Athens, January 29th, 2008

I. Kloukinas - I. Lappas SA announces:

Pursuant to Law 3340/2005 in combination with article 2 of Decision 3/347/12/07/08 of the Hellenic Capital Market Commission , the BoD of the company on 29/01/2008 decided:

a) the commencement of reorganization proceedings of the Cypriot Company under the name “COMPTON HOUSE PROPERTIES LIMITED” b) the commencement of the merger by absorption by the Company of the company under the name “COMPTON HOUSE (HELLAS) TRADE OF CHILDREN’ S PRODUCTS & LEARNING TOYS SOCIETE ANONYME” and under the distinctive title “COMPTON HOUSE (HELLAS) S.A.”. and
c) the commencement of the separation of the construction sector of the Company and the contribution of the above construction sector to an affiliated company, 100 percent owned by the Company. The construction sector represents above 30% of the total sales turnover of the previous fiscal year.

All transformations being decided by the BoD of the company will be dated on the 31/03/2008 both for the merger Transformation Balance sheet and the accounting statement for the separation of the construction sector in accordance with the articles of the Law 2166/1993.

The BoD would like to inform the Shareholders that there is no case of shares exchange as the companies are 100% subsidiaries of the parent company.
Finalizing the above transformations is conditional on the approval by the General Shareholders Meeting which will take place within the second trimester of 2008 and on the approval required by the competent authorities.

The Company after the approval of the separation of the construction sector by the General Shareholder Meeting will distribute informative note.