Finland's Kesko Corporation transfers share capital of subsidiary to OKO Bank Plc

Nordic Business Report, Jan 31, 2008

NORDIC BUSINESS REPORT-31 January 2008-Finland's Kesko Corporation transfers share capital of subsidiary to OKO Bank Plc(C)1994-2008 M2 COMMUNICATIONS LTD http://www.m2.com

Finnish trading house Kesko Corporation said on Thursday (31 January) that the share capital of its subsidiary, K-Rahoitus Oy, has been transferred to the Finnish financial group OKO Bank plc.

An agreement to this effect was signed between OKO and Kesko Corporation on 21 December 2007, the company said.

The preliminary price paid in connection with the conclusion of the deal is about EUR30m.

Kesko will recognise a non-recurring gain of about EUR10m on the disposal. As a result of financial liabilities repayable to Kesko, the cash flow impact of the transaction will be about EUR240m.

Kesko, headquartered in Helsinki, Finland, provides retail and wholesale trading services in the Baltic Sea area. Kesko operates in Finland, Sweden, Norway, the Baltic countries and Russia. The company has about 2,200 stores engaged in chain operations in seven countries. Kesko is listed on the Nordic Exchange in Helsinki.

One British pound (GBP) is worth approximately 1.34 euros (EUR).

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