Notice regarding a competing takeover bid and the extension of the deadline for accepting the takeover bid

In accordance with the provisions of the Rules of the Ljubljana Stock Exchange d.d. and the ZTVP-1 (Official Gazette of the Republic of Slovenia, No. 51/06, UPB 2), KD Group, d.d., Ljubljana hereby issues the following announcement:

KD Holding, financial company, d.d., Ljubljana, Celovška 206, hereby informs the public that on 18 October 2006, a competing bid by Kapitalska zadruga, z.b.o., Ljubljana, for the takeover of Deželna banka Slovenije d.d., Ljubljana,

was published in the newspaper *Delu* on 18 October 2006. In accordance with the third point of the third paragraph of Article 31 of the Takeovers Act (Official Gazette of the Republic of Slovenia, No. 79/06; ZPre-1), the deadline for accepting the takeover bid by KD Holding d.d., submitted on 14 October 2006, is therefore extended until the expiry of the deadline for the competing bid. In view of the above, the takeover bid by KD Holding d.d. for the purchase of shares in Deželna banka Slovenije d.d., instead of expiring on 13 November 2006 at 10.00 am, shall remain valid up to and including 14 November 2006 at 12.00.

This notice will also be published from 18 October 2006 until further notice on the website www.kd-group.si under ‘Notices’ in the ‘Public Announcements’ section.

Ljubljana, 18 October 2006



KD Holding d. d.
Management Board