Changes In Distribution Of airBaltic Shares

Today, on October 30, at a briefing held by the shareholders of the Latvia’s national airline airBaltic, the press was informed of changes in the distribution of company shares and about airBaltic activities.

Participants at the press conference were:

* airBaltic Chairman of the Board Bert Flick

* SAS Senior Vice-president Larss Lindgren
* airBaltic President and Executive Director Jens Helmo Larsen

Larss Lindgren, SAS Vice-president and member of the airBaltic Board of Directors said: “We have reached agreement with the Scandinavian investment fund, Swedfund AB, on takeover of their company shares, which means that the Scandinavian Airlines System (SAS), will now own 47,2% of airBaltic shares. Swedfund had planned from the start to eventually hand over their shares to the other shareholders.


This move is yet another indication that SAS has long-term plans in this region. We feel that airBaltic is a company with good development perspectives.”

Bert Flick, airBaltic Chairman of the Board and representative of the Latvian state commented: “After September 11, the Latvian economy has not suffered as heavy a blow as America, Europe and other countries. Many of the world`s airlines are in a crisis situation and have been forced to reduce the number of flights and lay off employees. We are happy that airBaltic has not had to take such measures.”

Jens Helmo Larsen, airBaltic President and Executive Director said: “The changes in distribution of airBaltic shares will in no way affect the company`s current strategy and flight routes. We will be keeping an eye on the development of the political situation. We are cooperating with Latvian and foreign security services, and doing everything that we can to make sure that our passengers can feel safe during their flight.”

AIR BALTIC CORPORATION A/S (airBaltic) previous distribution of shares:
** Latvian state - 52.6 %
** SAS - 34.2 %
** Swedfund AB - 6.5 %
** I¯ Danish Investment Fund for Central and Eastern Europe - 6.5 %
** Transaero - 0.2 %