Press Release, 16. December 2005

Meridian Group enters Slovakian market

The Meridian Group, an American-Austrian Mergers & Acquisitions-, consulting- and real-estate development group, has acquired a 68-hectar property in Slovensky Grob, located ca. 6 km to the Northeast of Bratislava. The property has been recently re-zoned for commercial and residential development.

Meridian is planning a significant new residential community of single family homes, townhouses, and apartments which in the final phases will provide quality suburban living with a "gated community" style for up to 1000 families. In contrast to many of the other smaller new developments in the general area, the development plans envision a community with significant infrastructure including schools, playgrounds, and sports facilities and will also include a commercial area to cover day to day shopping, banking and other service needs.

The financing partners in this transaction are ISTROBANKA a.s. as lead manager (a subsidiary of the Austrian .Bank für Arbeit und Wirtschaft AG. in Slovakia) and the HVB Bank Slovakia (a subsidiary of Bank Austria/HVB Group). The total investment volume expected during several phases of development spread over the next 5 - 7 years will be in the range of EUR 100-125 million.

Dr. Richard Schenz (former Chief Executive Officer of OMV and currently Capital Markets representative of the Austrian Government) is a senior partner of the Meridian Group:

"We are delighted to make our first significant investment in Slovakia in the form of this exciting project", said Dr. Schenz. "Slovakia is one of the fastest growing markets in the EU with solid economic development prospects and an ongoing shortage of quality residential facilities. We are planning to create a residential facility unique for this area with great facilities for approx. 3,500 residents". "The area is one of the most attractive outlying Bratislava, with views of the hills to the north of Bratislava and vineyards in the area", adds Dr. Schenz "at the same time it offers only a short commute to the city proper, as well as to several major employers in the greater Bratislava area".

The first phase of infrastructure development is expected to commence in the summer of 2006.

Meridian Group Contact:

Mr Bryant Boyd, Partner
Tel: +43 (1) 205 1059 400 +43 664 423 3393
Email: bryantboyd@nknet.com