STOCKMANN'S ANNUAL GENERAL MEETING ON MA

STOCKMANN plc STOCK EXCHANGE RELEASE March 30, 2004, at 18.00

STOCKMANN'S ANNUAL GENERAL MEETING ON MARCH 30, 2004

Stockmann plc's Annual General Meeting, held in Helsinki on March 30, 2004, approved the financial statements for the financial year January 1- December 31, 2003, and granted release from liability to those responsible for the accounts. The Annual General Meeting decided to pay a basic dividend for last year of EUR 0.90 and a bonus dividend of EUR 0.45, or a total of EUR 1.35 per share. The Board of Directors' proposals to the Annual General Meeting were approved without changes.

CEO'S review

In his review of the year at Stockmann's Annual General Meeting in Helsinki on March 30, 2004, CEO Hannu Penttilä observed that the Group will henceforth have only limited possibilities for organic growth in the domestic market. Growth will be sought abroad - in Russia and the Baltic countries. Last year, sales abroad accounted for 11 per cent of aggregate sales. The proportion will rise quickly this year because the Riga department store will be in operation for its first full year, and in Moscow two new department stores and 2-3 new Zara stores will be opened. Seppälä too is continuing its expansion in Latvia and will open its first stores in Russia as well. Penttilä believes that the Stockmann Group will not have any difficulty reaching its strategic objective of generating at least a third of sales and earnings abroad by 2008.

Penttilä says that the outlook for the Stockmann Group this year and in the near future is promising. The Company has had a very good start to the year, with the department stores and Seppälä performing especially well. The sales trend in March has also been strong and first-quarter profit on ordinary operations will improve markedly on last year's figure. First- quarter operating profit will nevertheless fall short of last year's result because the capital gain booked on the disposal of the Tapiola department store property was included in the first-quarter result last year.

The growth in the Stockmann Group's sales this year is estimated to be at least on a par with 2003 and to top 1.8 billion euros. Stockmann's target is for the Group to post higher profit before extraordinary items in 2004 than it did in 2003.

Dividend of EUR 1.35 per share

The Annual General Meeting resolved that a dividend of EUR 0.90 per share is to be paid for the 2003 financial year as well as a bonus dividend of EUR 0.45, or a total of EUR 1.35 per share. The total dividend payout will amount to EUR 70.5 million. The dividend will be paid on April 14, 2004, to those shareholders who on the record date for the dividend payout, April 2, 2004, have been entered in the Shareholder Register kept by Finnish Central Securities Depository Ltd.

Amendment to the Articles of Association

The Annual General Meeting approved the Board of Directors' proposal for amending the provision concerning the term of office of a member of the Board of Directors as set out in Article 5 such that the members of the Board of Directors are to be elected for one year at a time. The previous and new Article 5 of the Articles of Association are annexed hereto.

Election of the members of the Board of Directors

The Annual General Meeting resolved, in accordance with the proposal of the Board's Appointments and Compensation Committee, that seven members be elected to seats on the Board and re-elected from among the Board's present members Lasse Koivu, managing director, Föreningen Konstsamfundet r.f., Erkki Etola, managing director, Oy Etola Ab, Professor Eva Liljeblom, Kari Niemistö, managing director, Oy Selective Investor Ab, Christoffer Taxell, LL.M., and Henry Wiklund, managing director, Svenska litteratursällskapet i Finland r.f., for a term of office up to the end of the next Annual General Meeting. Following the notification of Erik Anderson, LL.M., that he did not wish to stand for election, Carola Teir- Lehtinen, Senior Vice President, Corporate Communications, Fortum Corporation, was elected as a new member in accordance with the Committee's proposal.

At its organization meeting on March 30, 2004, the Board of Directors re- elected Lasse Koivu chairman and Erkki Etola vice chairman.

Auditors

Re-elected as regular auditors were Wilhelm Holmberg, Authorized Public Accountant, and Henrik Holmblom, Authorized Public Accountant. KPMG Wideri Oy Ab will continue to act as the deputy auditor.

Other resolutions

The Annual General Meeting passed a resolution to authorize the Board of Directors to decide on transferring a maximum of 413,000 of the Company's own Series B shares (treasury shares) in one or more instalments. The authorization will be valid for one year.

Because of an error that has been observed in the Trade Register entries for the Stockmann plc share options 2000, the Annual General Meeting resolved to confirm for registration purposes the resolution, passed by the Annual General Meeting on April 11, 2000, concerning the granting of share options to key personnel of the senior and middle management of Stockmann and its subsidiaries on the previous terms and conditions.

STOCKMANN plc

Hannu Penttilä CEO

DISTRIBUTION Helsinki Exchanges Principal media

STOCKMANN plc, SUPPLEMENT TO STOCK EXCHANGE RELEASE March 30, 2004

Article 5 of the old Articles of Association:

Article 5 Board of Directors

The Company's Board of Directors shall have a minimum of five and a maximum of nine members.

The members of the Board of Directors shall be elected to a three-year term of office such that, as far as possible, one third of them will be due to retire each year. To arrive at a distribution of this type, part of the members can be elected for one or two years.

The term of office of a member of the Board of Directors shall begin from the General Meeting at which he has been elected and end at the close of the Annual General Meeting when his term of office has expired. If the membership of a Board member comes to an end whilst he is serving on the Board, a new member can be elected at the next General Meeting.

A person who has reached the age of 65 years cannot be elected a member of the Board of Directors.

The Board of Directors shall elect from amongst its number a Chairman and a Vice Chairman for one year at a time.

The Board of Directors shall have a quorum when more than half of its members are in attendance. Decisions shall be made on the majority principle. In the event of a tie, the Chairman shall have the casting vote. However, if the voting results in a tie when electing the Chairman of the Board of Directors, the election shall be decided by casting lots.

Article 5 of the new Articles of Association:

Article 5 Board of Directors

The Company's Board of Directors shall have a minimum of five and a maximum of nine members.

The term of office of a member of the Board of Directors shall commence from the Annual General Meeting at which the director was elected and end at the close of the next Annual General Meeting.

A person who has reached the age of 65 years cannot be elected a member of the Board of Directors.

The Board of Directors shall elect from amongst its number a Chairman and a Vice Chairman for one year at a time.

The Board of Directors shall have a quorum when more than half of its members are in attendance. Decisions shall be made on the majority principle. In the event of a tie, the Chairman shall have the casting vote. However, if the voting results in a tie when electing the Chairman of the Board of Directors, the election shall be decided by casting lots.





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