Project developments, share transactions and change in management


Court decision on Maskavas street 264 propery's detail plan

Latvian Constitutional Court made a positive decision for Q Vara regarding the
property at Maskavas street 264 in Riga (see also Q Vara's stock exchange
release from April 4, 2008). The decision says that the detail plan of the
property is in accordance with Latvian legislation and Riga City's approval of
the detail plan is valid. The decision of the highest court level in Latvia is
final and is not subject for appeal. As a result of the positive decision Q
Vara can proceed the sale transaction of Jonathan project that was delayed in
spring. 

Terminal No. 11

Due to the weakending real estate market in the Baltics the cooperation plans
to jointly develop Terminal No 11 logistics project by Q Vara and HIH Global
Invest GmbH were terminated. Q Vara continues the development and sale of the
project and will realize part of the project land as land plots. Of the twenty
land plots on sale currently eight are sold. The funds that Q Vara receives
from the sale of the land plots will be used for financing the construction of
warehouses. The first warehouse was completed in the beginning of September and
Q Vara has started to hand it over to final clients. 

Share transaction

On September 26, 2008 Q Vara's shareholder OÜ SLProductions changed the manager
of its securities account and transferred its share in Q Vara (15 984 400
shares) onto its securities account in GILD Fund Management. The transaction
did not change the shareholder structure. 

Change in Q Vara's management

On September 30, 2008 Q Vara's supervisory board decided to confirm the
resignation of Meelis Šokman. According to the agreement Meelis Šokman's
mandate as a management board member of UAB Q Vara, UAB Q Statyba, SIA Q
Estate, OÜ Q Ehitus and OÜ Q Haldus ends on September 30, 2008 and as a
management board member of Q Vara on October 25, 2008. 

Additional information:
Alo Lillepea
Member of the management board
AS Q Vara
Phone: +372 668 1600