TECHNOPOLIS GROUP INTERIM REPORT, JANUARY 1 – JUNE 30, 2008

Technopolis - Interim report 
TECHNOPOLIS PLC           INTERIM REPORT        18.7.2008 at 10.25 am           


TECHNOPOLIS GROUP INTERIM REPORT, JANUARY 1 - JUNE 30, 2008                     

Highlights of 1-6/2008 compared with the corresponding period of 2007:          
- Net sales rose to EUR 34.9 million (EUR 27.8 million), an increase of 25.4 %. 
- EBITDA (Earnings before interest, taxes, depreciation and amortization) rose  
to EUR 17.9 million (EUR 13.6 million), an increase of 31.4 %                   
- Operating profit was EUR 15.5 million (EUR 18.7 million), which includes EUR  
-1.7 million (EUR 5.4 million) from change in fair value of investment          
properties.                                                                     
- Profit before taxes totaled EUR 8.7 million (EUR 14.5 million), a decrease of 
39.7 %.                                                                         
- The financial occupancy ratio was 96.6 % (95.4 %).                            
- Earnings per share, diluted, were EUR 0.14/share (EUR 0.26/share).            

Pertti Huuskonen, President and CEO:                                            

”The Group's business developed favorably in the review period. Major events    
included the expansion of Technopolis to Kuopio and a successful rights issue in
which the company raised some EUR 59.6 million of new equity. Two of the        
building projects in progress at the turn of the year were completed, namely the
Hermia 12 property in Tampere and the first stage of the Lappeenranta City      
project. With respect to other ongoing building projects, we advanced as        
planned. In the second quarter we initiated new projects in Jyväskylä, Oulu and 
Tampere in Finland, and in St. Petersburg in Russia. Their combined cost is     
estimated at approximately EUR 113 million.”                                    

Business                                                                        

The Group's net sales for the review period were EUR 34.9 million (EUR 27.8     
million in 1-6/2007), representing growth of 25.4 %. Of the net sales for the   
period, rental income accounted for 81.6 % (79.7 %) and service income for 18.4 
% (20.3 %). EBITDA (earnings before interest, taxes, depreciation and           
amortization) for the period was EUR 17.9 million (EUR 13.6 million), an        
increase of 31.4 %. The other operating income for the review period includes a 
nonrecurring capital gain of EUR 0.4 million and nonrecurring compensation of   
EUR 0.5 million for premature lease termination. The operating profit for the   
review period was EUR 15.5 million (EUR 18.7 million). Depreciation according to
plan includes a nonrecurring item of EUR 0.4 million. The Group's net financial 
expenses totaled EUR 6.8 million (EUR 4.3 million). Profit before taxes for the 
review period was EUR 8.7 million (EUR 14.5 million).                           

The balance sheet total was EUR 655.3 million (EUR 443.7 million), an increase  
of 47.7 %. The Group's equity ratio at the end of the period was 40.8 % (38.9   
%).                                                                             

The fair value of the Group's investment properties at the end of the review    
period was EUR 542.6 million (EUR 398.2 million). The effect on profit of the   
change in the fair values of investment properties during the period was EUR    
-1.7 million (EUR 5.4 million). The profit effect was mainly due to the increase
in the return requirements of the market and the change in the fair values of   
properties bought and completed in the period.                                  

The Group's total rentable floor area was 415,443 floor square meters at the end
of the review period (346,077 floor square meters at June 30, 2007). The Group's
average financial occupancy ratio at the end of the period was 96.6 % (95.4 %). 
The financial occupancy ratio describes the rental revenue from the properties  
as a percentage of the combined total of the rent for the leased space and the  
estimated market rent for the vacant space. The Group's leases at the end of the
review period totaled EUR 119.8 million (EUR 121.2 million).                    

Group structure                                                                 

The Technopolis Group includes the parent company, Technopolis Plc, which has   
operations in Espoo, Helsinki, Jyväskylä, Lappeenranta, Oulu, Tampere and       
Vantaa, and its subsidiaries Innopoli Oy in Espoo (100 % owned), Kiinteistö Oy  
Innopoli II in Espoo (100 % owned), Technopolis Kuopio Oy (100 % owned) and     
other subsidiaries. The Group has begun to merge Technopolis Kuopio Oy into the 
parent company.                                                                 

Technopolis has two Russian companies in St. Petersburg, Technopolis Neudorf LLC
and Technopolis St. Petersburg LLC, both fully owned by Technopolis.            

The parent company has minority holdings in the associates Kiinteistö Oy Hermia 
(49.3 %), Technocenter Kempele Oy (48.5 %), Iin Micropolis Ltd (25.7 %),        
Jyväskylä Innovation Ltd (24 %), Kuopio Innovation Ltd (24 %), and Lappeenranta 
Innovation Ltd (20 %). Technopolis Plc has a 13 % holding in Oulu Innovation    
Ltd.                                                                            

The Group also includes Technopolis Ventures Oy in Espoo (wholly owned by       
Innopoli Oy). Technopolis Ventures Oy has the following subsidiaries:           
Technopolis Ventures Kareltek Ltd in Lappeenranta (100 % owned), Technopolis    
Ventures JSP Ltd in Jyväskylä (100 % owned), Technopolis Ventures Oulutech Oy in
Oulu (70 % owned), Technopolis Ventures Professia Oy in Tampere (50.1 % owned)  
and Technopolis Ventures Kuopio Oy in Kuopio (100 % owned). Technopolis Ventures
Oy also has a 25 % holding in Otaniemi Development Ltd.                         

Principal investments and development projects                                  

The deed of sale concerning the shares of Technopolis Kuopio Oy (previously     
Kuopion Teknologiakeskus Teknia Oy) was signed with the City of Kuopio on       
February 21, 2008. The transaction price paid in cash was EUR 18.7 million,     
based on Kuopion Teknologiakeskus Teknia Oy's net debt position on February 21, 
2008. After the transaction and the simultaneous acquisition of the shares held 
by the municipality of Siilinjärvi, Technopolis holds 100 % of Technopolis      
Kuopio's shares. Technopolis Kuopio Oy comprises three modern property          
companies, the total rentable area of which adds up to 47,860 square meters.    

The Hermia 12 property was completed in Tampere in February. The building is    
approximately 5,000 floor square meters in size and has been fully leased out.  

The first stage of the Lappeenranta City project was completed in May 2008. Its 
total area of 3,150 floor square meters has been fully leased out.              

The first stage of the Technopolis Ruoholahti technology center currently being 
built in Helsinki is estimated to be completed in August 2008. The size of the  
first stage is 6,600 floor square meters and the cost is estimated at EUR 20    
million, including parking facility and site costs. 83 % of the building has so 
far been leased out.                                                            

With respect to Oulu's Kontinkangas technology center, the third stage is       
expected to reach completion in August while the fourth stage is expected to    
reach completion in September this year. The size of the third stage is 3,500   
gross square meters and the investment will total approximately EUR 5 million.  
The size of the fourth stage is about 4,290 gross square meters and the         
investment will total approximately EUR 7.5 million. Both the third and fourth  
stages have already been fully leased out.                                      

The fifth stage of the Technopolis Helsinki-Vantaa technology center is         
estimated to be completed in November 2008. The size of the fifth stage is about
6,700 gross square meters and the investment will amount to about EUR 15        
million. 40 % of the building has so far been leased out.                       

It was decided to commence construction of the first stage of Tampere's Hermia  
15 property in April. The project's cost estimate is EUR 14.5 million and the   
gross area will be 12,150 square meters, including a parking facility for 300   
vehicles. Binding preliminary leases have been signed for 70 % of the first     
stage facilities. The first stage is estimated to be completed in August 2009.  

In June, Technopolis commenced construction of the fifth stage of its           
Kontinkangas technology center in Oulu. The size of the extension will be       
approximately 4,350 gross square meters and the investment will total           
approximately EUR 7.2 million. The completion date for the fifth stage is summer
2009. Approximately 50 % of the extension has already been leased out.          

June also saw the start of construction on the first stage of Technopolis's     
Yliopistonrinne technology center in Tampere's city center. The new center is   
located at the corner of the Kalevantie and Kanslerinrinne streets near the     
University of Tampere. The project is estimated to cost EUR 33.3 million and the
gross area will be 19,200 square meters, including an indoor parking facility   
for 130 vehicles. The first stage, 34 % of whose premises have already been     
leased out, is scheduled for completion in February, 2010. The new technology   
center is located on approximately 3,950 square meters of land acquired from the
City of Tampere in January. The transaction price was EUR 480 per square meter  
of building rights area, and totaled approximately EUR 5.6 million.             

Technopolis also started to implement the second stage of its Ohjelmakaari      
technology center, located in the Yliopistonmäki district of Jyväskylä, in June.
The project is estimated to cost EUR 7.7 million, which includes a portion of   
the costs of a parking facility due to be built later on. The gross area of the 
building will be approximately 4,790 square meters. 62 % of the second stage    
facilities have already been leased out and the building is scheduled for       
completion in June 2009.                                                        

In June, Technopolis entered into a contract to build the first stage of the    
Pulkovo technology center in St. Petersburg. The new technology center is       
located in the immediate vicinity of the Pulkovo International Airport on land  
owned by Technopolis St. Petersburg LCC. A Russian company, STEP Construction,  
was chosen as the turnkey contractor for the first stage. The contract includes 
not only the construction work required to implement the project, but also the  
management of permit regulations and general project planning. The first stage  
is estimated to cost approximately EUR 50 million and the gross area to be built
will be approximately 24,100 square meters. The first stage of the technology   
center is scheduled for completion in spring 2010.                              

Events related to the Technopolis share                                         

On April 27, 2008, the Technopolis Board of Directors decided on a rights issue 
amounting to approximately EUR 59.6 million.  The proceeds from the offering    
were to be used for financing investments in accordance with the company's      
investment plan, for ensuring the company's growth and for maintaining its      
equity ratio. The decision was based on the authorizations granted by the Annual
General Meeting on March 27, 2008 and by an Extraordinary General Meeting held  
on November 29, 2007.                                                           

The share subscription period began on May 7, 2008 and expired on May 20, 2008. 
The subscription price was EUR 4.50 per share. Each Technopolis shareholder was 
entitled to subscribe for three (3) new shares for every ten (10) shares held on
the record date, May 2, 2008.                                                   

All of the offered 13,233,540 shares had been subscribed for by the completion  
of the rights issue on May 20, 2008. 13,029,489 shares were subscribed for in   
the primary subscription, representing approximately 98.5 % of the shares on    
offer. 7,855,625 shares were subscribed for in the secondary subscription,      
exceeding the number of shares available by approximately 37 times. The gross   
proceeds raised by the company in the rights issue totaled approximately EUR    
59.6 million.                                                                   

The 13,233,540 new shares subscribed for were entered in the Trade Register on  
May 26, 2008. They were admitted for trading on the OMX Nordic Exchange Helsinki
Ltd on May 27, 2008. The new shares gave entitlement to a full dividend and to  
all other rights attached to the shares as of their date of entry in the Trade  
Register.                                                                       

Various adjustments to the terms and conditions of the company's stock option   
program for 2005 and 2007 necessitated by the rights issue also became effective
on May 26, 2008, as a result of their entry in the Trade Register.              

In December 2007, a total of 4,300 Technopolis shares were subscribed for with  
2005A options. An increase in share capital of EUR 7,267 was entered in the     
Trade Register on February 6, 2008. The new shares entitled their holders to    
dividends for the 2007 financial year and to all other shareholder rights as of 
the registration date. The shares were admitted for trading as of February 7,   
2008.                                                                           

Technopolis Plc's 2005B stock options were admitted for trading on the OMX      
Nordic Exchange as of June 2, 2008. The total number of 2005B stock options is  
436,000. Each option entitles its holder to subscribe for 1.043 Technopolis Plc 
shares. The share subscription price with the 2005B stock options is EUR 6.188  
per share. The share subscription period began on June 1, 2008 and will end on  
April 30, 2010. The terms and conditions of the stock option program were       
announced in their entirety in a Technopolis stock exchange release dated March 
2, 2005. The amendments to the terms and conditions were announced in a stock   
exchange release dated April 28, 2008.                                          

As a result of the increases, the company's share capital now stands at EUR     
96,913,626.29 and the number of shares at 57,345,341 shares.                    

The Registration Document published in compliance with the Finnish Securities   
Markets Act, approved by the Finnish Financial Supervision Authority on April   
14, 2008, and containing information about the company and its business and     
financial position is available during its period of validity through the       
company's Internet pages in Finnish language, and printed copies of it can be   
obtained from the company in Finnish or Englis language or from the service     
point of OMX Nordic Exchange Helsinki Ltd at Fabianinkatu 14, FI-00100 Helsinki.

Disclosures of changes in holdings                                              

According to information received by the company, the proportion of Technopolis 
Plc's share capital and votes held by Gazit-Globe Ltd, Tel Aviv, Israel, rose   
above one twentieth (5 %) as a result of a share transaction carried out on     
February 12, 2008, and above one tenth (10 %) as a result of a share transaction
carried out on May 15, 2008, and above three twentieths (15 %) as a result of a 
share transaction carried out after the review period on July 3, 2008.          

According to information received by the company on March 25, 2008, the         
proportion of Technopolis Plc's share capital and votes held by ABN AMRO Asset  
Management Holding N.V., rose above one twentieth (5 %) as a result of a share  
transaction carried out on November 7, 2006.                                    

Financing                                                                       

The Group's net financial expenses totaled EUR 6.8 million (EUR 4.3 million).   
The Group's balance sheet total was EUR 655.3 million (EUR 443.7 million), of   
which liabilities accounted for EUR 389.2 million (EUR 272.2 million). The      
Group's equity ratio was 40.8 % (38.9 %). The Group's net gearing at the end of 
the period was 118.5 % (135.6 %). The Group's equity per share was EUR 4.64 (EUR
4.22).                                                                          

The Group's interest-bearing liabilities at the end of the review period were   
EUR 337.6 million (EUR 234.4 million). The average interest rate of loans was   
4.83 % on June 30, 2008 (4.34 %). At the end of the period, 71.2 % (74.1 %) of  
the Group's long-term loans were variable rate loans, and 28.8 % (25.9 %) were  
fixed-rate loans. The average capital-weighted outstanding loan period was 10.8 
years (12.0 years).                                                             

Technopolis supplements its financing with a EUR 90.0 million domestic          
commercial paper program which allows the company to issue commercial papers    
with a maturity of less than a year. The commercial papers in issue totaled EUR 
4.0 million (EUR 41.7 million) at the end of the period.                        

At the beginning of April, Technopolis Plc signed a EUR 100 million financing   
agreement with the European Investment Bank (EIB). The financing agreement      
consists of a EUR 100 million line of credit, valid for 18 months from the      
agreement signing date. According to the agreement, the EIB will finance the    
company's future expansion projects in Finland.                                 

Organization and personnel                                                      

The Group Executive Board includes the President and CEO Pertti Huuskonen, the  
directors Jukka Akselin, Hannu Eronen, Satu Eskelinen, Markku Hokkanen, Martti  
Launonen, Seppo Selmgren, Keith Silverang and Reijo Tauriainen, and the CFO     
Jarkko Ojala.                                                                   

The Group's operating organization comprises three business units: Capital Area,
Growth Centers and Russia. The Capital Area unit is headed by Keith Silverang,  
the Growth Centers unit is headed by Reijo Tauriainen, and the Russia unit is   
headed by Peter Coachman. Furthermore, the Group's organization features some   
matrix operations for the Group's property development, marketing and sales, and
service concept. The Group's Consulting unit and the business development       
company Technopolis Ventures Oy report to Keith Silverang.                      

Keith Silverang, MBA, 47, who is currently the Vice President of Capital Area   
operations, has been appointed as the new President and CEO of Technopolis. He  
will take over from September 15, 2008. Silverang, who is a citizen of both the 
USA and Finland, took his undergraduate degree at Boston University and did his 
MBA at the Helsinki School of Economics. Keith Silverang joined Technopolis in  
2004, after previously holding internationalization-related and executive       
positions with AAC Global Oy, Oy Hackman AB and his own company, Oy ICS Ltd.    

From the date when Silverang takes up his new appointment, Pertti Huuskonen, who
has led the company since 1985, will become the full-time Chairman of the Board 
of Technopolis, in accordance with the decision taken at the Annual General     
Meeting.                                                                        

The Group employed an average of 162 (140) people during the review period. 56  
(48) persons were employed in jobs related to premises activities, 38 (32)      
persons in business services and 68 (60) persons in development services.       

Annual General Meeting                                                          

The Annual General Meeting of March 27, 2008 confirmed the consolidated and     
parent company financial statements for the 2007 financial year, released the   
company's management from further liability and approved the Board of Director's
proposal to distribute a dividend of EUR 0.15 per share for the year that ended 
on December 31, 2007.                                                           

The Annual General Meeting decided to amend the paragraph of the Articles of    
Association concerning the term of the Board of Directors to state that the term
of Board members shall expire no later than at the end of the Annual General    
Meeting held in the second financial year after their election.                 

It was decided to elect six members to the company's Board of Directors. Jussi  
Kuutsa, Matti Pennanen, Timo Ritakallio, Erkki Veikkolainen and Juha Yli-Rajala 
were elected for a term that begins at the close of the General Meeting deciding
on their election and expires at the close of the subsequent Annual General     
Meeting. The company's current President and CEO Pertti Huuskonen was elected as
the full-time Chairman of the Board for a term that will begin when the         
company's next President and CEO has been entered in the Trade Register and will
expire at the close of the Annual General Meeting held in the second financial  
year following his election. Timo Parmasuo was elected as the Chairman of the   
Board for a term that begins at the close of the General Meeting deciding on his
election and expires at the beginning of Pertti Huuskonen's term. Matti Pennanen
was elected as the Vice Chairman of the Board.                                  

The firm of KPMG Oy Ab, Authorized Public Accountants, was chosen as the        
company's auditor with Tapio Raappana, APA as the responsible auditor.          

The Annual General Meeting decided to authorize the company's Board of Directors
to decide on acquiring the company's own shares. The maximum number of the      
company's own shares that can be acquired shall be 4,000,000, equivalent to     
approximately 9.07 % of the company's total shares. Pursuant to the             
authorization, the company's own shares may be acquired only with unrestricted  
equity at the price arrived at in public trading on the date of acquisition or  
at a price otherwise established on the market. The Board of Directors shall    
decide on how the shares are to be acquired. Derivatives may be used in the     
acquisition. Shares may be acquired in deviation from the proportional holdings 
of shareholders (directed acquisition). The authorization revokes the           
authorization given by the Annual General Meeting of March 29, 2007, and shall  
be valid until May 31, 2009, at the latest.                                     

Furthermore, the Annual General Meeting decided to authorize the Board to decide
on a share issue and on the issuing of stock options and other special rights   
giving entitlement to shares, as specified in Chapter 10, Section 1 of the      
Companies Act, on the condition that the maximum number of shares to be issued  
pursuant to the authorization shall be 8,000,000 shares, equivalent to          
approximately 18.14 % of the company's total shares. The Board of Directors was 
authorized to decide on all terms and conditions of the share issue and the     
issuing of special rights giving entitlement to shares. The authorization       
concerns both the issuing of new shares and the conveyance of the company's own 
shares. Such shares and special rights giving entitlement to shares may be      
offered to certain parties. The authorization does not revoke the authorization 
given to the Board by the General Meeting of November 29, 2007 to decide on the 
issuing of shares as well as on the issuing of stock options and other special  
rights giving entitlement to shares. The authorization will expire on May 31,   
2009, at the latest.                                                            

Evaluation of operational risks and uncertainty factors                         

The most significant risks related to Technopolis's business operations are     
mainly financial risks and customer risks.                                      

Technopolis's main financial risk is the interest rate risk related to the loan 
portfolio. The objective of interest rate risk management is to lower or remove 
the negative impact of market rate fluctuation on the Group's performance,      
balance sheet and cash flow. The company's financing policy aims to diversify   
the interest rate risk of loan contracts over various loan periods on the basis 
of the market situation prevailing at any particular time and the interest rate 
prognosis created in the company. If necessary, the company will employ forward 
rate agreements, interest rate swaps and interest rate options. In order to     
manage financial risk, Technopolis uses a wide range of financing companies and 
maintains a high equity ratio.                                                  

Technopolis only uses derivatives to reduce or remove financial risks in the    
balance sheet.                                                                  

With the structure of the Technopolis loan portfolio at the end of the review   
period, a one percentage point increase in money market rates would increase    
interest rate costs by EUR 1.7 million per annum.                               

Due to the interest rate risk related to loans, a policy of diversification has 
been followed. On June 30, 2008, 71.2 % of long-term loans was bound to the 3-12
month Euribor rate. Of the long-term loans, 28.8 % was fixed-interest loans of  
13-60 months. The long-term loans' average capital-weighted outstanding loan    
period was 10.8 years. Technopolis supplements its total financing with a EUR   
90.0 million domestic commercial paper program which allows the company to issue
commercial papers with a maturity of less than a year. The commercial papers in 
issue totaled EUR 4.0 million on June 30, 2008.                                 

Changes in the exchange rates between the Russian ruble and the euro may have an
effect on the company's financial situation and operations. Business            
transactions denominated in rubles are recorded at the exchange rate of the     
transaction date. Any translation differences are entered in the income         
statement under other operating expenses or financial income and expenses       
depending on the nature of the transaction. The purchase of land in St.         
Petersburg was financed in local currency. Currency risks have been minimized by
applying a currency swap.                                                       

Customer risk management aims to minimize the negative impact of any changes in 
customers' financial situation on the company's business and profit. In customer
risk management, the emphasis is on familiarity with the customer's business and
active monitoring of customer information. As part of customer risk management, 
Technopolis's leases include rent collateral arrangements. Properties are       
insured with full value insurance.                                              

The Group's property portfolio is divided geographically between the Capital    
area, Jyväskylä, Kuopio, Lappeenranta, Tampere and the Oulu region. No single   
customer accounts for more than 9.3 % of the Group's net sales. The Group has a 
total of about 1,150 customers, which operate in several different sectors.     

The company's leases can be divided into two categories: fixed-term leases and  
leases valid until further notice. The company aims to apply both types of      
leases depending on the market situation, property and the nature of the        
lessee's business area.                                                         

In new building projects, Technopolis focuses on quality determination and the  
manageability of the property's entire lifecycle. In the design phase, all the  
building's maintenance and service requirements are taken into account, with the
aim of implementing environmentally friendly solutions in terms of energy       
consumption, the adaptability of office facilities, and recycling possibilities.
In connection with property purchases, Technopolis carries out the normal       
property and environmental assessments before committing to the transaction.    

Changes in market return requirements may have a substantial effect on profit   
performance. When return requirements increase, the fair value of investment    
properties decreases, and when return requirements decrease, the fair value of  
investment properties increases. The changes have either an increasing or       
decreasing effect on the Group operating profit.                                

Outlook for the future                                                          

Technopolis management expects that demand for the company's high tech operating
environments will be satisfactory in 2008 and that the occupancy ratio of its   
facilities and demand for their services will remain good. Technopolis estimates
that its net sales and EBITDA for 2008 excluding sales profits will grow by     
20-24 % on the previous year.                                                   

As part of its strategy for growth, Technopolis aims to operate in the top high 
technology cities in Finland, as well as in Russia and 1-2 other countries by   
2011. The Group aims to increase its net sales by an average of 15 % annually.  
It seeks to grow organically as well as through acquisitions.                   

The Group's financial performance is dependent on trends in the general         
operating environment, in customer business, in the financial markets and in the
return requirements for properties. Changes occurring in these areas may affect 
the Group's result through changes in occupancy ratio, the use of services,     
financing costs, the fair value of properties and office rent levels.           

Oulu, July 18, 2008                                                             

TECHNOPOLIS PLC                                                                 
Board of Directors                                                              


Pertti Huuskonen                                                                
President and CEO                                                               

Further information:                                                            
Pertti Huuskonen, tel. +358 (0)400 680 816 or +358 (0)8 551 3211                

A PDF version of this interim report is available at www.technopolis.fi.        
Requests for a printed version can be made to Technopolis info, tel. +358 8 511 
3228.                                                                           

Technopolis Plc has a news release service, which can be subscribed for on the  
Internet. Service subscribers will receive the Group's releases by email.       

Investment property is valued in accordance with the fair value model. The      
direct internal and external costs of construction are included in the          
acquisition cost of investment properties during the period of construction, as 
provided for in IAS 16. Interest expenses on loans for the construction period  
are allocated to the acquisition cost of properties under construction, as      
provided for in IAS 23.                                                         

The accounting policies and the key figures' calculation formulae applied to    
this Interim Report are the same as those applied to the 2007 financial         
statements. This Interim Report complies with the recognition and measurement   
principles of the IFRS, although not all of the requirements of IAS 34 have been
complied with.                                                                  

The figures are unaudited.                                                      

The Technopolis Group:                                                          

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| INCOME STATEMENT         |         |         |         |          |          |
--------------------------------------------------------------------------------
| EUR million              | 4-6/    | 4-6/    | 1-6/    | 1-6/     | 1-12/    |
--------------------------------------------------------------------------------
|                          | 2008    | 2007    | 2008    | 2007     | 2007     |
--------------------------------------------------------------------------------
| Net sales                | 18,50   | 14,23   | 34,88   | 27,82    | 56,90    |
--------------------------------------------------------------------------------
| Other operating income   | 1,08    | 1,38    | 3,15    | 2,62     | 5,24     |
| 1)                       |         |         |         |          |          |
--------------------------------------------------------------------------------
| Other operating expenses | -10,47  | -8,35   | -20,11  | -16,80   | -33,50   |
--------------------------------------------------------------------------------
| Change in fair value of  | -4,31   | 3,27    | -1,73   | 5,42     | 14,55    |
| investment properties    |         |         |         |          |          |
--------------------------------------------------------------------------------
| Depreciation according   | -0,12   | -0,17   | -0,67   | -0,32    | -0,62    |
| to plan 2)               |         |         |         |          |          |
--------------------------------------------------------------------------------
| Operating profit         | 4,68    | 10,37   | 15,52   | 18,73    | 42,56    |
--------------------------------------------------------------------------------
| Financial income and     | -3,65   | -2,38   | -6,80   | -4,28    | -9,67    |
| expenses, total          |         |         |         |          |          |
--------------------------------------------------------------------------------
| Profit before taxes      | 1,04    | 7,99    | 8,72    | 14,46    | 32,89    |
--------------------------------------------------------------------------------
| Income taxes             | -0,13   | -2,22   | -2,28   | -3,80    | -8,81    |
--------------------------------------------------------------------------------
| Net profit for the       | 0,91    | 5,77    | 6,44    | 10,65    | 24,08    |
| period                   |         |         |         |          |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Distribution of profit   |         |         |         |          |          |
| for the period:          |         |         |         |          |          |
--------------------------------------------------------------------------------
| To parent company        | 0,94    | 5,76    | 6,59    | 10,63    | 24,04    |
| shareholders             |         |         |         |          |          |
--------------------------------------------------------------------------------
| To minority shareholders | -0,03   | 0,01    | -0,15   | 0,03     | 0,04     |
--------------------------------------------------------------------------------
|                          | 0,91    | 5,77    | 6,44    | 10,65    | 24,08    |
--------------------------------------------------------------------------------

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| BALANCE SHEET, ASSETS            | 30.6.2008    | 30.6.2007   | 31.12.2007   |
| EUR million                      |              |             |              |
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| Non-current assets               |              |             |              |
--------------------------------------------------------------------------------
| Intangible assets                | 2,05         | 2,55        | 2,49         |
--------------------------------------------------------------------------------
| Tangible assets                  | 49,48        | 8,94        | 26,90        |
--------------------------------------------------------------------------------
| Investment properties            | 542,59       | 398,21      | 468,76       |
--------------------------------------------------------------------------------
| Investments                      | 26,31        | 22,61       | 22,22        |
--------------------------------------------------------------------------------
| Deferred tax assets              | 2,39         | 2,04        | 2,41         |
--------------------------------------------------------------------------------
| Non-current assets, total        | 622,82       | 434,35      | 522,78       |
--------------------------------------------------------------------------------
| Current assets                   | 32,52        | 9,36        | 9,50         |
--------------------------------------------------------------------------------
| Held-for-sale non-current assets | 0,00         | 0,00        | 1,87         |
--------------------------------------------------------------------------------
| Total assets                     | 655,33       | 443,71      | 534,16       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| BALANCE SHEET, SHAREHOLDERS'     | 30.6.2008    | 30.6.2007   | 31.12.2007   |
| EQUITY AND LIABILITIES, EUR      |              |             |              |
| million                          |              |             |              |
--------------------------------------------------------------------------------
| Equity                           |              |             |              |
--------------------------------------------------------------------------------
| Share capital                    | 96,91        | 68,69       | 74,54        |
--------------------------------------------------------------------------------
| Premium fund                     | 18,55        | 18,49       | 18,55        |
--------------------------------------------------------------------------------
| Other funds                      | 63,84        | 11,51       | 27,38        |
--------------------------------------------------------------------------------
| Other shareholders' equity       | 0,35         | 0,29        | 0,55         |
--------------------------------------------------------------------------------
| Retained earnings                | 79,61        | 61,78       | 61,70        |
--------------------------------------------------------------------------------
| Net profit for the period        | 6,59         | 10,63       | 24,04        |
--------------------------------------------------------------------------------
| Attributable to shareholders' of | 265,85       | 171,39      | 206,77       |
| parent company                   |              |             |              |
--------------------------------------------------------------------------------
| Minority interests               | 0,25         | 0,16        | 0,40         |
--------------------------------------------------------------------------------
| Total equity                     | 266,10       | 171,54      | 207,17       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Liabilities                      |              |             |              |
--------------------------------------------------------------------------------
| Long-term liabilities            |              |             |              |
--------------------------------------------------------------------------------
| Interest-bearing liabilities     | 316,58       | 181,03      | 227,95       |
--------------------------------------------------------------------------------
| Non-interest-bearing liabilities | 1,44         | 1,46        | 1,42         |
--------------------------------------------------------------------------------
| Deferred tax liabilities         | 36,48        | 25,66       | 35,08        |
--------------------------------------------------------------------------------
| Long-term liabilities, total     | 354,51       | 208,15      | 264,45       |
--------------------------------------------------------------------------------
| Short-term liabilities           |              |             |              |
--------------------------------------------------------------------------------
| Interest-bearing liabilities     | 21,05        | 53,35       | 49,90        |
--------------------------------------------------------------------------------
| Non-interest-bearing liabilities | 13,68        | 10,67       | 12,64        |
--------------------------------------------------------------------------------
| Short-term liabilities, total    | 34,73        | 64,01       | 62,54        |
--------------------------------------------------------------------------------
| Total liabilities                | 389,24       | 272,16      | 326,99       |
--------------------------------------------------------------------------------
| Total shareholders' equity and   | 655,33       | 443,71      | 534,16       |
| liabilities                      |              |             |              |
--------------------------------------------------------------------------------

CONSOLIDATED CASH FLOW STATEMENT                                                
EUR million                                                                     
--------------------------------------------------------------------------------
|                                      | 1-6/2008   | 1-6/2007   | 1-12/2007   |
--------------------------------------------------------------------------------
| Cash flow from operating activities  |            |            |             |
--------------------------------------------------------------------------------
| Operating profit                     | 15,52      | 18,73      | 42,56       |
--------------------------------------------------------------------------------
| Change in fair value of investment   | 1,73       | -5,42      | -14,55      |
| properties                           |            |            |             |
--------------------------------------------------------------------------------
| Depreciation                         | 0,67       | 0,32       | 0,62        |
--------------------------------------------------------------------------------
| Other non-cash adjustments           | -0,07      | 0,28       | 0,52        |
--------------------------------------------------------------------------------
| Change in working capital            | 0,59       | 1,49       | 0,33        |
--------------------------------------------------------------------------------
| Interests received                   | 0,36       | 0,42       | 0,82        |
--------------------------------------------------------------------------------
| Interests and fees paid              | -6,26      | -4,81      | -11,15      |
--------------------------------------------------------------------------------
| Income from other investments in     | 0,01       | 0,01       | 0,02        |
| non-current assets                   |            |            |             |
--------------------------------------------------------------------------------
| Taxes paid                           | -1,29      | -1,40      | -2,91       |
--------------------------------------------------------------------------------
| Net cash provided by operating       | 11,25      | 9,63       | 16,25       |
| activities                           |            |            |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash flow from investing activities  |            |            |             |
--------------------------------------------------------------------------------
| Other investments                    | -0,11      | -1,55      | -1,65       |
--------------------------------------------------------------------------------
| Investments in investment properties | -36,64     | -9,74      | -27,56      |
--------------------------------------------------------------------------------
| Investments in tangible and          | -0,09      | -0,27      | -0,38       |
| intangible assets                    |            |            |             |
--------------------------------------------------------------------------------
| Repayments of loan receivables       | 0,01       | 0,01       | 0,02        |
--------------------------------------------------------------------------------
| Sales proceeds from other            | 2,30       | 0,04       | 0,34        |
| investments                          |            |            |             |
--------------------------------------------------------------------------------
| Acquisition of subsidiaries          | -19,95     | -4,10      | -48,93      |
--------------------------------------------------------------------------------
| Net cash used in investing           | -54,48     | -15,62     | -78,15      |
| activities                           |            |            |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash flow from financing activities  |            |            |             |
--------------------------------------------------------------------------------
| Increase in long-term loans          | 50,21      | 12,89      | 67,89       |
--------------------------------------------------------------------------------
| Decrease in long-term loans          | -7,12      | -14,92     | -20,09      |
--------------------------------------------------------------------------------
| Dividends paid                       | -6,68      | -5,67      | -5,68       |
--------------------------------------------------------------------------------
| Paid share issue                     | 58,79      | 5,30       | 16,79       |
--------------------------------------------------------------------------------
| Repayments of finance lease          | 0,45       | 0,39       | 0,81        |
| receivables                          |            |            |             |
--------------------------------------------------------------------------------
| Change in short-term loans           | -31,20     | 6,90       | 0,46        |
--------------------------------------------------------------------------------
| Net cash provided by financing       | 64,45      | 4,88       | 60,18       |
| activities                           |            |            |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net change in cash and cash          | 21,21      | -1,11      | -1,73       |
| equivalents                          |            |            |             |
--------------------------------------------------------------------------------
| Cash and cash equivalents at         | 1,08       | 2,80       | 2,80        |
| beginning of period                  |            |            |             |
--------------------------------------------------------------------------------
| Cash and cash equivalents at end of  | 22,29      | 1,69       | 1,08        |
| period                               |            |            |             |
--------------------------------------------------------------------------------

STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY                                    
EUR million                                                                     
--------------------------------------------------------------------------------
|               | Share   | Premium | Other  | Retained | Minority  | Equity   |
|               | capital | fund    | funds  | earnings | interests |          |
--------------------------------------------------------------------------------
| SHAREHOLDERS' | 67,32   | 18,55   | 7,37   | 67,46    | 4,58      | 165,28   |
| EQUITY Dec    |         |         |        |          |           |          |
| 31, 2006      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Share capital | 0,21    |         |        |          |           | 0,21     |
| increase      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Share         | 1,16    |         | 4,13   |          |           | 5,29     |
| offering      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Dividend      |         |         |        | -5,68    |           | -5,68    |
| distribution  |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Net profit    |         |         |        | 10,63    | 0,03      | 10,65    |
| for the       |         |         |        |          |           |          |
| period        |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Other changes |         | -0,06   | 0,01   | 0,28     | -4,45     | -4,22    |
--------------------------------------------------------------------------------
| SHAREHOLDERS' | 68,69   | 18,49   | 11,51  | 72,69    | 0,16      | 171,54   |
| EQUITY Jun    |         |         |        |          |           |          |
| 30, 2007      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Share capital |         |         |        |          |           |          |
| increase      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Share         | 5,85    |         | 15,95  |          |           | 21,80    |
| offering      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Dividend      |         |         |        |          |           |          |
| distribution  |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Net profit    |         |         |        | 13,41    | 0,01      | 13,42    |
| for the       |         |         |        |          |           |          |
| period        |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Other changes |         | 0,06    | -0,08  | 0,19     | 0,23      | 0,40     |
--------------------------------------------------------------------------------
| SHAREHOLDERS' | 74,54   | 18,55   | 27,38  | 86,29    | 0,40      | 207,17   |
| EQUITY Dec    |         |         |        |          |           |          |
| 31, 2007      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Share capital | 0,01    |         | 0,01   |          |           | 0,02     |
| increase      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Share         | 22,36   |         | 37,19  |          |           | 59,55    |
| offering      |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Dividend      |         |         |        | -6,62    |           | -6,62    |
| distribution  |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Net profit    |         |         |        | 6,59     | -0,15     | 6,44     |
| for the       |         |         |        |          |           |          |
| period        |         |         |        |          |           |          |
--------------------------------------------------------------------------------
| Other changes |         |         | -0,74  | 0,28     |           | -0,46    |
--------------------------------------------------------------------------------
| SHAREHOLDERS' | 96,91   | 18,55   | 63,84  | 86,55    | 0,25      | 266,10   |
| EQUITY Jun    |         |         |        |          |           |          |
| 30, 2008      |         |         |        |          |           |          |
--------------------------------------------------------------------------------

KEY INDICATORS                                                                  

--------------------------------------------------------------------------------
|                                  | 1-6/2008    | 1-6/2007     | 1-12/2007    |
--------------------------------------------------------------------------------
| Change in net sales, %           | 25,4        | 49,1         | 26,9         |
--------------------------------------------------------------------------------
| Operating profit / net sales, %  | 44,5        | 67,3         | 74,8         |
--------------------------------------------------------------------------------
| Equity to assets ratio, %        | 40,8        | 38,9         | 39,0         |
--------------------------------------------------------------------------------
| Average no. of employees in      | 162         | 140          | 142          |
| Group companies during period    |             |              |              |
--------------------------------------------------------------------------------
| Gross expenditure on non-current | 103 114     | 6 276        | 88 962       |
| assets, EUR 1,000                |             |              |              |
--------------------------------------------------------------------------------
| Net rental income of property    | 7,5         | 7,5          | 7,5          |
| portfolio, % 3)                  |             |              |              |
--------------------------------------------------------------------------------
| Financial occupancy ratio, %     | 96,6        | 95,4         | 96,8         |
--------------------------------------------------------------------------------
| Earnings / share                 |             |              |              |
--------------------------------------------------------------------------------
|    undiluted, EUR                | 0,14        | 0,26         | 0,58         |
--------------------------------------------------------------------------------
|    diluted, EUR                  | 0,14        | 0,26         | 0,58         |
--------------------------------------------------------------------------------
| Equity / share, EUR              | 4,64        | 4,22         | 4,69         |
--------------------------------------------------------------------------------
| Average (issue-adjusted) no. of  |             |              |              |
| shares                           |             |              |              |
--------------------------------------------------------------------------------
|    undiluted                     | 46 655 838  | 40 520 699   | 41 407 380   |
--------------------------------------------------------------------------------
|    diluted                       | 46 527 654  | 40 691 940   | 41 469 091   |
--------------------------------------------------------------------------------

CONTINGENT LIABILITIES                                                          
EUR million                                                                     
--------------------------------------------------------------------------------
|                                  |   30.6.2008 |    30.6.2007 |   31.12.2007 |
--------------------------------------------------------------------------------
| Pledges and quarantees on own    |             |              |              |
| debt                             |             |              |              |
--------------------------------------------------------------------------------
| Mortgages                        |      245,50 |       179,37 |       203,70 |
--------------------------------------------------------------------------------
| Pledged securities               |      166,09 |        36,55 |        97,77 |
--------------------------------------------------------------------------------
| Bank guarantees                  |       47,41 |              |              |
--------------------------------------------------------------------------------
| Other liabilities                |        0,10 |         0,10 |         0,10 |
--------------------------------------------------------------------------------
| Collateral given on behalf of    |        0,50 |         0,50 |         0,50 |
| associates                       |             |              |              |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| VAT return liability             |       10,46 |        13,30 |        11,49 |
--------------------------------------------------------------------------------
| Leasing liabilities, machinery   |        1,03 |         0,25 |         0,48 |
| and equipment                    |             |              |              |
--------------------------------------------------------------------------------
| Project liabilities              |        0,02 |         0,26 |         6,14 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Interest rate and currency swaps |             |              |              |
--------------------------------------------------------------------------------
| nominal values                   |       96,15 |         4,00 |        17,28 |
--------------------------------------------------------------------------------
| market values                    |        0,55 |        -0,03 |         0,28 |
--------------------------------------------------------------------------------

1) Other operating income comprises operating subsidies received for development
services, for which the same amount of development service expenses have been   
recorded as operating expenses. Other operating income for the review period    
1-6/2008 includes EUR 0.9 million in nonrecurring items.                        

2) Depreciation for the review period 1-6/2008 includes EUR 0.4 million in      
nonrecurring depreciation.                                                      

3) Does not include properties brought into use and acquired during the year.   

APPENDIX:                                                                       
Assets and liabilities originating from the acquisition of Kuopion              
Teknologiakeskus Teknia Oy.                                                     

--------------------------------------------------------------------------------
| Acquisition cost statement       |                     |                     |
--------------------------------------------------------------------------------
| EUR million                      |                     |                     |
--------------------------------------------------------------------------------
|                                  | Fair values         | Carrying amounts    |
--------------------------------------------------------------------------------
| Assets                           | EUR million         | EUR million         |
--------------------------------------------------------------------------------
| Intangible and tangible assets   | 0,87                | 1,22                |
--------------------------------------------------------------------------------
| Investment properties            | 62,73               | 60,96               |
--------------------------------------------------------------------------------
| Investments and deferred tax     | 5,21                | 4,71                |
| assets                           |                     |                     |
--------------------------------------------------------------------------------
| Receivables                      | 1,59                | 1,59                |
--------------------------------------------------------------------------------
| Cash and cash equivalents        | 1,34                | 1,34                |
--------------------------------------------------------------------------------
| Total assets                     | 71,73               | 69,82               |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Liabilities                      |                     |                     |
--------------------------------------------------------------------------------
| Long-term liabilities            | 44,89               | 44,89               |
--------------------------------------------------------------------------------
| Deferred tax liabilities         | 0,91                |                     |
--------------------------------------------------------------------------------
| Short-term liabilities           | 4,85                | 4,26                |
--------------------------------------------------------------------------------
| Total liabilities                | 50,64               | 49,15               |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Minority interests in net assets | 0,00                | 0,00                |
--------------------------------------------------------------------------------
| Net assets attributable to Group | 21,09               | 21,09               |
--------------------------------------------------------------------------------
| Net assets, total                | 21,09               | 21,09               |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Transaction price paid in cash   | 18,71               |                     |
--------------------------------------------------------------------------------
| Other share of acquisition price | 2,40                |                     |
--------------------------------------------------------------------------------
| Goodwill                         | -0,02               |                     |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Transaction price paid in cash   | 21,11               |                     |
--------------------------------------------------------------------------------
| Acquired company's cash and cash | 1,34                |                     |
| equivalents                      |                     |                     |
--------------------------------------------------------------------------------
| Effect on cash flow              | 19,77               |                     |
--------------------------------------------------------------------------------

Distribution:                                                                   
OMX Nordic Exchange Helsinki                                                    
Main news media                                                                 
www.technopolis.fi