9pt;"> 
corpor 
ate 
 funct 
ions</ 
span> 
<span   <span style="font-size:9pt;">(5 347)</span>  <span
style="font-size:9pt;">(4 748)</span>  <span style="font-size:9pt;">13%</span> 
<span style="font-size:9pt;">(4 435)</span>  <span style="font-size:9pt;">(2
707)</span> 
 style 
="font 
-size: 
9pt;"> 
inters 
egment 
 elimi 
nation 
s</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------- 
<span   <span style="font-size:10pt;">52 793</span>  <span
style="font-size:10pt;">50 086</span>  <span style="font-size:10pt;">5%</span> 
<span style="font-size:10pt;">51 290</span>  <span style="font-size:10pt;">49
027</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 GROUP 
 by 
 equit 
y 
 metho 
d</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------- 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------- 
<span    <span style="font-size:9pt;">36 930</span>   <span
style="font-size:9pt;">34 955</span>   <span style="font-size:9pt;">6%</span>  
<span style="font-size:9pt;">34 773</span>   <span style="font-size:9pt;">32
771</span> 
 style 
="font 
-size: 
9pt;"> 
media 
 segme 
nt by 
 propo 
rtiona 
l 
 conso 
lidati 
on</sp 
an> 
<span    <span style="font-size:9pt;">14 306</span>   <span
style="font-size:9pt;">12 226</span>  <span style="font-size:9pt;">17%</span>  
<span style="font-size:9pt;">11 147</span>    <span style="font-size:9pt;">9
673</span> 
 style 
="font 
-size: 
9pt;"> 
incl. 
 reven 
ue 
 from 
 all 
 digit 
al and 
 onlin 
e 
 chann 
els</s 
pan> 
<span    <span style="font-size:9pt;">28 951</span>   <span
style="font-size:9pt;">27 462</span>   <span style="font-size:9pt;">5%</span>  
<span style="font-size:9pt;">29 167</span>   <span style="font-size:9pt;">27
736</span> 
 style 
="font 
-size: 
9pt;"> 
printi 
ng 
 servi 
ces</s 
pan> 
<span     <span style="font-size:9pt;">1 731</span>    <span
style="font-size:9pt;">1 530</span>  <span style="font-size:9pt;">13%</span>   
  <span style="font-size:9pt;">996</span>      <span
style="font-size:9pt;">209</span> 
 style 
="font 
-size: 
9pt;"> 
corpor 
ate 
 funct 
ions</ 
span> 
<span   <span style="font-size:9pt;">(6 228)</span>  <span
style="font-size:9pt;">(5 520)</span>  <span style="font-size:9pt;">13%</span> 
<span style="font-size:9pt;">(5 230)</span>  <span style="font-size:9pt;">(3
325)</span> 
 style 
="font 
-size: 
9pt;"> 
inters 
egment 
 elimi 
nation 
s</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------- 
<span   <span style="font-size:10pt;">61 384</span>  <span
style="font-size:10pt;">58 427</span>  <span style="font-size:10pt;">5%</span> 
<span style="font-size:10pt;">59 706</span>  <span style="font-size:10pt;">57
391</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 GROUP 
 by 
 propo 
rtiona 
l 
 conso 
lidati 
on</sp 
an> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------- 



      
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
----------------------------------------------------------- 
<span                                               <span
style="font-size:9pt;">EBITDA</span>                                           
                        <span style="font-size:9pt;">EBITDA</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR 
 thous 
and)</ 
span> 
------- 
           <span style="font-size:9pt;">2014</span>     <span
style="font-size:9pt;">2013</span>     <span style="font-size:9pt;">Change     
<span style="font-size:9pt;">2012</span>    <span
style="font-size:9pt;">2011</span> 
                                                                               
                                  %</span> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------ 
<span     <span style="font-size:9pt;">3 025</span>    <span
style="font-size:9pt;">2 123</span>   <span style="font-size:9pt;">42%</span>  
<span style="font-size:9pt;">2 089</span>   <span style="font-size:9pt;">1
325</span> 
 style 
="font 
-size: 
9pt;"> 
media 
 segme 
nt by 
 equit 
y 
 metho 
d</spa 
n> 
<span    <span style="font-size:9pt;">4 013 </span>    <span
style="font-size:9pt;">2 792</span>   <span style="font-size:9pt;">44%</span>  
<span style="font-size:9pt;">2 624</span>   <span style="font-size:9pt;">1
977</span> 
 style 
="font 
-size: 
9pt;"> 
media 
 segme 
nt by 
 propo 
rtiona 
l 
 conso 
lidati 
on</sp 
an> 
<span     <span style="font-size:9pt;">5 944</span>    <span
style="font-size:9pt;">5 862</span>    <span style="font-size:9pt;">1%</span>  
<span style="font-size:9pt;">6 052</span>   <span style="font-size:9pt;">5
959</span> 
 style 
="font 
-size: 
9pt;"> 
printi 
ng 
 servi 
ces</s 
pan> 
<span   <span style="font-size:9pt;">(1 076)</span>  <span
style="font-size:9pt;">(1 356)</span>   <span style="font-size:9pt;">21%</span>
  <span style="font-size:9pt;">(797)</span>   <span
style="font-size:9pt;">(980)</span> 
 style 
="font 
-size: 
9pt;"> 
corpor 
ate 
 funct 
ions</ 
span> 
<span         <span style="font-size:9pt;">0</span>     <span
style="font-size:9pt;">(38)</span>  <span style="font-size:9pt;">101%</span>   
   <span style="font-size:9pt;">1</span>       <span
style="font-size:9pt;">7</span> 
 style 
="font 
-size: 
9pt;"> 
inters 
egment 
 elimi 
nation 
s</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------ 
<span    <span style="font-size:10pt;">7 894</span>   <span
style="font-size:10pt;">6 591</span>  <span style="font-size:10pt;">20%</span> 
<span style="font-size:10pt;">7 345</span>  <span style="font-size:10pt;">6
311</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 GROUP 
 by 
 equit 
y 
 metho 
d</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------ 
<span    <span style="font-size:10pt;">8 878</span>   <span
style="font-size:10pt;">7 264</span>  <span style="font-size:10pt;">22%</span> 
<span style="font-size:10pt;">7 882</span>  <span style="font-size:10pt;">6
968</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 GROUP 
 by 
 propo 
rtiona 
l 
 conso 
lidati 
on</sp 
an> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------------------------------------------------------------------ 



      
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
------- 
<span   <span style="font-size:9pt;">2014</span>  <span
style="font-size:9pt;">2013</span>  <span style="font-size:9pt;">2012</span> 
<span style="font-size:9pt;">2011</span> 
 style 
="font 
-size: 
9pt;"> 
EBITDA 
 margi 
n</spa 
n> 
------- 
<span    <span style="font-size:9pt;">11%</span>    <span
style="font-size:9pt;">8%</span>    <span style="font-size:9pt;">8%</span>   
<span style="font-size:9pt;">6%</span> 
 style 
="font 
-size: 
9pt;"> 
media 
 segme 
nt by 
 equit 
y 
 metho 
d</spa 
n> 
<span    <span style="font-size:9pt;">11%</span>    <span
style="font-size:9pt;">8%</span>    <span style="font-size:9pt;">8%</span>   
<span style="font-size:9pt;">6%</span> 
 style 
="font 
-size: 
9pt;"> 
media 
 segme 
nt by 
 propo 
rtiona 
l 
 conso 
lidati 
on</sp 
an> 
<span    <span style="font-size:9pt;">21%</span>   <span
style="font-size:9pt;">21%</span>   <span style="font-size:9pt;">21%</span>  
<span style="font-size:9pt;">21%</span> 
 style 
="font 
-size: 
9pt;"> 
printi 
ng 
 servi 
ces</s 
pan> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------- 
<span   <span style="font-size:10pt;">15%</span>  <span
style="font-size:10pt;">13%</span>  <span style="font-size:10pt;">14%</span> 
<span style="font-size:10pt;">13%</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 GROUP 
 by 
 equit 
y 
 metho 
d</spa 
n> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------- 
<span   <span style="font-size:10pt;">15%</span>  <span
style="font-size:10pt;">12%</span>  <span style="font-size:10pt;">13%</span> 
<span style="font-size:10pt;">12%</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 GROUP 
 by 
 propo 
rtiona 
l 
 conso 
lidati 
on</sp 
an> 
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-------------- 



MEDIA SEGMENT

The media segment includes Delfi operations in Estonia, Latvia and Lithuania as
well as the parent company Delfi Holding. Starting from 1 March 2014, the
operations of Delfi in Ukraine have been terminated. EBITDA of Delfi Ukraine
also includes expenses related to the termination of operations. The media
segment also includes AS Eesti Ajalehed (publisher of Maaleht, Eesti Ekspress
and Eesti Päevaleht), book publisher OÜ Hea Lugu as well as magazine publisher
UAB Ekspress Leidyba in Lithuania, the latter having been merged into Delfi
Lithuania on 1 July 2014.<span style="font-size:11pt;"> </span> 

This segment also includes joint ventures AS SL Õhtuleht (publisher of Õhtuleht
and Linnaleht), magazine publisher AS Ajakirjade Kirjastus and home delivery
company AS Express Post. 

News portals owned by the Group

<span                <span               <span                <span             
 style="font-size:9   style="font-size:   style="font-size:9   style="font-size:
pt;">Owner</span>    9pt;">Portal</span  pt;">Owner</span>    9pt;">Portal</span
                     >                                        >                 
--------------------------------------------------------------------------------
<span                <span               <span                <span             
 style="font-size:9   style="font-size:   style="font-size:9   style="font-size:
pt;">Delfi           9pt;">www.delfi.ee  pt;">AS Eesti        9pt;">www.ekspress
 Estonia</span>      </span>              Ajalehed</span>     .ee</span>        
--------------------------------------------------------------------------------
                     <span                                    <span             
                      style="font-size:                        style="font-size:
                     9pt;">rus.delfi.ee                       9pt;">www.maaleht.
                     </span>                                  ee</span>         
--------------------------------------------------------------------------------
<span                <span                                    <span             
 style="font-size:9   style="font-size:                        style="font-size:
pt;">Delfi           9pt;">www.delfi.lv                       9pt;">www.epl.ee</
 Latvia</span>       </span>                                  span>             
--------------------------------------------------------------------------------
                     <span                                                      
                      style="font-size:                                         
                     9pt;">rus.delfi.lv                                         
                     </span>                                                    
--------------------------------------------------------------------------------
<span                <span               <span                <span             
 style="font-size:9   style="font-size:   style="font-size:9   style="font-size:
pt;">Delfi           9pt;">www.delfi.lt  pt;">AS SL           9pt;">www.ohtuleht
 Lithuania</span>    </span>              Õhtuleht</span>     .ee</span>        
--------------------------------------------------------------------------------
                     <span                                                      
                      style="font-size:                                         
                     9pt;">ru.delfi.lt<                                         
                     /span>                                                     
--------------------------------------------------------------------------------



Classified portals owned by the Group

<span               <span               <span                <span              
 style="font-size:   style="font-size:   style="font-size:9   style="font-size:9
9pt;">Owner</span>  9pt;">Portal</span  pt;">Owner</span>    pt;">Portal</span> 
                    >                                                           
--------------------------------------------------------------------------------
<span               <span               <span                <span              
 style="font-size:   style="font-size:   style="font-size:9   style="font-size:9
9pt;">Delfi         9pt;">www.alio.lt   pt;">AS Eesti        pt;">www.ej.ee</spa
 Lithuania</span>    </span>             Ajalehed </span>    n>                 
--------------------------------------------------------------------------------
                                                             <span              
                                                              style="font-size:9
                                                             pt;">www.ekspressau
                                                             to.ee</span>       
--------------------------------------------------------------------------------



------- 
<span                                                <span
style="font-size:9pt;">Sales</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR 
 thous 
and)</ 
span> 
      
--------------------------------------------------------------------------------
--------------------------------------------------- 
           <span style="font-size:9pt;">2014</span>     <span
style="font-size:9pt;">2013</span>       <span style="font-size:9pt;">Change 
                                                                               
                                                  %</span> 
--------------------------------------------------------------------------------
---------------------------------------------------------- 
<span     <span style="font-size:9pt;">5 020</span>    <span
style="font-size:9pt;">4 101</span>   <span style="font-size:9pt;">22%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Eston 
ia</sp 
an> 
<span     <span style="font-size:9pt;">2 562</span>    <span
style="font-size:9pt;">2 378</span>    <span style="font-size:9pt;">8%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Latvi 
a</spa 
n> 
<span     <span style="font-size:9pt;">8 047</span>    <span
style="font-size:9pt;">7 439</span>    <span style="font-size:9pt;">8%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Lithu 
ania 
 (incl 
. 
 Ekspr 
ess 
 Leidy 
ba)</s 
pan> 
<span     <span style="font-size:9pt;">5 557</span>    <span
style="font-size:9pt;">4 806</span>   <span style="font-size:9pt;">16%</span> 
 style 
="font 
-size: 
9pt;"> 
 incl. 
 onlin 
e 
 reven 
ues 
 </spa 
n> 
<span         <span style="font-size:9pt;">2</span>       <span
style="font-size:9pt;">53</span>  <span style="font-size:9pt;">-96%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Ukrai 
ne</sp 
an> 
<span    <span style="font-size:9pt;">11 330</span>   <span
style="font-size:9pt;">11 235</span>    <span style="font-size:9pt;">1%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Eesti 
 Ajale 
hed</s 
pan> 
<span       <span style="font-size:9pt;">792</span>      <span
style="font-size:9pt;">987</span>  <span style="font-size:9pt;">-20%</span> 
 style 
="font 
-size: 
9pt;"> 
OÜ Hea 
 Lugu 
 </spa 
n> 
<span        <span style="font-size:9pt;">0 </span>        <span
style="font-size:9pt;">0</span>     <span style="font-size:9pt;">-</span> 
 style 
="font 
-size: 
9pt;"> 
other 
 compa 
nies 
 (Delf 
i 
 Holdi 
ng)</s 
pan> 
<span     <span style="font-size:9pt;">(294)</span>    <span
style="font-size:9pt;">(351)</span>   <span style="font-size:9pt;">16%</span> 
 style 
="font 
-size: 
9pt;"> 
inters 
egment 
 elimi 
nation 
s</spa 
n> 
<span   <span style="font-size:10pt;">27 459</span>  <span
style="font-size:10pt;">25 842</span>   <span style="font-size:10pt;">6%</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 (subs 
idiari 
es)</s 
pan> 
--------------------------------------------------------------------------------
---------------------------------------------------------- 
--------------------------------------------------------------------------------
---------------------------------------------------------- 
<span     <span style="font-size:9pt;">3 909</span>    <span
style="font-size:9pt;">3 734</span>    <span style="font-size:9pt;">5%</span> 
 style 
="font 
-size: 
9pt;"> 
AS SL 
 Õhtul 
eht*</ 
span> 
<span     <span style="font-size:9pt;">4 224</span>    <span
style="font-size:9pt;">4 036</span>    <span style="font-size:9pt;">5%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Ajaki 
rjade 
 Kirja 
stus*< 
/span> 
<span     <span style="font-size:9pt;">2 415</span>    <span
style="font-size:9pt;">2 351</span>    <span style="font-size:9pt;">3%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Expre 
ss 
 Post* 
</span 
> 
<span   <span style="font-size:9pt;">(1 077)</span>  <span
style="font-size:9pt;">(1 008)</span>   <span style="font-size:9pt;">-7%</span> 
 style 
="font 
-size: 
9pt;"> 
additi 
onal 
 elimi 
nation 
s</spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------- 
<span     <span style="font-size:9pt;">9 471</span>    <span
style="font-size:9pt;">9 112</span>    <span style="font-size:9pt;">4%</span> 
 style 
="font 
-size: 
9pt;"> 
TOTAL 
 (join 
t 
 ventu 
res)</ 
span> 
--------------------------------------------------------------------------------
---------------------------------------------------------- 
<span   <span style="font-size:10pt;">36 930</span>  <span
style="font-size:10pt;">34 955</span>   <span style="font-size:10pt;">6%</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 segme 
nt by 
 propo 
rtiona 
l 
 conso 
lidati 
on 
 </spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------- 



--------------------------------------------------------------------------------
-------------------------------------------------------- 
<span                                              <span
style="font-size:9pt;">EBITDA</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR 
 thous 
and)</ 
span> 
          <span style="font-size:9pt;">2014</span>    <span
style="font-size:9pt;">2013</span>       <span style="font-size:9pt;">Change 
                                                                               
                                                %</span> 
--------------------------------------------------------------------------------
-------------------------------------------------------- 
<span      <span style="font-size:9pt;">575</span>     <span
style="font-size:9pt;">291</span>   <span style="font-size:9pt;">98%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Eston 
ia</sp 
an> 
<span       <span style="font-size:9pt;">90</span>     <span
style="font-size:9pt;">133</span>  <span style="font-size:9pt;">-32%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Latvi 
a</spa 
n> 
<span    <span style="font-size:9pt;">1 295</span>   <span
style="font-size:9pt;">1 056</span>   <span style="font-size:9pt;">23%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Lithu 
ania 
 (incl 
. 
 Ekspr 
ess 
 Leidy 
ba)</s 
pan> 
<span 
 style 
="font 
-size: 
9pt;"> 
 incl. 
 onlin 
e 
 reven 
ues 
 </spa 
n> 
<span     <span style="font-size:9pt;">(51)</span>   <span
style="font-size:9pt;">(195)</span>   <span style="font-size:9pt;">74%</span> 
 style 
="font 
-size: 
9pt;"> 
Delfi 
 Ukrai 
ne</sp 
an> 
<span      <span style="font-size:9pt;">539</span>     <span
style="font-size:9pt;">369</span>   <span style="font-size:9pt;">46%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Eesti 
 Ajale 
hed</s 
pan> 
<span       <span style="font-size:9pt;">94</span>      <span
style="font-size:9pt;">55</span>   <span style="font-size:9pt;">71%</span> 
 style 
="font 
-size: 
9pt;"> 
OÜ Hea 
 Lugu 
 </spa 
n> 
<span      <span style="font-size:9pt;">479</span>     <span
style="font-size:9pt;">421</span>   <span style="font-size:9pt;">14%</span> 
 style 
="font 
-size: 
9pt;"> 
other 
 compa 
nies 
 (Delf 
i 
 Holdi 
ng)</s 
pan> 
<span        <span style="font-size:9pt;">3</span>     <span
style="font-size:9pt;">(7)</span>     <span style="font-size:9pt;">-</span> 
 style 
="font 
-size: 
9pt;"> 
inters 
egment 
 elimi 
nation 
s</spa 
n> 
<span   <span style="font-size:10pt;">3 025</span>  <span
style="font-size:10pt;">2 123</span>  <span style="font-size:10pt;">42%</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 (subs 
idiari 
es)</s 
pan> 
--------------------------------------------------------------------------------
-------------------------------------------------------- 
--------------------------------------------------------------------------------
-------------------------------------------------------- 
<span      <span style="font-size:9pt;">356</span>     <span
style="font-size:9pt;">221</span>   <span style="font-size:9pt;">61%</span> 
 style 
="font 
-size: 
9pt;"> 
AS SL 
 Õhtul 
eht*</ 
span> 
<span      <span style="font-size:9pt;">257</span>     <span
style="font-size:9pt;">172</span>   <span style="font-size:9pt;">49%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Ajaki 
rjade 
 Kirja 
stus*< 
/span> 
<span      <span style="font-size:9pt;">372</span>     <span
style="font-size:9pt;">279</span>   <span style="font-size:9pt;">33%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Expre 
ss 
 Post* 
</span 
> 
<span        <span style="font-size:9pt;">2</span>     <span
style="font-size:9pt;">(3)</span>  <span style="font-size:9pt;">168%</span> 
 style 
="font 
-size: 
9pt;"> 
additi 
onal 
 elimi 
nation 
s</spa 
n> 
--------------------------------------------------------------------------------
-------------------------------------------------------- 
<span      <span style="font-size:9pt;">987</span>     <span
style="font-size:9pt;">670</span>   <span style="font-size:9pt;">47%</span> 
 style 
="font 
-size: 
9pt;"> 
TOTAL 
 (join 
t 
 ventu 
res)</ 
span> 
--------------------------------------------------------------------------------
-------------------------------------------------------- 
<span   <span style="font-size:10pt;">4 013</span>  <span
style="font-size:10pt;">2 792</span>  <span style="font-size:10pt;">44%</span> 
 style 
="font 
-size: 
10pt;" 
>TOTAL 
 segme 
nt by 
 propo 
rtiona 
l 
 conso 
lidati 
on 
 </spa 
n> 
--------------------------------------------------------------------------------
-------------------------------------------------------- 

<span style="font-size:9pt;">* Proportional share of joint ventures</span>



Delfi Estonia

<ul><li>Further development of Delfi TV on a standalone new platform and the
increasing number of live webcasts under the Delfi TV brand. Major projects
included, already for the second year events dedicated to the anniversary of
the Republic of Estonia, reports from Olympic Games, FIBA World Cup, Song and
Dance Festival, visit of US President Barack Obama in Estonia, streams from
basketball matches abroad and webcasts from games of 5 different Estonian
leagues etc.</li><li>Websites for weather and jokes were renewed. The latter
was re-named www.igav.ee.</li><li>A new verticals were launched: www.kasulik.ee
aimed at regular consumers, www.elutark.ee directed to elderly people,
www.catwalk.ee intended for people with interest on
fashion.</li><li>Cooperation with the New Age portal
www.alkeemia.ee.</li><li>Cross Baltic development of portal www.zave.ee,
intented for information about discount offers in the city.</li><li>Launching
of a new comments’ section which has increased the number of comments posted by
registered users.</li><li>Delfi’s mobile application was renewed.</li><li>Delfi
celebrated it’s 15th birthday in November. “A day with Delfi” was presented for
showing to the users how Delfi everyday work is being done and news
produced.</li></ul><strong style="font-size: 11pt;">Estonian online readership
2013-2014 

<span style="font-size:11pt;">In the third quarter 2014, TNS Emor changed the
methodology of its TNS Metric survey, which explains the sharp increase in the
number of users. The main essence of the change is more accurate measurement
and separate reporting of the number of mobile users. As a result of this
change, Delfi remains the largest news portal in Estonia. This applies both to
the number of PC and mobile users who visit the news portals. The increase of
the usres in Estonian internet market can be also explained by the increasing
number of mobile users using smartphones. This will remain the key priority for
news organisations to serve mobile users.</span> 



Delfi Latvia

<ul><li>In July and August, Delfi was the largest online portal in Latvia
succeding also the local e-mail provider inbox.lv.</li><li>Delfi TV streams
based on a new platform from such events as matches of the Latvian basketball
league and ice hockey league, an exclusive cabaret show from Concert Hall
Palladium, opening of the National Library, etc.</li><li>During the year many
new verticals have been launched: travel site www.turismagids.lv both in
Latvian and Russian, humour website www.loli.lv, new weather portal
www.laika-zinas.lv, home and garden portal www.majadarzs.lv, new portal for
women www.vina.lv, Russian portals covering politics www.spektr.lv, easy
reading portals aimed at younger generation in Latvian www.skats.lv and Russian
www.tchk.lv, health portal www.rutks.lv.</li><li>Cross Baltic development of
portal www.zave.lv, intented for getting overview about discount offers in the
city.</li><li>Media partner for several cooperation projects and
teams:<ul><li>Latvian Music Awards „The Great Music Award“</li><li>Positivus
Festival and several Latvian music bands</li><li>Baltic Pearl Film and
International Film Festival</li><li>Marketing Festival „Password“ and
international advertising festival “Golden Hammer 2014”</li><li>Riga Fashion
Week</li><li>Riga Marathon</li><li>Latvian national ice-hockey
team</li><li>Award of the year in Sports etc.</li></ul></li></ul>Latvian online
readership 2013-2014 

In July and August 2014, Delfi.lv became Latvia’s largest online portal for the
first time, exceeding the readership of inbox.lv. In September, however,
Inbox.lv had again more users than Delfi.lv. In spite of the merger of tvnet.lv
and apollo.lv in the 2nd quarter, their readership has not exceeded that of
Delfi. In addition, the first available data on the number of users of mobile
equipment are very favourable for Delfi.lv. Delfi is exceeding Latvian
competitors in terms of mobile equipment by more than 20%. 

During the 4th quarter competitive situation remained stable with inbox.lv
holding the first position in readership numbers. Delfi has been holding the
second position and has been the most read newsportal in Latvia. 

Starting from January 2014, the method of the Gemius online survey has changed.
The readership in 2014 includes only results for computer users (PC) and
excludes all mobile equipment. Separate statistics on mobile equipment will be
created in the beginning of 2015. 



Delfi Lithuania

<ul><li><span style="font-size:11pt;">In November and December DELFI news
portal achieved its all time high readership records.</span></li><li>Delfi TV
was launched on a new platform and has produced live webcast and streams from
such events as Login, the largest tech conference in the Baltic states, ideas
conference Tedx Vilnius, Davis Cup tennis match between Lithuania and Norway,
various fashion and theatre events, Geneva Automotive Show, etc.  DELFI signed
long lasting contracts with National Basketball League and Lithuanian
Basketball Federation and got an exclusive internet streaming rights to
broadcast more than 700 sport streams in 2015.</li><li><span
style="font-size:11pt;">Delfi TV launched a daily TV programme with news in
brief that in 2 minutes wraps up the most important and interesting news and
produced several documentary series.</span></li><li><span
style="font-size:11pt;">New TV channels „Moteris TV“ (“Lithuanian Woman”)  and
„Mano namai TV“ (“My Home”) were launched.</span></li><li><span
style="font-size:11pt;">Several new verticals were launched and existing
sub-sites were renewed. New jokes site www.Galjuokauji.lt, a special co-site
kablys.delfi.lt dedicated to fisherman audience, a new Delfi English
Channel.</span></li><li>Co-operation projects such as: special co-site
dedicated to auto fans in a partnership with Top Gear magazine, two major
on-line automotive projects with the partners "Top Gear Awards" and "Car of the
Year" to attract more male audience, special project with www.Kur.lt Lithuanian
entertainment guide aimed at young city audience, a food order platform 
lekste.lt  was integrated into Delfi recipes vertical
www.1000receptu.lt.</li><li><span style="font-size:11pt;">The layout of the
mobile application was renewed and information was added, making Delfi the most
popular newsportal in mobile phones and tablet PCs.</span></li><li><span
style="font-size:11pt;">DELFI changed social media strategy and dedicated
additional resources within organization. Due to those activities significatly
increased effectiviness in working with social media.</span></li><li><span
style="font-size:11pt;">Delfi and the Lithuanian magazine publisher Ekspress
Leidyba were merged into one media house enabling further synergies between
those two companies.</span><span style="font-size:11pt;">
</span></li></ul>Lithuanian online readership 2013-2014 

Delfi continues to be the largest online portal in Lithuania. In the 4th
quarter, there were no major changes in preferences of Internet users in
Lithuania. The initial data about the users of mobile equipment shows that the
competition in this segment in Lithuania is very tough and other portals are
closer to Delfi in readership than in computer users (PC). Delfi ended year 
with a new record of monthly real users – 1.198.737 and reached the highest gap
between Delfi and 15min.lt – 19,45%. Starting from January 2014, the method of
the Gemius online survey has changed. The readership in 2014 includes only
results for computer users (PC) and excludes all mobile equipment. Separate
statistics on mobile equipment will be created in the beginning of 2015. 



Print-media in Estonia

Estonian newspaper circulation 2013-2014

Circulations of Estonian newspapers have remained stable or are falling
moderately. The circulation of daily newspapers is falling faster than that of
weekly newspapers. As of the 4th quarter 2014, there has also been a
significant development in the market – Õhtuleht has been the newspaper with
the largest circulation in Estonia for three consecutive months. Other Group
publications also performed well during the second half of the year, with all
Eesti Päevaleht,  Maaleht and Eesti Ekspress increasing circulation. One also
needs to add to these figures the number of subscribers of digital newspapers
which totalled more than 10 thousand for both Eesti Ekspress and Eesti
Päevaleht, as of the end of the 2014. 

Estonian newspaper readership 2013-2014

Over the recent two years, newspaper readership has been fairly stable.
Õhtuleht has been one of the most successful newspaper brand, that has been
growing it’s readership. Other two daily newspapers, Postimees and Eesti
Päevaleht, has been losing readers. Weekly newpapers are also in a stable
readership trend. The number of readers of digital newspapers of the Group is
not included in the above figures and the number of readers of all publications
of the Group is higher than shown in the graph above. 



PRINTING SERVICES SEGMENT

All printing services of the Group are provided by AS Printall which is one of
the largest printing companies in Estonia. Printall is able to print both
newspapers (coldset) and magazines (heatset). 



------- 
<span                                              <span
style="font-size:9pt;">Sales</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR 
 thous 
and)</ 
span> 
      
--------------------------------------------------------------------------------
----------------------------------------------- 
          <span style="font-size:9pt;">2014</span>    <span
style="font-size:9pt;">2013</span>     <span style="font-size:9pt;">Change 
                                                                               
                                              %</span> 
--------------------------------------------------------------------------------
------------------------------------------------------ 
<span   <span style="font-size:9pt;">28 951</span>  <span
style="font-size:9pt;">27 462</span>  <span style="font-size:9pt;">5%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Print 
all</s 
pan> 
--------------------------------------------------------------------------------
------------------------------------------------------ 



--------------------------------------------------------------------------------
---------------------------------------------------- 
<span                                            <span
style="font-size:9pt;">EBITDA</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR 
 thous 
and)</ 
span> 
         <span style="font-size:9pt;">2014</span>   <span
style="font-size:9pt;">2013</span>     <span style="font-size:9pt;">Change 
                                                                               
                                            %</span> 
--------------------------------------------------------------------------------
---------------------------------------------------- 
<span   <span style="font-size:9pt;">5 944</span>  <span
style="font-size:9pt;">5 862</span>  <span style="font-size:9pt;">1%</span> 
 style 
="font 
-size: 
9pt;"> 
AS 
 Print 
all</s 
pan> 
--------------------------------------------------------------------------------
---------------------------------------------------- 



In 2014 AS Printall managed to increase its revenues 5%, out of which 5.7% is
allocated to increase of services provided and 5.2% sales of paper. Due to
changes in political landscape there have been changes in the structure of
export markets where the share of Russia continues to decrease. 

In June, AS Printall signed a contract for the acquisition of a new sheetfed
printing machine. The machine will be used for printing magazine covers,
small-circulation magazines and advertising products. The production will start
at the beginning of 2015. Approximately 2/3 of the acquisition cost is financed
with a long-term loan. 

Printing services and the environment

In addition to its very strong financial position, Printall also focuses on
environmentally conscious production.  Printall has been  granted ISO 9001
management and ISO 14001 environmental certificates. 

The Minister of the Environment of the Republic of Estonia and the waste
managing company AS Ragn-Sells awarded Printall with the title of the Top
Recycler of the Year, because the company recycles 95% of its waste. 

The Nordic Council of Ministers has awarded Printall with the environmental
label “The Nordic Ecolabel”, used to acknowledge the companies in the Nordic
countries that use environmentally efficient production. Printall also has FSC
and PEFC Chain of Custody (COC) certificates, which the company uses to promote
a green way of thinking in the printing industry. Both of those certificates
indicate compliance with monitoring and product production process requirements
which are issued to businesses that comply with the requirements established by
the FSC (Forest Stewardship Council) and the PEFC (Programme for the
Endorsement of Forest Certification). A business that is issued these
certificates helps to support the environmentally friendly, socially fair and
economically viable management of the world’s forests. 

Printall cares about the environment and uses green energy. The POWERED BY
GREEN certificate is a proof that the company buys electricity, 70% of which
has been generated by renewable sources of energy. 



                        CONSOLIDATED FINANCIAL STATEMENTS

Consolidated balance sheet

<span   <span style="font-size:9pt;">31.12.2014</span>  <span
style="font-size:9pt;">31.12.2013</span>  <span
style="font-size:9pt;">01.01.2013</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR</ 
span>< 
span 
 style 
="font 
-size: 
9pt;"> 
 thous 
and</s 
pan><s 
pan 
 style 
="font 
-size: 
9pt;"> 
)</spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
      
--------------------------------------------------------------------------------
--------------------------------------------------------------- 
<span 
 style 
="font 
-size: 
9pt;"> 
ASSETS 
</span 
> 
<span 
 style 
="font 
-size: 
9pt;"> 
Curren 
t 
 asset 
s</spa 
n> 
<span        <span style="font-size:9pt;">3 656</span>       <span
style="font-size:9pt;">2 111</span>       <span style="font-size:9pt;">1
193</span> 
 style 
="font 
-size: 
9pt;"> 
Cash 
 and 
 cash 
 equiv 
alents 
</span 
> 
<span           <span style="font-size:9pt;">19</span>          <span
style="font-size:9pt;">98</span>           <span
style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Term 
 depos 
its</s 
pan> 
<span        <span style="font-size:9pt;">6 519</span>       <span
style="font-size:9pt;">6 774</span>       <span style="font-size:9pt;">6
912</span> 
 style 
="font 
-size: 
9pt;"> 
Trade 
 and 
 other 
 recei 
vables 
</span 
> 
<span           <span style="font-size:9pt;">37</span>          <span
style="font-size:9pt;">45</span>          <span
style="font-size:9pt;">14</span> 
 style 
="font 
-size: 
9pt;"> 
Corpor 
ate 
 incom 
e tax 
 recei 
vable< 
/span> 
<span        <span style="font-size:9pt;">2 072</span>       <span
style="font-size:9pt;">2 329</span>       <span style="font-size:9pt;">2
531</span> 
 style 
="font 
-size: 
9pt;"> 
Invent 
ories< 
/span> 
<span            <span style="font-size:9pt;">0</span>           <span
style="font-size:9pt;">0</span>          <span style="font-size:9pt;">97</span> 
 style 
="font 
-size: 
9pt;"> 
Assets 
 held 
 for 
 sale< 
/span> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
<span       <span style="font-size:9pt;">12 303</span>      <span
style="font-size:9pt;">11 357</span>      <span style="font-size:9pt;">10
747</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 curre 
nt 
 asset 
s</spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
<span 
 style 
="font 
-size: 
9pt;"> 
Non-cu 
rrent 
 asset 
s</spa 
n> 
<span        <span style="font-size:9pt;">1 600</span>           <span
style="font-size:9pt;">0</span>          <span style="font-size:9pt;">98</span> 
 style 
="font 
-size: 
9pt;"> 
Term 
 depos 
it</sp 
an> 
<span        <span style="font-size:9pt;">1 170</span>         <span
style="font-size:9pt;">269</span>         <span
style="font-size:9pt;">228</span> 
 style 
="font 
-size: 
9pt;"> 
Trade 
 and 
 other 
 recei 
vables 
</span 
> 
<span           <span style="font-size:9pt;">65</span>         <span
style="font-size:9pt;">130</span>         <span
style="font-size:9pt;">137</span> 
 style 
="font 
-size: 
9pt;"> 
Deferr 
ed tax 
 asset 
</span 
> 
<span          <span style="font-size:9pt;">500</span>       <span
style="font-size:9pt;">1 543</span>       <span style="font-size:9pt;">1
362</span> 
 style 
="font 
-size: 
9pt;"> 
Invest 
ments 
 in 
 joint 
 ventu 
res</s 
pan> 
<span          <span style="font-size:9pt;">164</span>           <span
style="font-size:9pt;">0</span>           <span style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Invest 
ments 
 in 
 assoc 
iates< 
/span> 
<span       <span style="font-size:9pt;">14 506</span>      <span
style="font-size:9pt;">13 595</span>      <span style="font-size:9pt;">14
775</span> 
 style 
="font 
-size: 
9pt;"> 
Proper 
ty, 
 plant 
 and 
 equip 
ment 
 </spa 
n> 
<span       <span style="font-size:9pt;">46 287</span>      <span
style="font-size:9pt;">48 362</span>      <span style="font-size:9pt;">50
870</span> 
 style 
="font 
-size: 
9pt;"> 
Intang 
ible 
 asset 
s</spa 
n> 
<span       <span style="font-size:9pt;">64 292</span>      <span
style="font-size:9pt;">63 899</span>      <span style="font-size:9pt;">67
470</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 non-c 
urrent 
 asset 
s</spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
<span       <span style="font-size:9pt;">76 595</span>      <span
style="font-size:9pt;">75 256</span>      <span style="font-size:9pt;">78
217</span> 
 style 
="font 
-size: 
9pt;"> 
TOTAL 
 ASSET 
S</spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
<span 
 style 
="font 
-size: 
9pt;"> 
LIABIL 
ITIES 
 </spa 
n> 
<span 
 style 
="font 
-size: 
9pt;"> 
Curren 
t 
 liabi 
lities 
</span 
> 
<span        <span style="font-size:9pt;">5 213</span>       <span
style="font-size:9pt;">3 760</span>       <span style="font-size:9pt;">4
347</span> 
 style 
="font 
-size: 
9pt;"> 
Borrow 
ings</ 
span> 
<span        <span style="font-size:9pt;">6 249</span>       <span
style="font-size:9pt;">8 436</span>       <span style="font-size:9pt;">8
418</span> 
 style 
="font 
-size: 
9pt;"> 
Trade 
 and 
 other 
 payab 
les</s 
pan> 
<span           <span style="font-size:9pt;">19</span>          <span
style="font-size:9pt;">63</span>         <span
style="font-size:9pt;">120</span> 
 style 
="font 
-size: 
9pt;"> 
Corpor 
ate 
 incom 
e tax 
 payab 
le</sp 
an> 
<span       <span style="font-size:9pt;">11 481</span>      <span
style="font-size:9pt;">12 259</span>      <span style="font-size:9pt;">12
885</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 curre 
nt 
 liabi 
lities 
 </spa 
n> 
<span 
 style 
="font 
-size: 
9pt;"> 
Non-cu 
rrent 
 liabi 
lities 
 </spa 
n> 
<span       <span style="font-size:9pt;">17 939</span>      <span
style="font-size:9pt;">20 672</span>      <span style="font-size:9pt;">24
233</span> 
 style 
="font 
-size: 
9pt;"> 
Long-t 
erm 
 borro 
wings 
 </spa 
n> 
<span       <span style="font-size:9pt;">17 939</span>      <span
style="font-size:9pt;">20 672</span>      <span style="font-size:9pt;">24
233</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 non-c 
urrent 
 liabi 
lities 
</span 
> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
<span       <span style="font-size:9pt;">29 420</span>      <span
style="font-size:9pt;">32 931</span>      <span style="font-size:9pt;">37
118</span> 
 style 
="font 
-size: 
9pt;"> 
TOTAL 
 LIABI 
LITIES 
</span 
> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
<span 
 style 
="font 
-size: 
9pt;"> 
EQUITY 
</span 
> 
<span       <span style="font-size:9pt;">17 878</span>      <span
style="font-size:9pt;">17 878</span>      <span style="font-size:9pt;">17
878</span> 
 style 
="font 
-size: 
9pt;"> 
Share 
 capit 
al 
 </spa 
n> 
<span       <span style="font-size:9pt;">14 277</span>      <span
style="font-size:9pt;">14 277</span>      <span style="font-size:9pt;">14
277</span> 
 style 
="font 
-size: 
9pt;"> 
Share 
 premi 
um</sp 
an> 
<span         <span style="font-size:9pt;">(64)</span>           <span
style="font-size:9pt;">0</span>           <span style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Treasu 
ry 
 share 
s</spa 
n> 
<span        <span style="font-size:9pt;">1 440</span>       <span
style="font-size:9pt;">1 250</span>         <span
style="font-size:9pt;">740</span> 
 style 
="font 
-size: 
9pt;"> 
Reserv 
es</sp 
an> 
<span       <span style="font-size:9pt;">13 644</span>       <span
style="font-size:9pt;">8 848</span>       <span style="font-size:9pt;">8
190</span> 
 style 
="font 
-size: 
9pt;"> 
Retain 
ed 
 earni 
ngs</s 
pan> 
<span            <span style="font-size:9pt;">0</span>          <span
style="font-size:9pt;">72</span>          <span
style="font-size:9pt;">14</span> 
 style 
="font 
-size: 
9pt;"> 
Curren 
cy 
 trans 
lation 
 reser 
ve</sp 
an> 
<span       <span style="font-size:9pt;">47 175</span>      <span
style="font-size:9pt;">42 325</span>      <span style="font-size:9pt;">41
099</span> 
 style 
="font 
-size: 
9pt;"> 
TOTAL 
 EQUIT 
Y 
 </spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 
<span       <span style="font-size:9pt;">76 595</span>      <span
style="font-size:9pt;">75 256</span>      <span style="font-size:9pt;">78
217</span> 
 style 
="font 
-size: 
9pt;"> 
TOTAL 
 LIABI 
LITIES 
 AND 
 EQUIT 
Y</spa 
n> 
--------------------------------------------------------------------------------
---------------------------------------------------------------------- 



Consolidated statement of comprehensive income

<span      <span style="font-size:9pt;">2014</span>    <span
style="font-size:9pt;">2013</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR</ 
span>< 
span 
 style 
="font 
-size: 
9pt;"> 
 thous 
and</s 
pan><s 
pan 
 style 
="font 
-size: 
9pt;"> 
)</spa 
n> 
--------------------------------------------------------------------------------
--------------- 
--------------------------------------------------------------------------------
--------------- 
<span    <span style="font-size:9pt;">52 793</span>  <span
style="font-size:9pt;">50 086</span> 
 style 
="font 
-size: 
9pt;"> 
Sales 
 reven 
ue</sp 
an> 
<span              <span style="font-size:9pt;">(40            <span
style="font-size:9pt;">(39 
 style                                  688)</span>                            
    195)</span> 
="font 
-size: 
9pt;"> 
Cost 
 of 
 sales 
</span 
> 
<span    <span style="font-size:9pt;">12 105</span>  <span
style="font-size:9pt;">10 891</span> 
 style 
="font 
-size: 
9pt;"> 
Gross 
 profi 
t</spa 
n> 
<span       <span style="font-size:9pt;">470</span>     <span
style="font-size:9pt;">542</span> 
 style 
="font 
-size: 
9pt;"> 
Other 
 incom 
e</spa 
n> 
<span   <span style="font-size:9pt;">(2 011)</span>             <span
style="font-size:9pt;">(1 
 style                                                                         
    864)</span> 
="font 
-size: 
9pt;"> 
Market 
ing 
 expen 
ses</s 
pan> 
<span   <span style="font-size:9pt;">(5 438)</span>             <span
style="font-size:9pt;">(5 
 style                                                                         
    396)</span> 
="font 
-size: 
9pt;"> 
Admini 
strati 
ve 
 expen 
ses</s 
pan> 
<span     <span style="font-size:9pt;">(153)</span>   <span
style="font-size:9pt;">(102)</span> 
 style 
="font 
-size: 
9pt;"> 
Other 
 expen 
ses</s 
pan> 
<span     <span style="font-size:9pt;">1 933</span>       <span
style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Gain 
 from 
 chang 
e in 
 owner 
ship 
 inter 
est in 
 joint 
 ventu 
res 
 </spa 
n> 
--------------------------------------------------------------------------------
--------------- 
<span   <span style="font-size:9pt;">(1 443)</span>             <span
style="font-size:9pt;">(2 
 style                                                                         
    467)</span> 
="font 
-size: 
9pt;"> 
Impair 
ment 
 of 
 goodw 
ill 
 and 
 trade 
marks< 
/span> 
--------------------------------------------------------------------------------
--------------- 
<span     <span style="font-size:9pt;">5 463</span>   <span
style="font-size:9pt;">1 604</span> 
 style 
="font 
-size: 
9pt;"> 
Operat 
ing 
 profi 
t</spa 
n> 
--------------------------------------------------------------------------------
--------------- 
      
--------------------------------------------------------------------------------
-------- 
<span        <span style="font-size:9pt;">27</span>       <span
style="font-size:9pt;">5</span> 
 style 
="font 
-size: 
9pt;"> 
Intere 
st 
 incom 
e</spa 
n> 
<span     <span style="font-size:9pt;">(689)</span>   <span
style="font-size:9pt;">(763)</span> 
 style 
="font 
-size: 
9pt;"> 
Intere 
st 
 expen 
se</sp 
an> 
<span        <span style="font-size:9pt;">33</span>   <span
style="font-size:9pt;"> (71)</span> 
 style 
="font 
-size: 
9pt;"> 
Foreig 
n 
 excha 
nge 
 gains 
 (loss 
es)</s 
pan> 
<span      <span style="font-size:9pt;">(90)</span>    <span
style="font-size:9pt;">(58)</span> 
 style 
="font 
-size: 
9pt;"> 
Other 
 finan 
ce 
 costs 
</span 
> 
<span    <span style="font-size:9pt;"> (719)</span>  <span
style="font-size:9pt;"> (887)</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 finan 
ce 
 cost< 
/span> 
<span       <span style="font-size:9pt;">557</span>     <span
style="font-size:9pt;">494</span> 
 style 
="font 
-size: 
9pt;"> 
Profit 
 (loss 
) on 
 share 
s of 
 joint 
 ventu 
res</s 
pan> 
<span       <span style="font-size:9pt;"> 23</span>      <span
style="font-size:9pt;">20</span> 
 style 
="font 
-size: 
9pt;"> 
Profit 
 (loss 
) from 
 inves 
tments 
 in 
 assoc 
iates< 
/span> 
<span     <span style="font-size:9pt;">5 324</span>   <span
style="font-size:9pt;">1 231</span> 
 style 
="font 
-size: 
9pt;"> 
Profit 
 befor 
e 
 incom 
e 
 tax</ 
span> 
<span     <span style="font-size:9pt;">(214)</span>   <span
style="font-size:9pt;">(150)</span> 
 style 
="font 
-size: 
9pt;"> 
Income 
 tax 
 expen 
se</sp 
an> 
--------------------------------------------------------------------------------
--------------- 
<span     <span style="font-size:9pt;">5 110</span>   <span
style="font-size:9pt;">1 081</span> 
 style 
="font 
-size: 
9pt;"> 
Profit 
 for 
 the 
 repor 
ting 
 perio 
d</spa 
n> 
--------------------------------------------------------------------------------
--------------- 
--------------------------------------------------------------------------------
--------------- 
<span 
 style 
="font 
-size: 
9pt;"> 
Net 
 profi 
t for 
 the 
 repor 
ting 
 perio 
d 
 attri 
butabl 
e 
 to</s 
pan><s 
pan 
 style 
="font 
-size: 
9pt;"> 
:</spa 
n> 
<span     <span style="font-size:9pt;">5 110</span>   <span
style="font-size:9pt;">1 081</span> 
 style 
="font 
-size: 
9pt;"> 
Equity 
 holde 
rs of 
 the 
 paren 
t 
 compa 
ny</sp 
an> 
<span 
 style 
="font 
-size: 
9pt;"> 
Other 
 compr 
ehensi 
ve 
 incom 
e that 
 may 
 be 
 subse 
quentl 
y 
 recla 
ssifie 
d to 
 profi 
t or 
 loss< 
/span> 
<span      <span style="font-size:9pt;">(34)</span>      <span
style="font-size:9pt;">58</span> 
 style 
="font 
-size: 
9pt;"> 
Curren 
cy 
 trans 
lation 
 diffe 
rences 
</span 
> 
<span     <span style="font-size:9pt;">5 076</span>   <span
style="font-size:9pt;">1 139</span> 
 style 
="font 
-size: 
9pt;"> 
Total 
 other 
 compr 
ehensi 
ve 
 incom 
e for 
 the 
 perio 
d</spa 
n> 
<span 
 style 
="font 
-size: 
9pt;"> 
Compre 
hensiv 
e 
 incom 
e for 
 the 
 repor 
ting 
 perio 
d 
 attri 
butabl 
e 
 to:</ 
span> 
<span     <span style="font-size:9pt;">5 076</span>   <span
style="font-size:9pt;">1 139</span> 
 style 
="font 
-size: 
9pt;"> 
Equity 
 holde 
rs of 
 the 
 paren 
t 
 compa 
ny</sp 
an> 
<span      <span style="font-size:9pt;">0.17</span>    <span
style="font-size:9pt;">0.04</span> 
 style 
="font 
-size: 
9pt;"> 
Basic 
 and 
 dilut 
ed 
 earni 
ngs 
 per 
 share 
 </spa 
n> 
--------------------------------------------------------------------------------
--------------- 

Consolidated cash flow statement

<span    <span style="font-size:9pt;">2014</span>   <span
style="font-size:9pt;">2013</span> 
 style 
="font 
-size: 
9pt;"> 
(EUR</ 
span>< 
span 
 style 
="font 
-size: 
9pt;"> 
 thous 
and</s 
pan><s 
pan 
 style 
="font 
-size: 
9pt;"> 
)</spa 
n> 
--------------------------------------------------------------------------------
------------ 
<span 
 style 
="font 
-size: 
9pt;"> 
Cash 
 flows 
 from 
 opera 
ting 
 activ 
ities< 
/span> 
--------------------------------------------------------------------------------
------------ 
<span   <span style="font-size:9pt;">5 463</span>  <span
style="font-size:9pt;">1 604</span> 
 style 
="font 
-size: 
9pt;"> 
Operat 
ing 
 profi 
t for 
 the 
 repor 
ting 
 year< 
/span> 
--------------------------------------------------------------------------------
------------ 
--------------------------------------------------------------------------------
------------ 
<span 
 style 
="font 
-size: 
9pt;"> 
Adjust 
ments 
 for:< 
/span> 
<span   <span style="font-size:9pt;">2 921</span>  <span
style="font-size:9pt;">2 521</span> 
 style 
="font 
-size: 
9pt;"> 
Deprec 
iation 
, 
 amort 
isatio 
n and 
 impai 
rment 
 </spa 
n> 
<span   <span style="font-size:9pt;">1 443</span>  <span
style="font-size:9pt;">2 467</span> 
 style 
="font 
-size: 
9pt;"> 
Loss 
 on 
 trade 
mark 
 and 
 goodw 
ill 
 impai 
rment< 
/span> 
<span             <span style="font-size:9pt;">(1      <span
style="font-size:9pt;">0</span> 
 style                                933)</span> 
="font 
-size: 
9pt;"> 
Gain 
 from 
 chang 
e in 
 owner 
ship 
 inter 
est in 
 joint 
 ventu 
res 
 </spa 
n> 
<span       <span style="font-size:9pt;">6</span>   <span
style="font-size:9pt;">(30)</span> 
 style 
="font 
-size: 
9pt;"> 
(Gain) 
/loss 
 on 
 sale 
 and 
 write 
-down 
 of 
 prope 
rty, 
 plant 
 and 
 equip 
ment</ 
span> 
<span     <span style="font-size:9pt;">136</span>    <span
style="font-size:9pt;">384</span> 
 style 
="font 
-size: 
9pt;"> 
Change 
 in 
 value 
 of 
 share 
 optio 
n</spa 
n> 
<span 
 style 
="font 
-size: 
9pt;"> 
Cash 
 flows 
 from 
 opera 
ting 
 activ 
ities: 
</span 
> 
<span     <span style="font-size:9pt;">334</span>     <span
style="font-size:9pt;">72</span> 
 style 
="font 
-size: 
9pt;"> 
Trade 
 and 
 other 
 recei 
vables 
</span 
> 
<span     <span style="font-size:9pt;">251</span>    <span
style="font-size:9pt;">242</span> 
 style 
="font 
-size: 
9pt;"> 
Invent 
ories< 
/span> 
<span             <span style="font-size:9pt;">(2     <span
style="font-size:9pt;">16</span> 
 style                                250)</span> 
="font 
-size: 
9pt;"> 
Trade 
 and 
 other 
 payab 
les</s 
pan> 
<span   <span style="font-size:9pt;">6 371</span>  <span
style="font-size:9pt;">7 276</span> 
 style 
="font 
-size: 
9pt;"> 
Cash 
 gener 
ated 
 from 
 opera 
tions< 
/span> 
<span   <span style="font-size:9pt;">(185)</span>  <span
style="font-size:9pt;">(240)</span> 
 style 
="font 
-size: 
9pt;"> 
Income 
 tax 
 paid< 
/span> 
<span   <span style="font-size:9pt;">(692)</span>  <span
style="font-size:9pt;">(794)</span> 
 style 
="font 
-size: 
9pt;"> 
Intere 
st 
 paid< 
/span> 
      
--------------------------------------------------------------------------------
----- 
<span   <span style="font-size:9pt;">5 494</span>  <span
style="font-size:9pt;">6 242</span> 
 style 
="font 
-size: 
9pt;"> 
Net 
 cash 
 gener 
ated 
 from 
 opera 
ting 
 activ 
ities 
 </spa 
n> 
--------------------------------------------------------------------------------
------------ 
--------------------------------------------------------------------------------
------------ 
<span 
 style 
="font 
-size: 
9pt;"> 
Cash 
 flows 
 from 
 inves 
ting 
 activ 
ities 
 </spa 
n> 
<span             <span style="font-size:9pt;">(1      <span
style="font-size:9pt;">0</span> 
 style                                600)</span> 
="font 
-size: 
9pt;"> 
Term 
 depos 
it 
 (plac 
ement) 
/relea 
se</sp 
an> 
<span   <span style="font-size:9pt;">2 354</span>      <span
style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Receiv 
ed on 
 restr 
ucturi 
ng of 
 joint 
 ventu 
res</s 
pan> 
<span     <span style="font-size:9pt;">(3)</span>      <span
style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Invest 
ments 
 in 
 joint 
 ventu 
res</s 
pan> 
<span   <span style="font-size:9pt;">(135)</span>      <span
style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Acquis 
ition 
 of 
 assoc 
iate</ 
span> 
<span       <span style="font-size:9pt;">0</span>  <span
style="font-size:9pt;">(327)</span> 
 style 
="font 
-size: 
9pt;"> 
Acquis 
ition 
 of 
 subsi 
diary< 
/span> 
<span       <span style="font-size:9pt;">0</span>   <span
style="font-size:9pt;">(15)</span> 
 style 
="font 
-size: 
9pt;"> 
Purcha 
se of 
 other 
 inves 
tments 
</span 
> 
<span       <span style="font-size:9pt;">6</span>     <span
style="font-size:9pt;">34</span> 
 style 
="font 
-size: 
9pt;"> 
Intere 
st 
 recei 
ved</s 
pan> 
<span             <span style="font-size:9pt;">(3  <span
style="font-size:9pt;">(769)</span> 
 style                                101)</span> 
="font 
-size: 
9pt;"> 
Purcha 
se of 
 prope 
rty, 
 plant 
 and 
 equip 
ment</ 
span> 
<span      <span style="font-size:9pt;">13</span>    <span
style="font-size:9pt;">107</span> 
 style 
="font 
-size: 
9pt;"> 
Procee 
ds 
 from 
 sale 
 of 
 prope 
rty, 
 plant 
 and 
 equip 
ment</ 
span> 
<span    <span style="font-size:9pt;">(24)</span>    <span
style="font-size:9pt;">(3)</span> 
 style 
="font 
-size: 
9pt;"> 
Loans 
 grant 
ed</sp 
an> 
<span       <span style="font-size:9pt;">7</span>      <span
style="font-size:9pt;">6</span> 
 style 
="font 
-size: 
9pt;"> 
Loan 
 repay 
ments 
 recei 
ved</s 
pan> 
      
--------------------------------------------------------------------------------
----- 
<span             <span style="font-size:9pt;">(2  <span
style="font-size:9pt;">(967)</span> 
 style                                483)</span> 
="font 
-size: 
9pt;"> 
Net 
 cash 
 used 
 in 
 inves 
ting 
 activ 
ities 
 </spa 
n> 
--------------------------------------------------------------------------------
------------ 
--------------------------------------------------------------------------------
------------ 
<span 
 style 
="font 
-size: 
9pt;"> 
Cash 
 flows 
 from 
 finan 
cing 
 activ 
ities< 
/span> 
<span   <span style="font-size:9pt;">(298)</span>  <span
style="font-size:9pt;">(298)</span> 
 style 
="font 
-size: 
9pt;"> 
Divide 
nds 
 paid< 
/span> 
<span     <span style="font-size:9pt;">203</span>    <span
style="font-size:9pt;">312</span> 
 style 
="font 
-size: 
9pt;"> 
Divide 
nd 
 recei 
ved 
 from 
 joint 
 ventu 
res</s 
pan> 
<span    <span style="font-size:9pt;">(75)</span>   <span
style="font-size:9pt;">(25)</span> 
 style 
="font 
-size: 
9pt;"> 
Financ 
e 
 lease 
 repay 
ments< 
/span> 
<span   <span style="font-size:9pt;">1 117</span>  <span
style="font-size:9pt;">(745)</span> 
 style 
="font 
-size: 
9pt;"> 
Change 
 in 
 use 
 of 
 overd 
raft</ 
span> 
<span   <span style="font-size:9pt;">1 346</span>      <span
style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Loan 
 recei 
ved 
 </spa 
n> 
<span             <span style="font-size:9pt;">(3            <span
style="font-size:9pt;">(3 
 style                                695)</span>                              
 600)</span> 
="font 
-size: 
9pt;"> 
Repaym 
ents 
 of 
 bank 
 loans 
</span 
> 
<span    <span style="font-size:9pt;">(64)</span>      <span
style="font-size:9pt;">0</span> 
 style 
="font 
-size: 
9pt;"> 
Purcha 
se of 
 treas 
ury 
 share 
s</spa 
n> 
--------------------------------------------------------------------------------
------------ 
<span             <span style="font-size:9pt;">(1            <span
style="font-size:9pt;">(4 
 style                                466)</span>                              
 357)</span> 
="font 
-size: 
9pt;"> 
Net 
 cash 
 used 
 in 
 finan 
cing 
 activ 
ities 
 </spa 
n> 
--------------------------------------------------------------------------------
------------ 
<span   <span style="font-size:9pt;">1 545</span>    <span
style="font-size:9pt;">918</span> 
 style 
="font 
-size: 
9pt;"> 
NET 
 (DECR 
EASE)/ 
INCREA 
SE IN 
 CASH 
 AND 
 CASH 
 EQUIV 
ALENTS 
</span 
> 
--------------------------------------------------------------------------------
------------ 
      
--------------------------------------------------------------------------------
----- 
<span   <span style="font-size:9pt;">2 111</span>  <span
style="font-size:9pt;">1 193</span> 
 style 
="font 
-size: 
9pt;"> 
Cash 
 and 
 cash 
 equiv 
alents 
 at 
 the 
 begin 
ning 
 of 
 the 
 year< 
/span> 
<span   <span style="font-size:9pt;">3 656</span>  <span
style="font-size:9pt;">2 111</span> 
 style 
="font 
-size: 
9pt;"> 
Cash 
 and 
 cash 
 equiv 
alents 
 at 
 the 
 end 
 of 
 the 
 year< 
/span> 
--------------------------------------------------------------------------------
------------ 




         Additional information:
         Gunnar Kobin
         Chairman of the Management Board
         GSM: +372 5188111
         e-mail: [email protected]