Snaige AB - Notification on material event

Regarding redemption of the bonds and subscription of newly issued bonds

On 6 April 2009 the subscription period of AB „Snaigė“ convertible bonds with
maturity of 368 days and annual interest rate of 10% has ended. During the
subscription period 61 372 units of bonds with nominal value of 100 EUR per
bond were subscribed by owners of AB “Snaigė” bonds issued in 2009 choosing to
refinance their securities. In total bond holders have refinanced 73% of bonds
issued in year 2009. 

Investors who owned 8 430 units of year 2009 convertible bonds LT1000401174
chose to convert securities into ordinary shares of AB “Snaige“. These
investors in total will be provided with 2 908 350 ordinary shares of AB
„Snaigė“ with nominal value o fone share equal to 1 LTL, by increasing
company‘s subscribed capital with a corresponding value. In total bond holders
have converted 11% of convertible bonds issued in year 2009. 

Part of the bonds issues the owners of which didn't agree to refinance or
convert owned securities was not redeemed. Due to financial loss incurred in
year 2009 the company didn't generate sufficient amount of funds needed for
redemption and due to the frozen credit markets of the region needed funds were
not possible to be borrowed from outside sources. 

The company will provide holders of non-redeemed bonds with proposals regarding
liquidation of formed indebtedness as soon as possible. 

Managing Director
Gediminas Čeika
+370 315 56206