Conceptual modelling using the entity relationship (ER) model has been widely used for database design for a long period of time. However, studies indicate that creating a satisfactory relational model representation from an ER model is uncertain due to the insufficiencies both in the transformation methods used and in the relational model itself. In an effort to solve the issue the original ER notation has been modified, and accordingly, a new transformation algorithm has been developed. This paper presents the proposed transformation algorithm. Using a real world example it shows how the algorithm can be applied in practice. The paper also discusses how to validate the resulted database and reclaim the information that it represents.