Amsterdam, 24 December 2008. International investment company Kardan N.V. (Kardan) announces that its group company Kardan Financial Services B.V. (KFS) has reached an agreement on the sale of its fully owned subsidiary Russian Insurance Company (RIC). Kardan estimates it will realize a loss of approximately EUR 3 million.

The transaction will be closed before 31 December 2008 and the book loss will be recorded in the financial statements 2008 of Kardan.

In the first nine months of 2008 the contribution of RIC to the net profit of Kardan was a loss of EUR 5 million. This loss did not include extraordinary results.

The sale of RIC is the final step of the restructuring announced on 23 December 2008. Including the book loss on the sale of RIC, Kardan generated a gain of EUR 10 million on the restructuring, based upon the figures of September 30, 2008.

Kardan owns 80% of KFS, the financial services division of Kardan.

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