As the last step in strengthening its financial position, Baltika Group has    

signed debt refinancing agreements of 17.1 million euros in aggregate and    
  
guarantee facility agreements of 2.9 million euros in aggregate with AS
Swedbank
and Nordea Bank Finland Plc Estonian Branch. The agreements concluded
in        
November this year will mature on 31 December 2014. The
transactions involved   
consolidating a number of different loans, both
short- and long-term ones, and  
aligning the settlement schedules with the
Group's real cash flow capabilities  
in the next few years. As a result of
refinancing, the Group's current to       
non-current loans ratio is
approximately 5%/95% in place of the former 40%/60%. 

Management believes
that successful implementation of the financial             
reinforcement
package will ensure the Group with a sustainable financial        
position
for exiting the economic crisis and achieving its strategic objectives 
until
the end of 2014.                                                         




Ülle Järv                                                              
        
CFO, Member of the Management Board                                  
          
+372 630 2731